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Bureau of Mines / Minerals yearbook area reports: international 1972
Year 1972, Volume 3 (1972)

Cammarota, V. Anthony, Jr.
Bolivia,   pp. 147-154 PDF (885.4 KB)

Page 147

  147The Mineral Industry of Bolivia 
By V. Anthony Cammarota, Jr.1 
 The mineral industry of Bolivia contributed 11.2% to the gross domestic
product (GDP) in 1972 compared with 11.9% in 197-1. Petroleum and natural
gas accounted 
-for 4.9% of the GDP. The -mineral industry provided 78%, and -petroleum
and natural gas provided 19% of -the -total value of Bolivia's exports. 
 On October 27, 1972, the Bolivian peso was devalued from 11.875 pesos to
20 pesos for each U.S. dollar. The companies -in the Medium Miners Association
were significantly affected by the new 20% tax on the net c.i.f. value of
mineral exports -imposed by the Government after devaluation. Supreme Decree
No. 10635 of December 15, 1972, softened the severe effects of the tax by
allowing deductions for fees and contributions to state entities and repealing
the 5% sales -tax on imported machinery, equipment, and materials. 
 A list o-f the more important Supreme Resolutions (S.R.), Supreme Decrees
(S.D.) and Decree Laws (D.L.) passed in 1972 affecting the mining and smelting
industries follows: 
 S.D. 10069, January 7, 1972: Au-thorizes the Ministry of National Defense
-to become a partner in a joint venture with the Gibraltar Huari-Huari Mining
Corp. to work the Huari-Huari tin-silver-zinc mine in -the Department of
 S.D. 10207, April 14, 1972: For 2 years no National, Departmental, Municipal
or University taxes will be paid by Corporación Minera de Bolivia
(COMIBOL) for the acquisition of charcoal or residual wood to be used in
COMIBOL's bismuth smelter at Telamayu. 
 S.D. 10262, May 19, 1972: Authorizes COMIBOL to use part of the Soviet credit
of $27.5 million to purchase and install a tin volatilization plant in the
city of PotosI at the Unificada mine site. 
 S.D. 10379, July 28, 1972: Eliminates 
payment of fees, established by S.D. 09028, for 5 years to the Banco Minero
de Bolivia (BAMIN) on copper mineral exports and modifies export taxes on
copper minerals or concentrates. 
 S.D. 10403, August 11, 1972: Authorizes Empresa Nacional de Fu-ndiciones
(ENAF) to acquire from Skoda Export, a Czechoslovakian firm, an electric
furnace, which is in addition to equipment purchased from Skoda Export for
the construction of the antimony smelter. 
 S.D. 10521, October 3, 1972: Establishes the National Policy of -the iron
and steel industry. The decree sta-tes that Mutdn's minerals, including iron
and manganese, are the exclusive property of -the Government of Bolivia,
and ' that the Mutdn mineral deposit, because of its strategic location and
its geopolitical significance, may not be bestowed, partially or wholly,
-to private entities or mixed societies. MutCin's development and exploitation
-must be realized by Bolivian Government agencies, which may form mixed societies
for the installation and management of industrial plants if it is in the
National interest. 
 S.D. 10607, December 1, 1972: Fixes indemnification -for nationalization
of the Matilde Mine Corp. at $13.4 million. COMIBOL becomes the sole and
definitive owner of all of Matilde's assets in Bolivia. 
 S.D. 10611, December 1, 1972: Establishes a new gold policy, annuling the
old policy expressed in S.D. 10315 of June 23, 1972. The new decree annuls
the royalties of the old decree -but applies a 2% tax on the gross value
of gold production to amortize the Gold Cooperatives' debts to BA-MIN. It
further levies an additional 2% tax on the gross value to amortize the Gold
Cooperatives' debt to the Corporación Boliviana de Fomento (Bolivian
Developmen-t Corp.) - 
 1 Physical scientist, Division of Nonferrous Metals—Mineral Supply.

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