Economy / Bolivia
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Coca Growth Angers Brazil
July 2007 | Risk SummarySorry, you must be a subscriber to view this article in full. If you are a subscriber please login.
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Soaring coca production in Bolivia is posing a major risk to diplomatic relations with neighbours Brazil and Argentina, which have experienced an influx of cocaine of late. According to UN statistics, the production of coca in Bolivia increased 8% last year and now covers an area of 27,500 hectares, despite the fact that Bolivian law currently limits coca cultivation to a maximum of 12,000 hectares. Furthermore, President Evo Morales is eager to increase the legal area. With tensions between Brazil and Bolivia already simmering from the recent energy dispute, this may add fuel to the fire.