Venezuela to seize Mexican cement plants

The actions of Venezuelan President Hugo Chavez once again promise to ruffle feathers as he vowed yesterday to seize the offices and plants of the Mexican cement giant Cemex as part of the process of nationalizing Venezuela's cement industry.

Cemex's Swiss and French rivals Lafarge and Holcim have agreed to hand control of their local subsidiaries to Caracas, reports the BBC, but a a deal with Mexico's Cemex "hasn't been possible," according to Venezuelan Vice-President Ramon Carrizalez.

Venezuelan President Hugo Chavez has accused foreign cement firms of demanding excessive profits and selling their cement overseas.

Taking them over, he said, would allow his government to make faster progress with plans to end a massive housing shortage.

Earlier this month, Chavez said that he would nationalize Spanish-owned Banco Venezuela, the country's third-largest financial institution.

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-- Deborah Bonello in Mexico City