Bolivia deploys military to tackle fuel smuggling amid shortages

Bolivia's president, Luis Arce, has decided to deploy the military to petrol stations to combat illegal fuel purchasing and smuggling practices, which are subsidised by the state. The government believes these actions are the main cause of shortages that have led to protests in the country.

Bolivian soldiers began their service at petrol stations on Wednesday, June 12. They have been deployed to cities including El Alto and Cochabamba, as reported by the daily "Correo del Sur."

The military's task is to ensure that fuel is only supplied to vehicles registered in the electronic system, said Deputy Minister of Defence Juan Carlos Calvimontes on Wednesday.

In recent months, protests have intensified in Bolivia, as residents are dissatisfied with the shortage of diesel and US dollars in the market. In early June, lorry drivers organised a 48-hour blockade of several highways and are now threatening further actions if the situation does not improve.

Bloomberg Agency notes that oil production in Bolivia is declining. Shortages of foreign currencies are increasingly hindering the authorities' ability to import fuel, which is sold domestically at prices lower than production costs.

President Luis Arce emphasizes that Bolivia must import 65% of its petrol and 85% of its diesel abroad. As Bloomberg highlighted, during a recent visit to Moscow, the Bolivian president sought approval to import oil from Russia.