Venezuelan government occupies Smurfit Kappa

The Venezuelan government has temporary moved into Smurfit Kappa Carton de Venezuela (SKCV), the Irish packaging firm’s subsidiary in the country.

Smurfit Kappa said it is part of a nationwide programme of inspections and audits at locally and internationally owned companies, conducted by government ministries and agencies.

Minister Ricardo Menendez said Smurfit Kappa had hiked prices for some food-related products by 372% in the last year, according to a broadcast on state TV from the plant.

The intervention allows for inspections and audits covering tax, costs, pricing and employment practices.

SKCV retains management of the company and is co-operating fully with the government officials,” said the firm in a statement.

“SKCV is committed to operating its business to ensure the on-going supply of products and services to its customers.”