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The Earth Times | Posted February 15, 2002


Business
The tri-border area: Smugglers and shoppers delight
> BY ROBERT E. SULLIVAN
Copyright © 2002 by The Earth Times. All rights reserved

CIUDAD DEL ESTE, Paraguay--The taxi driver stops, hands the rider a helmet, and cautions him to put it on snuggly before climbing on the back of the Honda 125 motorcycle for a cross border trip.

Smuggling is legal here, but going helmetless is not. "You can get a big fine for that," warns the driver as he speeds across the Friendship Bridge past the idle Brazilian customs officer.

With no passport check, no luggage check, and with helmets completely covering their faces, the driver and his customer could easily have been smugglers or international terrorists--which is exactly what American diplomats on both sides of the border say goes on around here. Authorities on both sides deny they have found any connection with terrorism, but they agree the border is loose.

And they like it that way.

Although the Brazilian side of the tri-border area of Brazil, Argentina and Paraguay is nearly empty these days because the falling Argentine peso has made prices there more expensive than last year, the Paraguayan side is still booming. And that's because very few merchants pay tax of any kind.

Crossing over from relatively quiet and clean Foz do Iguacu, Brazil, to the noisy, bustling, and somewhat slovenly Ciudad del Este, a visitor hits, within 20 meters of the bridge, a wall of stalls selling hundreds of thousands of CDs that might not stand strict copyright scrutiny, cheap Chinese-made toys, and home electronic appliances that somehow cost less than they do in the countries where they were made.

Climbing a steep hill that rises sharply from the bridge, a shopper could walk half a mile in a tropical rainstorm without getting wet through a warren of tiny shops packed tightly into back-to-back bazaars.

A recent visitor, confused and tired after too long being inundated with offers for batteries, electric razors, blank CDs and video games, asked a stranger "which way, please, to the street?"

"That staircase."
" Up or down?"
" It doesn't make any difference."

Further clogging the shopping areas are retailers from all three countries who buy wholesale and sit down in front of the stalls to repack boxes of mostly cheap goods into smaller boxes, and stuff them into strong, woven plastic bags which, of course, are also on sale everywhere, mostly by wandering stall-less merchants who carry them on their backs.

The wholesale business is so well known that some shops have neither signs on their stalls nor labels on their boxes. One smiling woman in a nameless stall did a booming business out of unmarked boxes which turned out to contain computer parts.

The lingua franca is, well, a few. Absolutely everyone speaks Spanish and Portuguese, and a combination of both, large Chinese and Arabic communities speak their native tongues, and at least one copy of the instruction booklets for the products is in English, so most can at least read that.

A recent visitor picked up for $1 a watch band, a dead ringer for the one he paid $8 for in New York; and a pair of reading glasses for $2 that go for $16 in US chain stores.

Not all the stores are seedy. Some are multi-level, marble-floored, air-conditioned emporia with elegant fittings. And they all have armed guards.

Some stores specialize in computers and everything that goes with them, and tool shops sell highly specialized high-technology tools. Asking about Global Positioning System (GPS) satellite navigation equipment, a visitor was directed to the Aquarius Galleria. But, although he found there handheld radios designed for pilots, some handheld pilot navigation systems, and medical supplies including stethoscopes and things that looked like they could hurt if used wrongly, he was told that Aquarius did not, in fact, carry pilot GPS systems.

"But Pyramid Galleria does," said a helpful clerk.

Pyramid did not, as it happened, have aviation GPS systems, but they had boating GPS systems which could pinpoint any craft to any spot on earth, guaranteed accurate to less than 200 meters--an interesting item for a landlocked country like Paraguay to carry.

 

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