One concrete move Brazil said it will do is invest $35 mln to reinforce
   border police and 11 bases, 2 of which are adjacent to the Paraguayan
   border in Matto Grosso and Parana.  This also looks like it will transfer
   into some political cooperation as well.  3 suspected EPP
   members/sympathizers are hiding out in Brazil.  Previously Brazil denied
   Prgy extradition requests.  Prgy then filed a caseagainst Brazil at the
   UN.  Yesterday Lula said that, since new information has been sent, will
   reconsider sending the 3 back to Prgy.

   Prgy has domestic stability to win from this.  Lots of Brazilian gangs,
   drug dealers are believed to be operating in Northern Prgy.  Stopping them
   at borders will help Brazil as well. And there is the presence of
   Brasiguayos in Prgy.  Brazil has interests in keeping those people safe
   (esp since Brazilian money is the be source of investment for soy and
   farming in Prgy).  Not sure how add border control, especially in Parana,
   will affect illegal business practices done by Brasiguayos.  It's been
   reported that some will smuggle there good grown in Prgy back over to
   Brazil to be sold there.

            Brasil y Paraguay declaran la guerra al narco fronterizo

     Los presidentes de Brasil, Luiz Inacio Lula da Silva, y de Paraguay,
     Fernando Lugo, acordaron iniciar de inmediato una guerra sin cuartel
     contra el narco en la zona fronteriza.

     Ambos mandatarios tras reunirse el lunes en la localidad limitrofe
     brasilena de Ponta Pora, estimaron necesario acordar medidas conjuntas
     para impulsar la cooperacion bilateral y combatir la violencia del
     narcotrafico en la frontera que comparten ambos paises.

     "Ante la ilegalidad del crimen y el trafico de drogas nos hemos unidos
     para tomar las medidas. Hemos dado un paso al frente en esa direccion de
     definir los mecanismos a seguir, planteados bajo un clima de dialogo
     maduro y equilibrado" , explico el presidente brasileno, de acuerdo al
     portal Telsur.

     "Los narcotraficantes se metieron con los gobiernos de Brasil y
     Paraguay. Ahora vamos a enfrentarlos" ,agrego. En los ultimos meses los
     pistoleros al servicio sel crimen organizado en desatado varias batallas
     en contra de las autoridades de ambos paises.

 --
 Alex Posey
 Tactical Analyst
 STRATFOR
 alex.posey@stratfor.com