President Hugo Chavez on Tuesday announced a new chain of government-run, cut-rate retail stores that will sell everything from food to cars to clothing from places such as China, Argentina and Bolivia.

"We're creating Comerso, meaning Socialist Corporation of Markets," Chavez said at the opening of a "socialist" fast-food location for traditional Venezuelan arepas (cornbread).

"They'll see what's good. We'll show them what a real market is all about, not those speculative, money-grubbing markets, but a market for the people," said Chavez in his drive to change Venezuela from a market-based economy to a socialist one.

"We're going to challenge all that junk food that just fattens people up," he added referring to the arepa stand he opened to the public.

Chavez said the Comerso chain of stores will include "a network of subsidiaries" that will sell new vehicles directly imported from China and Argentina, "without capitalist intermediaries."

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