This initiative was on top of Chavez's creation of Mercal (link is to the Venezuelan home page, complete with "The Bolivarian Government of Venezuela" logo), a state-run network of grocery stores, seven years ago.
How is this great leap forward into state control working out? A June 18 Reuters dispatch carried at CNBC reports that the government can't even keep its food fresh. But that's okay. The wire service takes a while to get there, and even then a bit of interpretation is necessary, but eventually we learn that the Chavez "solution" to that thorny problem is to seize replacement goods from private merchants:
Hugo Chavez Spearheads Raids as Food Prices Skyrocket
Mountains of rotting food found at a government warehouse, soaring prices and soldiers raiding wholesalers accused of hoarding: Food supply is the latest battle in President Hugo Chavez's socialist revolution.