New Uruguay leader takes over from pot-friendly farmer

Tabare Vazquez was sworn in as president of Uruguay Sunday, returning to office a decade after first leading the left to power and drawing a curtain on folksy farmer Jose Mujica's colorful rule. Mujica, a former guerrilla fighter known for legalizing marijuana, gay marriage and abortion, handed the presidential sash back to his predecessor and Broad Front (FA) party colleague, reversing their roles from five years ago in this country that bars presidents from serving consecutive terms. Vazquez, a cancer doctor with a more buttoned-down style than the outspoken Mujica, won 53.6 percent of the vote in a November 30 presidential run-off, reclaiming the office he previously held from 2005 to 2010. After taking the oath of office before the National Assembly, he called for dialogue on issues facing the country, at a moment when the parties that long dominated Uruguayan politics, the Blancos (Whites) and Colorados (Reds), are reeling from a string of FA victories. "We can and we must analyze and dialogue respectfully together on the different paths to achieve the best public education for our people, to have quality health care for all, dignified housing," he said. Vazquez, 75, cuts a more sober figure than the outspoken Mujica, and has criticized some of his reforms -- including a still-unimplemented plan to sell marijuana at pharmacies, a key element of the new cannabis law. The two allies have clashed at times within the FA, and Vazquez announced his new cabinet in December without consulting Mujica. - 'Pepe is Pepe' - Known for his spartan lifestyle, his salty commentary and his devotion to his three-legged dog, Mujica steps down more popular than ever, with an approval rating over 60 percent. The 79-year-old farmer attracted international attention as much for his lifestyle as his policies. Eschewing the trappings of power, Mujica insisted on living on his modest farm and driving around in a beat-up Volkswagen Beetle. He also gave most of his salary to charity. He began his final hours in office with his habitual morning routine, taking a walk then climbing onto his tractor to do some farmwork before changing into a grey suit and hopping into his Beetle to go to Independence Square in the nearby capital Montevideo. Throughout the handover ceremony, Mujica's fans chanted his nickname, "Pepe." "He's the best president we've ever had," said Charo Baroni, a 66-year-old housewife who was in the crowd for the ceremony. "I'm sorry to see him go. Tabare is good too. But Pepe is Pepe." Mujica, who spent 14 years in prison for fighting with the rebel Tupamaros National Liberation Movement during the turbulent 1960s and 70s, never hewed to the traditional presidential script. He would sometimes unexpectedly take time out to speak with journalists about the inflation rate or diplomatic relations. Or he'd tell them what he was preparing to feed his canine companion Manuela. The dog lost one foot when Mujica accidentally rolled over it with his tractor. She is now his constant companion. - Less-than-diplomatic politician - Under Mujica, Uruguay became the first country in the world to fully legalize marijuana all the way from the cannabis field to the joint, setting up a regulated market for cultivation, sales and use. The leader, who will now become a senator, was also known for his candid -- and sometimes less-than-diplomatic -- remarks. A live microphone once caught him saying: "This old hag is worse than the one-eyed guy." It was a reference to Argentine President Cristina Kirchner and her late husband and former president Nestor Kirchner, who had a lazy eye. Critics point to Mujica's shortcomings, including his failure to implement education reform, even as the country's academic achievements fell. Vazquez inherits a country facing a tougher economic climate than when he first took office in 2005. Uruguay has enjoyed 12 years of unbroken growth and record-low unemployment, but the agricultural dynamo is now struggling to deal with the end of the global commodities boom. Inflation is now more than one point above the official target range of three to seven percent, and Uruguay's giant neighbors Argentina and Brazil are both experiencing economic downturns.