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Tuesday, February 9, 2010

Blood In Mucus Cold Throat

prices conspire against their own government agricultural plan

THE NATIONAL - Tuesday, February 9, 2010
Economy / 4


Economy AGRO The goal is to produce 29.5 million tons of food

Government agricultural sabotage his plan land interventions

Investment in the field falls expropriations Agribusiness and low prices paid to producers

Katie Hernandez


The Government's agricultural plan foresees 50% increase in production of maize, sorghum, rice, coffee, sunflower, sugar cane, beans, potatoes and vegetables, going from 16 million tonnes were harvested in 1998 to more than 24.4 million this year. In addition to 4.8 million tonnes in livestock such as beef, chicken, pork and dairy products, fruits and 314,500 tonnes of fisheries and aquaculture. The objective of the Executive is that farmers with bank financing public and private, to harvest more than 29.5 million tons of food between 2010 and 2011.

A goal that looks unreal for some producers, when the government promotes planting one hand and on the other land intervention as Tiznao in Guarico River, the Valley of Turbio in Lara, the southern Lake Maracaibo, and the valleys of Aragua and Carabobo, among other regions. President Hugo Chavez, to account in the National Assembly, said that in 10 years had been involved 2.8 million hectares.

Fedenaga, meanwhile, says that more than 600 farms have been affected by this process. The Executive maintains that the production of milk increased 13% from 1.9 million tons in 2008 to 2,180,000 last year, however, the president of Fedenaga, Manuel Cipriano Heredia, claims decreased. "It is estimated that barely got 1.46 million tons and are continuing to import 50%," he said.

For beef, the Agriculture Ministry report said that production rose 2% to reach 520,101 tons, which also looks wrong to Fedenaga because the imports were authorized last year by 342,000 tons and there were only 240,000. As 59% of the meat is imported and only 41% is national.

The goal of Government is to get this year 2.4 million tonnes of milk and meat 568,000, a goal that the president of the guild is not viable as they continue intervening land and there is no price adjustment.


missing incentives.

Fedeagro president, Pedro Rivas, admits that the government's plan is ambitious. "We're evaluating, some things can play and run. We should conclude the goals according to the reality of the field, including the difficulties they had with the weather. It is also necessary that the government encourages farmers and motivate them to grow through better pricing and compensation, " said.

He said there are many farmers who are in debt and did not fare well last year, making it necessary to give them better prices for the crop.


Items critical.


- White Corn: The government's plan is to plant 650,000 hectares of this area to achieve 2.28 million tonnes between 2010 and 2011. However, in 2009 due to drought and many farmers have migrated to the cultivation of cereal yellow because it gives more performance on average only about 400,000 planted acres and production was reduced to 700,000 tonnes. Precooked industry requires 1.2 million tonnes to ensure food manufacturing, which is why reports a deficit of 500,000 tonnes which will be imported in mid-April. Farmers expect an adjustment in price is fixed at 900 Bolivars per ton, plus 100 bolivars incentive paid by industry.

- Rice: planting is planned 267,100 hectares to produce 1.37 million tons of paddy rice. Fevearroz The report indicates that in 2009 were planted 213,000 hectares and production reached 852,000 tons, due to low yield caused by drought and pests. Producers indicate that the estimated goal can be achieved by the Government if weather conditions are for the winter planting season which begins in March. "We need to recover the reservoirs that can be counted later with enough water for irrigation during the summer," said a farmer. Producers hope a review of prices due to inflation, rising wages and the devaluation impact costs. For a ton of paddy rice industry pays 1,200 Bolivars.

- Sugar planting is estimated at 136,792 hectares, a harvest of 9.10 million hectares of cane during the harvest 2010-2011. This goal contrasts with the 8.2% drop in production FESOCA registered between 2009 and 2010 when it went from 7.3 million tonnes to 6.7 million, which generated a deficit of 700,000 tons has been taken that matter, a situation exacerbated by the recent decision by Brazil to close its exports due to global shortages. Inxdican cane growers that to achieve the goal that draws the Government should be more funding, higher prices and identify new areas for planting. A kilo of sugar is sold to consumers at 2.85 Bs.

- Coffee: The goal is to plant 222,487 hectares and produce 83,687 tons equivalent to 1.8 million quintals (bags of 46 kilos each). However, the last 4 years has accentuated the fall of this item to the point that last year imported more than 200,000 quintals and only managed to harvest in the country 1 million. Moreover, the price is set below cost and the sector continues threatened expropriation.

Friday, February 5, 2010

California Republic Towel

price control turns 7 years with high inflation and failure of products on the shelves

THE NATIONAL - Friday, February 5, 2010
Markets and Consumer / 3


TRADE Markets and Consumer inflation between March 2003 and December 2009 reached 277%


In seven years of price controls are buying less and paying more

propose a new system for the gradual increase in basic food

Katie Hernandez


After seven years of price controls, which includes a list of foodstuffs, household cleaning and personal care, consumers evaluate the measure and not very efficient to reduce the cost of products. Ana Rivas, who works in a bank and despite having a salary above the minimum established in 967.5 Bs per month, says his income does not cover all basic needs for food. "I buy less food and paying more for them, it's amazing how every month up the products." The measure approved by the Government on February 6, 2003 and published in Official Gazette on 11 this month, stated the objective to control inflation. The economist Abelardo Daza recalled that at the beginning of its implementation, regulation succeeded in stabilizing prices, but not applied a system that would sincerely production costs and the amount of retail products, has become a perverse system the economy. In his view, the result after seven years is in sight: a decline in production less variety of foods on the shelves and high prices. "It created an illusion that would lower inflation control and access to cheaper food to low-income classes. But after year we see quite the contrary, Venezuela has the highest inflation in the region," . One conclusion that Jeferson Tovar, a shoe salesman in downtown Caracas, he suffers every day when you have to go to a supermarket. "Nobody meets price controls, that does not exist. There is no way to prevent winemakers rise in food prices." In most popular areas of Caracas, the government has tried to put holds social and Mercal and Pdval, which sell between 40% and 50% below the controlled prices. Although the penetration of these programs is high, do not offer all the products needed by the population. At the end of the day, consumers in the districts have to go to the corner bodega, where a kilo of meat pay between 28 and 30 Bs, although it is regulated in 17.60 Bs. A bag of rice in the Official Gazette bolivar was fixed at 2.82, sold at these facilities up to 4 Bs. "Products that are not available in the supermarkets are sold on the street or in independent stores twice its price. The solution is to create a flexible pricing system that allows gradual adjustment of foods based on production costs, "says the economist Daza. Income devalued. This year the Government offered a minimum wage hike in the first part of 10% from March. However, the devaluation of the exchange rate generated 64% loss in power of wages. Carmen Díaz, a housewife, believes it is unrealistic to think that with a small increase can offset the price increase. "There are shortages of food, and found cost twice. Money is tight to buy everything you need, "he says. The economist José Guerra said that between March 2003 and December last year, overall inflation is 277%." Checks price destroys the ability of production companies and it is inevitable that a shortage. It is essential to go to another system, you can not remove control of a single blow, but if you make it more flexible. "Suggests that you define a list of at least 20 commodities that are subject to regulation and can vary according to market , and release the rest. Luis Vicente Leon, director of Datanalisis, adding that this year the threat of expropriation of businesses can generate problems in the supply chain, which will be reflected in supply. "Although we have no shortage index as high as in 2008, the trend of recent months has been toward increasing shortage of key products such as rice, coffee, milk and sugar, "he said.