THE NATIONAL - Saturday February 5, 2011 Citizens / 1
Citizens
MARKETS AND CONSUMPTION In eight years of regulation of food prices have risen 663%
Consumers recognize to emphasize the lack of controls
51.3% of respondents by Datanálisis says there are flaws in the food supply
Katie LUZANGELLY MEDINA HERNANDEZ
khernandez@el-nacional.com
Lmedina@el-nacional.com
product shortages of food stocks has become chronic in the country. In January, supermarket shelves failures reported in the inventory of powdered milk, beef and prime beef, edible oils, coffee, sugar and margarine. Besides the absence of certain foods, consumers suffer from a lack of brands of sanitary napkins, diapers, shampoo, toothpaste, mouthwash, toilet paper and napkins, and other personal care products.
Datanálisis A study of 800 people revealed that 51.3% of respondents said that the food supply situation in places where normally made shopping for your home is negative. Measurement, which takes place from August 2007, reported peak shortages.
In February 2008, 76.6% of respondents said the supply of products was negative in September of that year the percentage dropped to 61.2. In July 2009 stood at 59.5% and in March 2010 at 68.2%.
Note that because of the devaluation, the lack of products that rely on imported inputs, previously paid to the exchange rate of 2.60 Bs and now are bought abroad to 4.30 Bs could grow.
addition, there is a gap between actual production costs and regulated prices. A kilo of beef costs 17.60 bolivars since August 2008.
Farmers argue that the costs are high and that domestic production is not profitable and, instead of adjusting prices, the Government has chosen to import, but devaluation also threatens the supply product brought to Brazil and Argentina.
For wheat pasta, the last increase occurred in May 2009. Agribusiness report in 21 months price freeze losses rising international raw material, labor, production costs, domestic inflation and the effect of two devaluations.
edible oils from corn, and sunflower mixed with 20 months without magnification. In June 2009 the Government decided to lower them, and now there are high production costs from higher raw material, wages and other components.
Price control was adopted on February 6, 2003 and published in Official Gazette on 11 that month. In 8 years of implementation, inflation has slowed. The national index of consumer prices recorded a acceleration of 376% between February 2003 and December 2010, and food and nonalcoholic beverages rose 663%. In this period also rose 544% wage and price increases in the areas covered do not outweigh the high costs of production.
favor and against. The perception of consumers, in general, is that price control has failed to bring down the market. Jose Hernandez, Bicentennial Abastos consumer, argues that the regulations cause shortages. "The price of food is regulated, but it is difficult to get the products. There is no flour, no oil, or mayonnaise. Many informal traders take advantage of the absence of these products selling at twice the price. "
For Marta Medina
price control is a utopia.
" No one meets the requirements, many personal care products and household cleaning up every 3 months like some food. Should regulate all products, not just the basics. What good is an annual salary increase each month if everything goes? ". Nicole Rojas, Central Madeirense consumer, not the same opinion. He believes that price control is a perverse measure: employers do not invest and lose production regulated food products become more expensive as excluded. "I prefer to release prices for the existence of a greater variety and competition," said Rojas, who criticized that while employers are penalized for violating the regulation, the hawkers are exempted from the law.
Hugo Gomez, Bicentennial Abasto consumer, said he agreed with the price control because otherwise the money will not reach him. "It should cover all products as diapers, which are becoming increasingly expensive." Francisco Piquer
For price controls creates nervousness among consumers and aggravates the shortage of products. "It does not help reduce inflation, there is no domestic production, everything is imported and scarce. This week I did not get mayo and the other problem is that given the shortage some people buy excessive quantities of products to prevent and worsens the situation. "
