Before the announcement of the Package against inflation and famine (Pacic), Mexican businessmen requested that local actions also be carried out so that producers “do not have to bear” the full weight of price adjustments.
The president of the Council of Chambers and Business Associations of the State of Mexico (Concaem), Gilberto Sauza Martínez, explained that the current federal plan should not last for more than six months and be backed by an economic reactivation plan focused on two variants: national and subnational.
“When prices fall or stay the same and costs continue to rise, someone is paying that differential, it may be the producer or the distributor who is absorbing that cost or reducing its utility, but it does not disappear and that is why the plan cannot be long term, because there is no economic unit that sustains it”, he pointed out.
Precisely, he deepened, they should focus on preventing the generation of long-term competition from being affected and the disappearance of units that cannot afford the costs. “We must bet on more and strengthen the entire supply and distribution chain so that the effects are long-term.”
He said that since different companies have joined the federal plan, it is expected that the rest of the economic units will continue to develop according to supply and demand, as well as the conditions defined by the market itself, so actions must be taken to counteract the negative factors.
The businessman added that another of the fundamental points that must be reviewed is the stabilization of fuels, which is one of the main inputs of the productive sector.
He emphasized that the control that is now established in the products will take effect in the next two weeks and may be verified precisely in the prices of the basic basket and in the demand that arises from it.
The president of the Concaem recognized the action of the federal authority to subsidize fertilizers, contain the increase in prices in toll fees, railway rates and guarantee a reduction in costs and customs times.