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The Government extended Maximum Prices until January 31 and businesses report increases higher than those authorized

2020-10-30T21:08:54.703Z

The program reaches all stores, markets, supermarkets, supermarkets and hypermarkets and applies to 18 product categories, including food, beverages, hygiene and cleaning supplies.



Natalia Muscatelli

10/30/2020 5:54 PM

  • Clarín.com

  • Economy

Updated 10/30/2020 5:54 PM

The Government

has just extended until January 31 the validity of the Care Prices

, which reaches 18 categories of products.

It did so through Resolution 473/2020 of the Ministry of Internal Trade published -today- in the Official Gazette.

Meanwhile,

the tension between traders and the industry due to price increases

that exceed those authorized, has worsened again in recent days.

The commercial link says that, without a solution, there could be a shortage in the coming weeks.

"We are very concerned because lately we are receiving new price lists with increases that average around 10%," says Victor Palpacelli, head of the Argentine Federation of Supermarkets and Self-services (FASA).

This entity, together with the chamber that groups together wholesalers (Cadam), the Federation of Grocers and the confederation of retailers, came together in a kind of "Working Table" and

raised a request for a hearing - last Tuesday - before the Minister Production Matías Kulfas and the authorities of the Secretary of Commerce.

"We want to convey ideas that can provide solutions," says the head of FASA.

According to this source, it is becoming more and more

difficult to sustain prices

because suppliers "quote the deliveries" or "do not deliver the products directly to us if we do not accept the increases," he explains.

The point is that businesses fear being sanctioned if they do not comply with official regulations.

The advance of the dollar in recent weeks, evidently, motivated the remarks of the industry that argues for increases in its logistics costs or its inputs.

Despite the fact that the food and beverage industry tends to have priority over other areas, when it comes to accessing dollars with official value.

For this reason, the manager clarifies: "there are some companies that have adapted to respect the maximum prices but

the vast majority have not,

" he points out.

If the issue is not solved, according to this benchmark of the entity that represents some 25,000 businesses throughout the country, “in the coming weeks there could be a

shortage of products in the gondolas.

Today there is no shortage, but we do have

a significant loss of assortment

as a result of this situation, ”he says, citing oils as an example, among the most complicated categories.

Other vulnerable products, in this sense, are also

flour and other baked goods.

Clearly, the situation affects to a greater extent smaller businesses such as warehouses, neighborhood supermarkets and Chinese supermarkets, which do not have the bargaining power of the large chains.

In October, the prices of the basic shopping basket, measured in supermarkets, registered an

average increase of 3.3%

compared to September, according to the consultancy

Tomadato

.

Thus, so far this year, the rise averaged 22.1% and the year-on-year measurement reached 38.9%.

Another point that plays against, according to traders, is the retraction in consumption that adds another risk to their commercial structures.

"We need whether or not to sell,"

insists Palpacelli.

"Sales in October were similar to those of September and August, which were months of pronounced falls in nominal terms of units," he said.

Look also

With the blue dollar on the rise, consumers intensify stocks in the face of devaluation expectations

The basic food basket increased 3.8% in September and a typical family needed $ 47,216 to avoid being poor

Source: clarin

All business articles on 2020-10-30

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