Minister Flores explained that with the price band the producers have indicators to decide if they continue or not with the sowing of the grass.
The price range for rice has the objective of capturing markets and that the farmer has sustainability and clear rules to compete with their production. This was stated by the Minister of Agriculture and Livestock (MAG), Rubén Flores, before the Economic Development Committee of the Assembly.
The official said that “if -the production- has a cost of more than $ 32, do not go to produce because you will lose.” He clarified that it is responsibility because politically you can put a political price at $ 40 and would have everyone happy.
“Tomorrow we will not have the capacity to buy rice from public policy, it cannot be sustained.”
He said that the weighted production price is $ 29.40 and the floor is $ 32.40, which leaves a margin of profit for the producer.
Given the differences that exist when compared to Colombia, he said that this country has trade agreements, which requires buying rice and corn from the United States, which has a quota of 300,000 tons of both products.
However, quotas have been achieved and 42,000 tons are shipped partially every 15 days. While with Venezuela there is a possibility of selling 13,500 tons of rice, six additional products are needed.
He mentioned that that country is requesting authorization to make use of a bilateral fund that has in Ecuador that allows them to buy.
Debts with the UNA
The lack of income to capture the rice by the Storage Unit (UNA) was attributed to debts that the Agriculture portfolio had with the public company.
Flores explained that for a purchase of quinoa the MAG paid $ 1.1 million; while of the $ 15 million pending for the purchase of fertilizers, $ 7 million was paid and the rest will be paid the following year.
However, he ignored the debt that is registered in the UNA. It is an exchange by Cuban doctors. The grain came out but they did not pay the UNA, that is, there is no support.
Lack of associativity
For 20 years we have an agricultural sector without a solid guild structure. We have met with more than 500 associations and we have to meet 700. We must strengthen the unions; the State must assume a fundamental role.
15 million dollars in rice represented the arrival of Cuban doctors in the country.
The price of the grain to the consumer is $ 49.50. The cost of production is $ 24 and the profit margin for the producer is $ 8 if he sells it at $ 32, which is the floor. The intermediary gets $ 17.50. (I)