Several weeks ago, the Fenatrado trucking union dramatically increased its haulage rates for cargo coming into the country through the Port of Haina. The different business and industrial associations, however, were unwilling to absorb these hefty price hikes. Fenatrado has since tried to establish a bargaining table, but a new round of threatening comments makes successful negotiation seem unlikely. By way of a letter, Elena Viyella de Paliza, the head of the National Council of Business (Conep), warned the transport union that its members would transport their cargo with those companies that offered the best prices and services.
Conep has said that Fenatrado is free to increase its rates, but that businesses cannot be obliged to use the service and must be free to seek alternate means to transport cargo from the ports.
Fenatrado proposed that a panel of economists or technicians from both entities conduct a study to determine the real operating costs and establish fair tariffs. Viyella de Paliza pointed out to Fenatrado leaders that free competition and transit are basic rights upheld by the Constitution. Furthermore, she says the truckers union has already received competitive advantages under the Plan Renove, by which the government authorized the donation of 262 trucks and 10 forklifts to Fenatrado members, while cargo owners or Fenatrado competitors have received no such privileges.
List?n Diario reports that Fenatrado increased its rates on 10 March from RD$1,800 to RD$2,500 for the trek from the port of Haina to Avenida Duarte. The Santo Domingo-Santiago rate rose from RD$4,000 to RD$6,500.
In order to resolve a protest that turned violent, the government in the past had given in to Fenatrado granting them exclusivity on 50% of all cargo leaving the ports at their imposed rates. Owners of the cargo would only be able to move half of their cargo?s volume independently or through non-Fenatrado transporters. Now, however, with Viyella de Paliza at the helm and following the announcement of the tariff hikes, the business sector seems to be standing firm by upholding their right to free choice and free competition. ?The transportation of cargo should be ruled by the same principles of free competition that govern other economic activities ? especially in these times of open markets, globalization and competitiveness?, says Conep.