The doubled cost of rice in local markets so far this year
\nis the talk of the day, after prices have moved up at a faster pace in the past
\nweeks. Speaking for the Ministry of Agriculture, its deputy secretary Jesus de
\nlos Santos says the recent price hike is due to speculation of wholesalers
\nhoarding their stock. The government estimates there are 2.5 million pounds of
\nrice in wholesalers’ warehouses. Osmar Benitez, executive vice-president of the
\nDominican Agribusiness Board (JAD), said that while rice should be reaching
\nconsumers at RD$8 per pound, supermarkets were selling the staple item from
\nRD$9.50 to RD$12. Hoy newspaper reports that the price of a 125-lb bag of select
\nrice has jumped from RD$800 to RD$970. Pablo Ciorinero, president of the
\nAmaprosan wholesalers’ organization, believed the government should allow rice
\nimports to enter the country. Carlos Rodriguez, owner of a retailer operation at
\nthe Hospedaje Yaque market, said that he has been told the cost of rice would
\nincrease to RD$15 per pound by December. He attributed the rises to a local
\nscarcity. The Listin Diario reports that Agriculture Minister Eligio Jaquez
\nannounced that 1 million quintals (100 million kilos) of rice would be released
\nto the market, so that the select grade of rice should not sell for more than
\nRD$9.25 per pound, and that intermediaries would be sold a pound of rice for
\nRD$7.30. Jaquez said import permits for rice would not be granted and that the
\ncountry has sufficient stocks to supply the market until April 2004. The motive
\nbehind the commotion over the price increases, says Jaquez, is the wholesalers’
\naim to receive lucrative contracts to import their rice. Over the years, the
\ngovernment has also protected local rice producers, who have benefited from
\npreferential prices. Nevertheless, when the DR signs the free trade agreement
\nwith the US next year, Dominican consumers could gain access to imported rice at
\nmuch cheaper prices if markets are freed and imports are not restricted to
\ngovernment-picked importers.<\/p>\n","protected":false},"excerpt":{"rendered":"
The doubled cost of rice in local markets so far this year is the talk of the day, after prices have moved up at a faster pace in the past weeks. Speaking for the Ministry of Agriculture, its deputy secretary Jesus de los Santos says the recent price hike is due to speculation of wholesalers … <\/p>\n