GAF

New measures to make agricultural marketing more flexible

As part of the implementation of the marketing policy in Cuba, it was decided to decentralize the prices of sweet potatoes, bananas and taro for social consumption, which benefits producers and brings new challenges in the management of the State budget.

New measures to make agricultural marketing more flexible
05 Aug 2021

As part of the implementation of the marketing policy in Cuba, it was decided to decentralize the prices of sweet potatoes, bananas and taro for social consumption, which benefits producers and brings new challenges in the management of the State budget. Meisi Bolaños, Cuban Minister of Finance and Prices, explained today in a press conference that the measures published in Resolution 320 in the Official Gazette of the Republic of Cuba number 88, of July 30, 2021, are intended to be more cost-conscious actual production. With these directives, producers will be stimulated and better quality products will be obtained, but emphasis should be placed on the prices agreed by the committees created at the provincial and municipal level, she stressed. The budget administrators of the internal trade system must adopt efficiency measures and better control over the resources they have, she pointed out, since they are not anticipating an oversizing in the budget, but a call for management efficiency. The quantities will not be affected, there must be better management of the reserves through an effective contracting process, which allows achieving good prices, quality, and seeking rationality in the chain, added the minister. Bolaños clarified that the retail price of the medical diets of agricultural products and those destined to the Family Attention Systems will remain centralized; Likewise, the prices of the workers' dining rooms are ratified at an average of 18 pesos per worker. If it is necessary at a certain time to respond to a subsidy or financing, it will be done by defending rationality and macroeconomic indicators, she said. Another aspect to highlight in the resolution is that the limit established with the ordering task of not being able to exceed the price twice what the products cost in the same period of 2019 is eliminated. These powers, granted to local government contracting committees, have been adapted because the reality of the country is changing and production situations have converged that make it impossible to limit price growth to only twice above 2019, she said. . The minister indicated that production costs have increased, however the cap is eliminated without prejudice to the power that the authorities of the territory continue to maintain to establish retail prices, while maintaining control over abusive prices. During the press conference held at the Ministry of Agriculture, it was clarified that the measures are the result of a study that had been carried out on dual prices. Before the ordering, there were centralized prices for more than 40 agricultural products that put the offers for the different destinations at the same level, with the ordering task they remain fixed in three products destined for social consumption: taro, banana and sweet potato, which are eliminated with the recently published resolution.


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