Stoppage of heavy cargo carriers: the economic consequences and millionaire losses that this stoppage is leaving

Even though this guild decided to give Pedro Castillo's government a five-day truce, after the wave of violence and looting that Huancayo brought with it over the past two days, products still do not reach their destinations, causing the country to suffer millions of dollars in losses. And what are those consequences and how much is the loss?

For the economist and lawyer, Ricardo Moscoso, one of the main effects that this transport stoppage is bringing is for the consumer, as he says that 26 years ago there had been no equal price inflation. This increase is due to the conflict that has been going on between Russia and Ukraine.

“All those products linked to the regular basic basket, such as chicken, flour, corn, etc. are having a negative impact on food and are being observed with greater momentum in Peru, as a result of Russia's invasion of Ukraine. There is an increase in food prices by 3.5%,” he said.

In addition, the monetary loss by the country is enormous, Moscoso says that approximately 1,500 to 1,600 million soles per day is being lost.

“It's incalculable, but in general, 2/3 of the merchandise is not reaching the places where it should arrive, especially in major cities and that is harmful not only to the entire production chain but also to the same consumer who does not have products they can consume,” he said.

In terms of consumption, this is not only affecting Metropolitan Lima, but other cities such as Cusco and Arequipa, which also have a shortage of products and supplies such as onions, tomatoes and others that guarantee the livelihood of citizens.

“The wholesale chaos is reaching 1/3 of what is normally consumed, there is a reduction of approximately 2/3 of the income of goods in products of need,” he said.

According to calculations that had been made since the beginning of Russia's invasion of Ukraine, the price of fuel was expected to rise, and it was not known what impeachment the United States and NATO would have.

“The Peruvian state should stop the percentage variation of these macroeconomic variables with respect to fuels and energy use in the international market, since we depend on the import of resources, and that has also meant that natural forces were not prepared for the effects that are being having in the market”, added the expert.

In addition, Moscoso commented that the State turned a deaf ear to this demand for unemployment. “The Government considered that the criticism was from the opponents and did not realize that they actually came from those who are most affected by the increase in the basic basket and inflational phenomena in general,” he said.

In addition, he considered that the Government was not very cautious, due to the internal political crisis that had been going on between the Executive and the Legislative.

“This week the issue of vacancy was even given to Castillo, he was well spared, but the concentration of all the forces and skills that the Executive must implement to resolve this crisis, was rather concentrated on activities of a political nature that hurt the State because we need necessary political stability to face this,” he confirmed.

On the other hand, the expert complemented the idea by mentioning that there are independent institutions that are doing their task, such as the Central Reserve Bank. “They are trying to anticipate the possible contingencies that are going through, for example, to raise the interest rate in the face of a possible recession,” he concluded.

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