The shrimp sector has decried that it is suffering from unfair competition caused by the alleged illegal commercialization of subsidized fuels, recalling that in December 2022 the government abolished the diesel price differential for shrimp vessels with more than 30 productive hectares.
The sector reiterated that the elimination represented an increase of more than $0.16 in production costs per pound and had a direct impact on its competitiveness, now compounded by the lack of control over the marketing of subsidized fuels in the country. the irregularity denounced by the National Chamber of Aquaculture (CNA) before the Minister of Energy and Mining, Fernando Santos; and Minister of Production, Foreign Trade, Investments and Fisheries, Julio José Prado.
Shrimp farmers with more than 30 hectares were left without diesel subsidy
In a statement, CNA asked the authorities to conduct an exhaustive analysis of Petroecuador EP figures, with the aim of sanctioning the illegal procurement of subsidized fuels. “This not only adversely affects the shrimp industry, but also causes significant economic losses to the state,” the union warned.
“The negative impact of this lack of control is undeniable. In the conversation with the President of the Republic, we pointed out the unfavorable effects of canceling the subsidy for diesel fuel from shrimp without the appropriate dynamics, which had a significant economic effect. In addition, the migration of consumption towards other subsidized fuels, by illegal actors, completely nullified the intention of the Ministry of Economy and Finance to generate state savings through the said elimination,” said José Antonio Camposano, Executive President of CNA.
And the CNA NEWSLETTER condemns unfair competition in the illegal marketing of subsidized fuels, which cancels out savings for the state. pic.twitter.com/okwpkHAM66
— Chamber of Aquaculture (@cnaecuador) June 7, 2023
The leader added that if there is no control, there is no direction of subsidies towards the most vulnerable sectors, and therefore no announced savings for the state.
“Informality is being promoted instead of legal jobs. We warned about it then, and now we’re reporting it to the authorities,” Camposano complained on his Twitter.
https://www.eluniverso.com/noticias/economia/camaroneras-de-mas-de-30-hectareas-se-quedan-sin-subsidio-a-diesel-nota/
Meanwhile, in a statement, the executive president of the CNA indicated that they addressed the Ministry of Energy and Mining with a clear and urgent request: immediately implement the necessary controls to stop the illegal procurement of subsidized fuels, as evidenced by the figures registered by Petroecuador.
He insisted that without these controls, the formal players in the shrimp sales chain are once again penalized, while the informal sector illegally benefits from subsidies.
The trade union, on the other hand, called on the authorities to take “energetic and strong actions in order to resolve this unacceptable situation”.
Source: Eluniverso

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