The decline in rice production caused by the impact of winter on the field is already reflected on the shelves of various supermarkets, which are beginning to show a certain shortage of products.
This was demonstrated during a tour of the team from Diario EL UNIVERSO through various facilities of different supermarket chains. There were empty seats in the sections where different types of rice are sold.
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For Juan Pablo Zúñiga, president of the Corporation of Rice Industrialists of Ecuador (Corpcom), this effect stems from the fact that there is less supply in the market; however, he assured that the industry is delivering to its customers as normal. “The problem is that there is less and less product supply on the market, which results from the drop in production during the winter, where there were lost areas, planted areas and those that were not planted,” explained Zuñiga.
He added that in the first half of the year, production dropped very sharply with the loss of 40,000 hectares of rice crops, which represents two months of consumption, which, according to Zúñiga, “are not currently on the market.” He warned that millers have stocks for 30 or 45 days at best, which is why he indicated that the sector must manage them in the best way to cover the contracts they have with their regular customers.
Another effect that goes hand in hand with product shortages is price increases. According to Zúñiga, this increase in supermarkets is caused by a drop in supply, which is the market situation. “With less supply, prices are rising, but this is not a problem arising from the industry,” said the head of Corpcom, who actually suggests to the Ministry of Agriculture and Livestock (MAG) that imports are carried out in a controlled and organized manner so as not to affect national production.
For example, in supermarkets, a 5 kg presentation of rice sells for between $6.77 and $8.92, depending on the brand and type of cereal. However, a few weeks ago the lowest price for these presentations was no higher than $5.50.
However, Zúñiga predicts that with the first imports, the pressure on the market will begin to ease and prices will return to lower levels. MAG announced last week that it would import rice as a preventive measure to guarantee food sovereignty, but it was clarified that a private company would be in charge of the import. As of the afternoon of this Tuesday, June 20, the strongest option, cited by the government portfolio, is for rice to arrive this week from Colombia.
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Meanwhile, this newspaper consulted the chains on rice supplies and prices. Almacenes Tía, for example, recognized that the rainy season in the coastal area was longer and stronger than in other years, which affected the agricultural and rice sectors.
“The harvests were not good, which caused a lower supply. As a result, the price of rice has increased, causing impatience among consumers that makes them buy more, which leads them to have reserves in their homes,” explained the chain, which assures that it has been able to meet the demands of its consumers at the moment, taking into account that the price of rice has increased significantly in recent weeks. “We always try to supply family consumption, it should be noted that wholesale orders are not served with this product,” the chain explained.
Meanwhile, regarding the current stock, Zúñiga calculated that with what can be sown and not affected by the winter, there could be rice until next October, but revealed that there is data that projects a greater impact of the El Child phenomenon in the last semester years.
“Therefore, there is a possibility that this rice will not be harvested or, in many cases, will not even be planted, especially here in the province of Guayas, where there are low-lying areas that are still flooded and cannot be planted,” the leader stressed. who assured that unless proper preventive measures are taken, even with high prices, there will not be enough supply to cover local demand.
Source: Eluniverso

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