NewsWhore
07-09-2008, 03:10 PM
To date, the government has assigned a total of RD$3.05 billion to food subsidies in an attempt to keep the basic staples affordable to most people, and to prevent the price increases associated with increasing production costs that can reach as much as 50%. Less than a year ago the government began to subsidize foodstuffs as the price of fuel and raw materials increased around the world. Foods that receive subsidies include poultry, rice, beans, eggs, milk and bread.
Rice is the food that gets the biggest share of subsidies, taking more than half of the billions used in the program. The government is subsidizing rice to the tune of RD$600 per 125 pound bag, using RD$1.8 billion in funds so that rice can be purchased for RD$12 per pound. Milk is another big item, consuming RD$423 million. The bread subsidy was budgeted at just RD$254 million but that has already been used up, and the government is looking for hundreds of millions more to keep the most popular types of bread at just RD$3 rather than RD$5 or RD$7 per unit.
On the question of the controversial subsidy for the transport unions, the government has yet to work out just how to apply the proposal to supply diesel at RD$145 a gallon and propane at RD$65 per gallon. In fact, according to Diario Libre reporter Soila Paniagua, the government does not know how many units (cars, buses and trucks) will benefit from the program or along which routes. CNTU transport union leader Ramon Perez Figuereo told Diario Libre that daily talks are being held with the government entities that oversee the transport of passengers and freight throughout the country.
Previously, the government provided subsidies for electricity and LPG (propane), and this consumes about RD$30 billion per year.
More... (http://www.dr1.com/index.html#4)
Rice is the food that gets the biggest share of subsidies, taking more than half of the billions used in the program. The government is subsidizing rice to the tune of RD$600 per 125 pound bag, using RD$1.8 billion in funds so that rice can be purchased for RD$12 per pound. Milk is another big item, consuming RD$423 million. The bread subsidy was budgeted at just RD$254 million but that has already been used up, and the government is looking for hundreds of millions more to keep the most popular types of bread at just RD$3 rather than RD$5 or RD$7 per unit.
On the question of the controversial subsidy for the transport unions, the government has yet to work out just how to apply the proposal to supply diesel at RD$145 a gallon and propane at RD$65 per gallon. In fact, according to Diario Libre reporter Soila Paniagua, the government does not know how many units (cars, buses and trucks) will benefit from the program or along which routes. CNTU transport union leader Ramon Perez Figuereo told Diario Libre that daily talks are being held with the government entities that oversee the transport of passengers and freight throughout the country.
Previously, the government provided subsidies for electricity and LPG (propane), and this consumes about RD$30 billion per year.
More... (http://www.dr1.com/index.html#4)