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View Full Version : Farmers reject shipper's price increases



NewsWhore
01-27-2010, 05:10 PM
The position of the farming sector, as represented by the Dominican Agribusiness Board (JAD), is that shipping tariff increases cannot be borne under the current economic conditions. The Atlantic Clearance Facilitators, a shipping group created by E.T. Heinsen, announced increases for handling freight containers. As reported in Hoy newspaper's economic section, the JAD and other entities have rejected the US$40 additional fee being charged by the shippers. They argue that the fees increase their operational costs and decrease their competitiveness in markets in which they have to accept the prices offered. The JAD has joined the National Organization of Commercial Enterprises (ONEC), the Dominican Association of Importer Warehouses (Asoda) and the Dominican Federation of Merchants (FDC) to protest against the raise.
According to Osmar Benitez, the executive vice-president of the JAD, Dominican farm exporters "do not decide the price of the merchandise on the international market. "He said that prices were set by the market, and if the costs of the transaction are increased, this simply takes exporters out of the market that can be supplied by producers of similar goods from other countries." He said that the impact would be two-fold. Increased costs for imports would affect consumers immediately and competitiveness levels for the exporters' products would be reduced.

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