Plan to contain inflation: AMLO announces fixed prices for 24 products

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President Andrés Manuel López Obrador announced that next Wednesday he will announce a plan to contain the increase in inflation in the country. He clarified that price control will not be established, but a guaranteed price will be established for 24 basic products of the basic basket.

President Andrés Manuel López Obrador announced that next Wednesday he will announce a plan to contain the increase in inflation in the country. He clarified a fix price will be established for 24 basic products of the basic basket.

He affirmed that members of his cabinet have worked to achieve an inflation containment plan, and highlighted that producers, merchants, carriers, and department stores have been willing to lower -without imposing- prices on consumers.

During his morning conference at the National Palace, the president said that “there will be no price control, but there will be guaranteed prices” for 24 products in the basic basket, especially corn, beans, wheat, rice, as well as milk.


“Without establishing price controls, we are reaching an agreement with large food producers and with distributors, with department stores, with all of them, and almost all of them are agreeing to help and what we are proposing is that we have an equal price for a basket basic that can be bought at the same price in Mexico City or in Tijuana or in Valladolid or Tapachula, a fair price,” he explained.

“We are working within the government in all areas, that has to do with gasoline prices. I anticipate that they are not going to increase electricity, nor gasoline, it is part of this plan but we are also considering productive activities a lot, especially those that have to do with planting food. I am also taking advantage here, I am not going to let the opportunity pass, to exhort, to respectfully call on the peasants, so that corn is planted, beans are planted, the basics, because they face shortages, inflation, with self-consumption, not only with commercial production,” he said.

“If we are self-sufficient in food, we will win; it is not the same to buy beans, to buy corn than to have it at home, you have to plant everything you can for self-consumption and this is accompanied by the support that comes directly, not through the dependencies, If not, support is deposited from the Treasury and we are going to expand the free fertilizer program,” he said. 

The National Consumer Price Index (INPC) presented inflation of 0.16% in the first fortnight of April 2022, for which the annual rate stood at 7.72 percent. As a reference, in the same period of 2021, biweekly inflation was 0.06% and annual 6.05 percent.

The prices of agricultural products increased 0.65%, highlighting the price of tomato, serrano pepper, and avocado, which were sold at 16.65, 15.16 and 4.73% more expensive, respectively. Energy prices and rates authorized by the government fell 1.70% at a fortnightly rate, which was mainly due to adjustments in electricity rates within the warm season scheme in 18 cities in the country.

Source: eleconomista.com.mx, forbes.com.mx

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