There is a certain consensus in the government that a devaluation of the caliber that some sectors of the economy are asking for would generate an inflationary spiral. Despite the fact that until now the Central Bank has not given the arm to twist on the official price, the consumer price index stopped its fall and it is expected, according to what private consultants anticipate, that the July figure will be above the 7%.
The strongest remarks came from the uncertainty faced by the industrialists due to the complications to access the Single Free Exchange Market when it comes to replenishing supplies. The idea is with a larger cushion of dollars, which would arrive due to the announced advancement of exports and the start-up of multilateral credits, to provide certainty about the replacement cost.
In this way, they seek that this also work as an anchor in expectations and specifically, that it be reflected in the prices of the gondolas. With the arrival of Matías Tombolini, the Secretary of Commerce now brings together a series of powers that it did not have before, fundamentally linked to Foreign Trade. This opens the door for you to have a joint vision of what is happening around imports and local price dynamics.
In that line, it would operate a “give and take” of dollars and prices. In other words, those who take dollars to the official price must demonstrate that this is reflected in the cost structure and later in the prices paid by consumers. They will also aim to monitor overstocking behavior and guarantee proper supply at all points of sale.
In radio statements, Matías Tombolini anticipated that, with the idea of generating a reference at a time of strong price dispersion, the Care Prices program will be relaunched. “We are going to get together with the supermarket cameras, the distributors and the local mouths. The idea is to raise the level of commitment of those who participate, we want it to have the imprint it had in 2014 and 2015”, said the official.
As Ámbito anticipated, the head of the Palacio de Hacienda launched a much stricter control of imports that will be operated through Customs. In this sense, the triangulation maneuvers that could lead to under-invoicing of exports and under-invoicing of imports were put under the magnifying glass. An exchange gap business that accelerates the exit of dollars from the Central Bank. Specifically, it works on some 13,000 operations of 722 companies for more than US$1,250 million.
The objective is to make more efficient use of foreign currency, which at this time is a scarce resource. In other words, every dollar that comes out of the reserves at the official price is used to produce and generate employment in the country. Beyond the companies that must explain their position to the official body, as explained by Guillermo Michel, it is to generate “a perception of future risk”, to cut off this type of behavior.
Source: Ambito
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