Ecuadorian Shoppers Rush to Clear Shelves before “Safeguard” Tariffs Imposed
Ecuadorian Shoppers Rush to Clear Shelves before “Safeguard” Tariffs Imposed
Correa Aims to "Protect Dollarization" with Heavy Taxes on Imports
Rebeca Morla March 13, 2015 at 8:12 am
The Ecuadorian government has issued “emergency” tariffs on over 2,800 imported items, in a bid to counter the effect of plunging oil prices on its balance of payments.
The move to place new “safeguards” on 32 percent of the nation’s imports went into effect on Wednesday, March 11, coinciding with a sudden shortage of merchandise on supermarket shelves. Several Ecuadorian social-media users posted photos of emptying shelves alongside the hashtag “safeguards.”
Interior Minister José Serrano quickly responded in kind, suggesting that the situation was the fault of “speculators.” Serrano uploaded a video purportedly showing employees of major supermarket chain La Favorita taking products down from shelves.+
“While the government works to protect dollarization, there are those who seek to create chaos and speculation,” he tweeted. “That is a crime that we will combat immediately.”
La Favorita responded to the video saying the company was simply replacing old shelves due to “renovations,” adding that the items shown in the video — shampoos, deodorants, and other similar products — are not affected by the safeguards. However, Serrano announced that police will be mobilized to prevent further “price gouging” by businesses.
More:
http://panampost.com/rebeca-morla/2015/03/13/ecuadorian-shoppers-rush-to-clear-shelves-before-safeguard-tariffs-imposed/