Feletti anticipated a “bad” inflation in March: “Miracles one does not do”

The Secretary of Domestic Trade, Roberto Feletti, spoke again about the main scourge of the economy in Argentina and the advance of the indices worldwide, having a strong impact on other countries. Specifically, he focused on the Consumer Price Index (CPI) for March and remarked that “it will be bad.” The monopolistic that we intervene in the gondolas, and the international one that is the decoupling that materializes through the retentions. In that framework, we discuss. Now, miracles you don’t do,” the official said in an interview in which he made it clear that it’s not just about prices but about the global impact. Prices “do not fall only with regulation, they can be contained, which is what we are doing now,” he said, adding that “to have an economy with sustained expansion and a stable price trend, we have to do it with accumulation of reserves in the Central Bank.”

Regarding the value of March, Feletti remarked that in the number there will be “a lot of impact of the war, a lot of impact on flour products. That’s going to hit a lot and it’s what worries me the most in food,” where he focused on some values such as wheat, sunflower and corn.” Ours is microeconomic. It is working on prices and costs of companies, and asking for monopolistic appropriations. Also fight so that international prices, which today are very high, do not impact on domestic prices, especially in food inputs.”

In this sense, he expressed his desire to increase withholdings in these products. “The Argentine people have to take into account that we cannot validate a wealth effect, that someone because they collect wheat, that product, suddenly, doubles or rises 70% in dollars and that wealth effect is transferred to bread and paid by the population. It is not plausible in a harmonious society. That has to be taken into account and neutralize that wealth effect.” The state should have more tools in terms of regulation. Now, the secretariat applies all that it has at its fingertips, that is, from daily monitoring to the tools that the laws give them,” he concluded.

Original source in Spanish