The lack of a State policy for the agricultural sector, the lack of production planning and the unrestrained import have all been threatening the lives of Panamanians, warn specialists in the field.
The production of onion shortages, out of control import of this crop, the evasion of taxes by importers, and the excessive rise in prices are only a reflection of what is happening in the agricultural sector, explained the actors of the industry.
The agonizing Panamanian production sector has given rise to a growing dependency on foreign food, which according to Raúl Bethancourt, member of the Association of Economists of Panama, is not good to the country.
The balance of trade is an evidence of this situation: the imported value adds up some 4,558 million 46 thousand dollars and the exported one, only 264 million 858 thousand dollars.
Only in food, Panama annually buys more than 1,000 million dollars, according to economist Augusto García.
Meanwhile, Bethancourt stresses that there is an agriculture importer sector that is actually doing business and does not want to see the domestic production stop developing.
He added that the country "needs a policy of State aimed to achieve a successful production" because we are a country completely dependent on imports.
Producer Antonio Fistonich, of the Association of the Producers´ Community of Highlands, explained that imports have impacted production a lot in various sectors of the country.
Such is the case of onion, since of the 45 thousand quintals that the country requires monthly, producers only manage to harvest 13 thousand 500 quintals.
THe reason of the decrease is the distrust among producers who do not want to produce onions to then have to throw them away because when the time of reap arrives, the Government brings onion from abroad and this impacts on the price, just as happens with potatoes and others products, details Fistonich.
The consequences of situations such as this can impact more than one million people. The producer explains that agriculture generates approximately 253 thousand jobs and if multiplied by four people (families that depend on the activity), this fact ends up affecting one million people.
In addition, this puts food security at risk because a country that does not produce most of the food it needs to consume may succumb to the same fate as Venezuela, a country that requires to buy everything and where there is no food, said the expert.
But the impact goes beyond because there is an increase of Panamanians with diseases such as diabetes and obesity which are caused by the poor quality of food that they can afford, taking into account that the most vital nutritional components are beyond the reach of the majorities, as is affirmed by both Yori Morales, of the Trade Association of the Food Markets, and Bethancourt.
"They are killing low-income people," warns Bethancourt.
Morales said that the months of May, June and July of this year registered the highest prices of vegetables and crops in recent years.
The economist considers that there is a lack of planning. "The Ministry of Agricultural Development (MIDA) is walking on a road different from that walked on by the Ministry of Public Works (MOP) and the Ministry of Economy and Finance (MEF), and the consequences are being paid by the consumer", ensures Morales.
But for Pedro Acosta, President of the National Union of Consumers of the Republic of Panama (Uncurepa), states that the explanation is simple: "we have neglected the production; and speculation, excessive profit, and greed are fixing the price in the market."
Other deficiencies
Proof of the lack of planning, in the expert´s view, is that access roads are needed and 80% of the budget of the MOP is for urban areas, while, in the production areas, food is being lost, explains economist Bethancourt.
The transfer of a container with products from Panama to Europe costs between 500 and 600 dollars, while from Chiriquí to Panama that value amounts to 1,800 dollars. "We are a maritime country however we are not taking the advantage of this, so that the consumer may get cheaper food ", indicates the economist.
However, not only the lack of access roads and excessive imports are currently affecting both agriculture, the people´s pockets and the health of Panamanians, there are also other shortcomings, such as the modernization of processes and the implementation of new technologies, which most of the producers have no access to since they have just a few or no resources.
This picture is somewhat disappointing because according to economists, with the signing of treaties with other countries, tariffs will go down and products will be brought into the country which could be even cheaper, but not necessarily better, so an urgent strengthening of funding and technical capacity of domestic producers is needed.
Faced with this, Morales considered that they we should not demonize neither imports nor the retailer sector, it is necessary not to look at a short-term problem such as that with onion, but take a holistic view of the existing crisis.
"The State has given money to the sector, but in the wrong way, because we have to invest in technology, and it cannot be possible that the producer continues to sow rice with techniques coming from our grandparents," said Morales.
Producers question Acodeco functions
Highland producers responded to the Authority of Protection to Consumer and Competition (Acodeco), threatened by this entity of filing a lawsuit against the producers for having agreed to lower the price of onions, which was considered as a monopolistic practice.
Augusto Jiménez, President of the Association of Producers of Highlands, said that in Panama there is a market open to imports, which is the one that fixes the final price to the consumer, and not the local producers, who produce only 25% or 30% of the national consumption.
Jimenez questioned the performance of the functions of Acodeco and asked its manager, Oscar García, to present evidence that they exported the product to Costa Rica, alleging that the shortage of onions in the country is their fault. HE indicated that they sell the product in the field.
The producer said that before the previous problem of the shortage of onion, they have made the decision that each week they will be informing the population about the prices they sell products in the field, with the aim of making the consumer be able to calculate the cost in the market.
Regarding the problem of shortage of onion, he pointed out that it is already outdated, however, now the problem is moved from consumer to producer, since in the country have entered about 50 million pounds of onions and are to reach 96 million pounds more, putting at risk the national business.
Jimenez stressed that they want that chapter to be closed.
In past days, Oscar Garcia, administrator of Acodeco, justified the process against the producers arguing that the same problem would take place with agreed prices and not because are selling below the price that is being regulated, which was criticized by several sectors of the country, that pointed out that Garcia would be defending the importers.
