Thursday, September 8

Honduras: Unrest over increase in fuel price

Honduran national newspapers are reporting unrest over increases in fuel prices in the Central American country. According to citizens I spoke with, people are under the impression that the country buys it's oil from Venezuela, which has not increased it's prices to Honduras. This leaves people with the impression that corrupt government officials are trying to profit from the price increases in the world market, which would not affect Honduran prices, if in fact Venezuela has not increased their price.

Honduran government uses has price controls and regulations on fuel prices nationwide. The capital city of Tegucigalpa was disrupted when taxi drivers held protests all around key entries to the city and main roads by blockading with their vehicles. Honduran newspaper, La Tribuna, has the story in Spanish.

"With rocks, sticks, and burning tires, and with their vehicles blockading the roads, the city is at a standstill." says the Spanish headline for Tiempo, a Honduran national newspaper.

The Tiempo newspaper is also reporting that business in the plastic manufacturing sector are also calling for a potential price increases, due to increase in the manufacturing costs and energy prices. Also, the raw material used in plastic manufacturing comes from petroleum based chemicals, which have also gone up. Honduras has about 45 plastic product manufacturing companies and of the raw materials needed, 90 percent is imported from the United States , and the rest from Mexico, Colombia, Venezuela, and Korea.