Million-Dollar Losses by Protests and Blockades

In the context of the protests and blockades that have been affecting Costa Rica for several days, the businessmen denounce that there are millions of losses, mainly in tourism, exports, and agricultural, industrial and commercial activities.

Monday, July 1, 2019

The protests that began last week and intensified on June 28, when students and teachers from at least 232 schools blocked several routes in the country, are caused, according to their participants, by young people objecting to issues such as dual education, neutral bathrooms, FARO tests or purchase of drones for agricultural schools.

The protests, which also sought the departure of the head of the Ministry of Public Education (MEP), were joined by a group of transporters, who added other petitions to the uprising that has several sectors at risk.

The requests of the transporters are that the government intervene so that Nicaragua suspends the charge of $50 for the entry of each truck into its territory, and that the sector is exempt from the 13% VAT, which they assure, they have to pay with the entry into force of the tax reform, this July 1.

In this context, the Alvarado administration formed a dialogue table with the dissatisfied sectors at the same time that made official that Edgar Mora, Minister of Education, will be out of the MEP.

In response to this situation, the business sector "calls for calm and a resumption of dialogue between the several sectors of Costa Rican society in order to end the protests and blockades that have recently led by groups of fishermen, transporters, teachers and students."

From the UCCAEP statement:

July 1, 2019. The Unión Costarricense de Cámaras y Asociaciones del Sector Empresarial Privado (UCCAEP) (Costa Rican Union of Chambers and Associations of the Private Business Sector), makes a respectful call for calm and a resumption of dialogue between the several sectors of Costa Rican society in order to end the violent protests and blockades that have recently led by groups of fishermen, transporters, teachers and students.

  "The only way to solve these problems is dialogue between the parties involved, and as a country we must seek a peaceful agreement. While dialogue processes may seem slow and difficult, it is the most effective long-term way to resolve differences, where no one is hurt and where all the points of interest of those involved can be covered," said the president of the Union of Chambers of Commerce, Gonzalo Delgado.

  UCCAEP confirmed that the protest movement, led by some carriers, already generates million-dollar losses to different productive sectors and this could jeopardize many sources of employment.

  After reviewing the most affected sectors, the following are mentioned: tourism, the export sector, agriculture, industry and commerce.

In the case of tourism, clients are reported trapped in rented cars and others in tourist buses. Some operators have incurred in the payment of charter flights to remove their customers from the places where they were trapped.

  The other sectors register: 500 containers stopped on route 32, with the risk of losing $5 million daily. It was also reported the presence of refrigerated containers on the road, empty containers that do not reach the farms, cold chambers filled with products still on farms and ships that have left without cargo. Among the most affected products are bananas and pineapples, with exports of thousands of boxes about to be lost.

  Delgado said it is unacceptable that several groups are incited to this type of protests and blockades, because the country already faced millionaire losses last year, hence he is confident that the government of President Carlos Alvarado fulfills its obligations to protect all Costa Ricans and enforce the rule of law, protecting the majority of Costa Ricans from illegitimate actions that only cause discomfort and inconvenience to the citizen.

On the other hand, with respect to the events of the previous week, when explosives were thrown at government facilities and the Legislative Assembly, the Union of Chambers describes the actions as condemnable, since this country with its peaceful history, free of an army, must put a brake on such movements and on those who encourage such actions to seek personal gain.

  "We have to respect the judicial systems, the rights of others, the institutions and our democratic system. The throwing of stones and other objects could have caused serious injuries to someone and that is not Costa Rica, those are not the characteristics of Costa Ricans. In addition, these attitudes do not favor the growth of the country, Costa Rica is not seen with good eyes in the international community when these facts occur. We must all be patient and adhere to the rules of respect and dialogue," added the president of UCCAEP.

  Another aspect that worries Delgado are the messages that have been spread through social networks where they talk about military overthrows and calls to take up arms against the government, a situation that must be stopped immediately, because they are crimes of sedition so the authorities must act with what the laws dictate.

  The representative of the productive sector reiterates the need to call for the union of all Costa Ricans to seek a common good, in addition to preventing the image of Costa Rica can be compared with other nations in the region, where differences are handled with violence and repression.

More on this topic

Division into Business Union Worsens

November 2019

After the Chambers of Commerce and Industry and the banana growers' union of Costa Rica decided to leave UCCAEP, the Chamber of Construction has asked for the resignation of the president of the business leadership.

The board of directors of the Costa Rican Chamber of Construction (CCC) requested by means of a letter, which was sent on November 4, the immediate resignation of Gonzalo Delgado, president of the Costa Rican Union of Chambers and Associations of the Private Business Sector (UCCAEP).

Strike, Blockades and Tourism

September 2018

After nine days of strikes by public officials in Costa Rica, tour operators, hotels and restaurants in different parts of the country are reporting that reservations are being cancelled and sales are plummeting.

The strike being promoted by the country's public unions started on Monday, September 6, and has already caused millions of dollars worth of losses due to multiple road blocks and acts of sabotage in the fuel distribution chain, among other coercive measures. 

Strike: Business Leaders Demand Swift Action

September 2018

Following a week of strikes by public unions in Costa Rica, the private sector is demanding that authorities act faster and prevent public roads from being blockaded.

In the face of the strike led by public unions in the country, which has now been ongoing for more than seven days, the Costa Rican Union of Chambers and Associations of the Private Business Sector (UCCAEP) is demanding that the government act quickly and avoid further blockades on public roads.

Another Week of Strike in Costa Rica

September 2018

Millions of dollars in losses to the business sector, fuel shortages and roadblocks are some of the consequences of the strike by public officials in the country.

Since the unions of public institutions started the strike on Monday, September 6, the situation has been getting worse, with no sign of an end any time soon.

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