Rice: Walmart Denounces Lack of Controls

The supermarket chain accuses the Ministry of Economy of Costa Rica of not carrying out adequate controls to avoid the practice of selling rice with another product added as a gift, known as bandeo.

Tuesday, June 25, 2019

The practice reported by the supermarket chain before the Contentious-Administrative Court on June 20, in which the Ministry of Economy, Industry and Commerce (MEIC) is accused of not controlling it, is known as "bandeo" and is prohibited by a decree that has been in force since April 4, 2017.

You may be interested in “Rice: Purchases Figures in 2018

Yolanda Fernández, manager of Corporate Affairs at Walmart, explained to Nacion.com that "... that chain has never been against the "bandeo" and that even in 2017 it filed another complaint before the Contentious Court against the MEIC decree that prohibited that practice. That process is pending."

Fernandez added that "... The problem is that the bandeo was banned in that 2017 decree, but many businesses continue practicing it, breaking the rule. It's better for us to allow it, but we're not going to violate the current rule that prohibits them.

Also see "Rice: 4% Increase Declared in Bag Price

In the country, rice is the only product that has a price fixed by law and although distributors import it at a lower price, even paying the 35% tariff, it must be sold at the value fixed by the authorities.

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