In just the first two months of 2012, the price of a gallon of diesel has gone up 27 cents, an increase of 7%. The current price is $4.31 on average, and it is expected to rise again soon by another five cents, said Alfredo Calidonio, director of the Salvadoran Association of Cargo Transporters (Asetca).

"We want to revise rates because at current prices our industry actually becomes inoperative," said Calidonio to ElSalvador.com.

The union leader called for talks between all production sectors and the Government, urging the Ministry of Economy (Minec) to update its reference formula because it has not fulfilled the expectations of carriers in general.

Calidonio is asking for the government to temporarily remove from the reference formula some of the fees and taxes, such as Fovial, public transport subsidies (Cotrans), liquefied gas (Fefe) or VAT, depending on which of them is the most sensitive.

Source: elsalvador.com

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