Government and indigenous people in negotiations on subsidies

Representatives of the government and of the indigenous and social sectors of Ecuador began to negotiate this Wednesday agreements to set fuel subsidies, the main demand of the recent national strike that virtually paralyzed the country for three weeks.

The talks, which take place at the headquarters of the Episcopal Conference, in the north of the capital, are kept in reserve and the protagonists have anticipated that they will not reveal any partial coincidences either, so as not to hinder the negotiations.

After the violent strike in June, both representatives of the government and of the indigenous people and other social organizations promised to meet to deal with around 10 demands presented by the demonstrators that had to be resolved within a period of three months.

Among the demands are also the fixing by decree of prices for agricultural products and a larger budget for health and education, among others.

The president of the Confederation of Indigenous Nationalities, Leonidas Iza, leader of the national strike, before starting the negotiations said that the response to “what we have sent, with technical data, will be heard, and we will listen to what the government”.

The indigenous have presented a request for the targeting of fuel prices for public transport and vehicles from productive sectors for which they ask for subsidized prices: 1.75 dollars per gallon of diesel and 2.40 for gasoline, and for citizens linked in agricultural activities and in rural areas, set prices with a higher subsidy, 1.50 per gallon for diesel and 2.10 for gasoline.

Gasoline in Ecuador costs $2.40 per gallon and $1.75 for diesel.

The director of the Internal Revenue Service, Francisco Briones, one of the government representatives, said that the proposals presented by the indigenous people can be redesigned to improve the effectiveness of the subsidies.

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