Mexico, Jan 28 (Prensa Latina) Price hikes on national staples corn and sugar will make inflation span several months, forecasts Banco de Mexico.
The BM Board of Governors blamed an economic slump compared to 2006 to rocketing tortilla price and announced a GDP fall from 4.8 percent in 2006 to 3.25 or 3.75 percent and the loss of jobs.
Experts consider that only a new official policy would stabilize the price of tortillas and other products and services.
Sen. Heladio Ramirez, leader of the Rural Development Commission, said the rising price of tortilla extends to egg, meat and chicken.
His statements are in line with producers and specialists who claim that prices will not fall even if corn supplies improve.
The senator calls the current economic model useless since the Federal budget neglects rural areas and called to discuss the consequences of NAFTA on Mexican producers.
