Peru chamber of commerce: delays in fuel price reductions slow economic growth

A representative of the biggest chamber of Commerce of Peru said members want fuel sellers to reduce prices by at leasrt an additional 30% from current levels to fully reflect steep crude declines, local radio and TV station RPP reported on January 15.

.“It is necessary for the important amount (of savings) to be passed on to consumers,” a representative of the chamber of commerce said.
Gasoline and diesel prices have so far seen a decline of about 40% compared with July of last year, according to official figures.
However, a large part of the price decline was the result of tax cuts. Fuel taxes were significantly reduced in November 2014 and since that time there have been other tax concessions announced..
The chamber of commerce official made the comment as the state oil company Petroperu said that there was a 4% decline in fuel prices in early January.
The Peruvian Transportation ministry recently issued a press release detailing all the efforts the government has been doing to “translate fast and completely the reduction of international crude oil prices to domestic fuel prices,”according to a recent statement.