A study requested by EL DEBER from the firm Zoomin Group revealed that in Santa Cruz de la Sierra there is a competitor that faces neighborhood stores and popular markets. August closed with a cumulative inflation of 4.61% The complicated economic situation of the country has led the population to look for the cheapest prices, at various points of sale, for the acquisition of products for the family basket and also for the personal use of the buyer.
EL DEBER requested a study from the specialized firm Zoomin Group, which during the second half of August carried out a survey of prices in neighborhood stores, 17 popular markets and the new format of discount stores (3B).
The study indicated that 24 products, including food for the family basket and personal hygiene items, that were chosen at random have prices ranging from Bs 4 to Bs 19. Meanwhile, in neighborhood stores, these same products have Prices range from Bs 4.5 to Bs 22, and in popular markets prices range from Bs 4 to Bs 20.
For example, one of the products that shows the variation is bottled oil at 900 ml, which in neighborhood stores costs at least Bs 12.50 and in markets Bs 12, but in the new format it is found at Bs 11 (see infographic).
Prices
Another of the selected products was wheat flour in a package 1 kilo, which costs Bs 7 in local stores and Bs 7.5 in markets, while in stores with the new format it costs Bs 6.9.
Household items were also taken into account in the product list. As for the six-roll toilet paper package, the minimum price at the three points of sale is the same (Bs 11), but the maximum price in markets and stores is the same. The average price of a neighborhood apartment is Bs 13.
Juan Carlos Jara, a researcher at Zoomin Group, sees a lot of dispersion in prices because they are adjusting due to the continuous increases that the market is facing, due to the lack of foreign currency and the difficulty of obtaining them. dollars to pay for imports and supplies.
He also said that today the cost of products has not finished landing with their final prices and in one more month there could be more increases in these prices.
"Businesses are afraid of raising the price because this would affect their sales, but they have no other option, because they are already buying at the new price. Why? Because the products have increased in value,” explained Jara.
So, following a line, he continued that due to the lack of foreign currency, inputs and finished products are imported at a more expensive price and therefore, when the article reaches the market, the merchant receives it at a higher price, then he has to transfer that price. to the final consumer.
For his part, economist Martín Montero pointed out that neighborhood stores tend to be the most expensive due to several factors, one of them being that they can take advantage of economies of scale and they do not have strategic alliances with suppliers or centralized negotiation. .
“Discount chains, on the other hand, have a good optimization of their sales spaces. To this we can add that their inventory turnover is higher and they have more efficient logistics. Which of them is using 3B? I don't know. , but I suspect that the first two play an important role, that is, they have economies of scale and strategic alliances.”
Negotiation with the industry is also a key point that allows the best prices to be passed on to the final consumer, according to experts.
In turn, financial analyst Jaime Dunn pointed out that there are importers who have greater ease in accessing dollars abroad than others and that is impacting prices.
“Now, in the matter of international trade, those who have this better "Those who have access to foreign currency are those who are managing to obtain (products) at lower prices, but even though some have these low prices, compared to last year, they are most likely to be higher anyway," said the economist. Finally, economist Juan Fernando Subirana, after observing the shared study, points out that the reduction in prices in the new format of discount stores can occur through supply by volume. "That is, by supplying in larger volumes than the market merchants." These can deliver products at better prices to the end consumer.”
And the supermarkets?
In order to have a complete picture of how the prices are in all the sales channels, an EL DEBER team made a tour of three supermarket chains in the capital of Santa Cruz, during the second half of August, to find out the prices of the 24 products.
It is important to mention that the prices taken into account in supermarkets are averages between the maximum and minimum values (see infographic).
Prices
When adding up the basket, it can be seen that in Hipermaxi it adds up to Bs 288.9, while in Fidalga Bs 298.8 are needed and in IC Norte it would be Bs 299.20. The difference is minimal between the last two 'super' mentioned.
Inflation at 4.61%
Bolivia has an inflation rate of 4.61% until August, one percentage point higher than the target projected for this year by the Ministry of Economy and the Central Bank of Bolivia in the Fiscal Financial Program 2024.
The Government expects an end-of-period inflation of around 3.6%, but the National Institute of Statistics (INE) reported on Friday the data of the Consumer Price Index, which registered an inflation of 1.58% in August.
The director of the INE, Humberto Arandia, said that climate change affected the production of several products. In addition, he focused on the speculation that was generated about the "alleged shortage of some goods," which caused prices to rise.
He stressed that this trend is not exclusive to Bolivia, as international organizations such as the International Monetary Fund (IMF) and the World Bank (WB) have projected an average inflation of 6.9% for Latin America in 2024.
However, the situation in the country has been particularly complex due to the vulnerability of local production to climate change and the difficulties in maintaining stability in the supply of basic products.
The sectors most affected by the increase in prices include food and non-alcoholic beverages, recreation and culture, as well as domestic goods and services, which reflects a direct impact on the daily spending of Bolivian households.
Arandia emphasized that the Government is confident in its ability to manage the economy and control inflation within the regional average, projected by international organizations.
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