Clothing prices might rise up to 10% in Yucatan: CANAIVE

“During the first quarter of the year, clothing prices will rise up to 10 percent in response to inflation and the increase in the price of fuels such as LP gas and gasoline”, declared the president of the National Chamber of the Clothing Industry in Yucatan (CANAIVE), Pedro Enrique Góngora Medina.

He said that apparently economic conditions will not improve and the increase in inflation remains uncontrolled, so the production sector will have make adjustments in their prices immediately.

He added that clothing companies have been absorbing the inflationary increase, but it is no longer possible to sacrifice profits, especially since prices continue to rise in hydrocarbons (gas, diesel) as well as in LP gas and other basic products.

Góngora Medina said that if there is no stability in inflation between now and March, this sector of production will have to make an adjustment of 5 or even 10 percent in their sale prices.

“We have very little room for maneuver, so if we continue with the upward trend of inflation, we will have to adjust the prices of our products, which would take place around the end of the first quarter,” he added.

The leader of the National Chamber of the Clothing Industry in Yucatan indicated that, at the end of 2017, there was an inflationary increase of 6.6 percent and in the particular case of the clothing industry, the figure was just under 5 percent.

Góngora Medina stressed that clothing manufacturers have called on the authorities to take actions to stabilize inflation in this production sector.

“These increases have caught us off guard, since the Bank of Mexico was expecting an increase in inflation of 4 percent, however, the increase went up to 6 percent,” he said.

The leader urged the Yucatecan society to buy products manufactured in the region, in order to support this economic sector of the state.

“We have an invasion of transnational brands and our duty is to support the local… We see that one of the strategies to optimize the clothing industry in the Yucatán is production, so we need to focus on production,” he concluded.

Source; https://laverdadnoticias.com/