Mexico freezes basic food prices until year-end

MEXICO CITY, June 18 (Reuters) – Mexico will freeze prices on some 150 basic foods, ranging from cooking oil to canned beans, to ease the impact of rising global food costs on households and the economy, President Felipe Calderon said on Wednesday.

Calderon, who recently lowered import tariffs on some key foodstuffs, said industry federation Concamin had agreed to freeze prices on some foods until the end of the year.



“With this decision by Concamin, the prices of more than 150 products will freeze from today and until the end of the year,” Calderon told a news conference with the head of the industry group.

Like many countries, Mexico is feeling the effects of soaring prices of basic foods due to the increased use of biofuels and the growing demand for grains to feed a booming Asia, compounded by droughts and market speculation.

Reuters