Unemployment, precariousness and business closures two months after the crisis on the Pan-American highway

Although the national government announced some measures, after the closure of the via the Panamerican, following a landslide Roses (Cauca), the departments of Narino and Cauca They have still not been replaced and at the moment they are alerting for the high unemployment rate, precariousness and business closuresamong other difficulties.

This was confirmed by the president of the National Federation of Traders (Fenalco), Jaime Cabal, who constantly monitors the situation through the branch of the union in the region.

According to Fenalco, the trade sector has reported a drop in sales between 50 and 60% due to the sharp increase in prices.

The panorama is aggravated by the blind increase in raw materials, which do not arrive easily, and transport freight, which shows a strong increase.

Before the emergency, these costs $2,200,000 for ten tons and today they cost about $6,000,000. During this time, crops lose their value. For example, the potato load what did it cost $250,000at this time he is paid at $120,000. Likewise, with the production of coffee, cocoa, watermelon and Tahitian lemon, which is an export product, among others. The area tourism it also reports a serious affectation due to the decrease in the arrival of tourists. Hotel occupancy is less than 10%.

Thus, commerce launched a SOS for Narino and Cauca Given the gravity of the situation they are experiencing and that, as things stand, there does not seem to be a short-term solution.

An example of the difficult situation in this part of the country was given by the financial and administrative director of the company EW Construcciones, Caroline Saavedra. He indicated that the effects of the closure of the Pan-American Highway have caused the dismissed 95% of the workers of this company.

“Our production levels have been reduced significantly from 98% to 99%. Being a concrete production company, we are strongly impacted because our main raw material is cement. Today we cannot transport cement. It is very difficult because there is no guarantee from the State or any entity towards the suppliers who distribute cement to us and therefore, it is up to us to take on this question of logistics in the transport of cement”, he lamented.

According to her, assessing the costs, with the few staff they have left, which is essentially administrative and a minimum of operational staff, it no longer gives them work,

“Right now we’re not in a normal economy, where jobs are active, so they’re buying from us and neither are we to meet demand. It should be closed for a fortnight“, he pointed.

The director of the National Risk Management Unit (Ungrd), Javier Pavaannounced on February 23, 2023 that the national government would not declare any economic emergency by the landslide in Rosas (Cauca). Although the collapse occurred on January 9, the option was considered due to the clogging of the Pan-American Highway, which affected trade in Cauca and Nariño.

According Radio Bluethe manager pointed out that The government takes care of the emergencies derived from the landslide.

Despite this situation, the director of Ungrd explained that during the meeting with the ministerial cabinet, the possibility of declaring a economic emergency. According to the media, the situation can be dealt with as part of the declaration of national disaster what the president announced Gustavo Petro on November 1, 2022.