Mexico to Raise Gasoline Price to Market Rate by 2010
Mexico to Raise Gasoline Price to Market Rate by 2010 (Update1)
By Andres R. Martinez and Jens Erik Gould
Sept. 9 (Bloomberg) -- Mexico will increase the price of gasoline sold by state-owned oil company Petroleos Mexicanos on a weekly basis until it
reaches international market rates in 2010, Finance Minister Agustin Carstens said.
Gasoline prices in Mexico will reach market rates as the government gradually eliminates its subsidy, Carstens said in an interview on Televisa
television today.
``We are proposing to reduce the subsidy to free the country's budget and to give a benefit to all the other sectors of the economy,'' Carstens said.
Gasoline subsidies will fall 43 percent to 138 billion pesos ($13.1 billion) next year, according to President Felipe Calderon's budget proposal.
Pemex, as the Mexico City-based company is known, is the sole domestic distributor of the fuel.
Mexico imports about 40 percent of the gasoline consumed in the country.
To contact the reporter on this story: Andres R. Martinez in Mexico City at amartinez28@bloomberg.net; Jens Erik Gould in Mexico City at
jgould9@bloomberg.net;
Last Updated: September 9, 2008 10:57 EDTCaboRon - 9-9-2008 at 12:12 PM
They have to do it ...
The subsidy is sucking the economy dry ...
CaboRonDavid K - 9-9-2008 at 12:21 PM
San Diego area gas is still dropping... $3.60's. Will be on par with Mexico prices soon... Perhaps Mexico won't need to raise theirs?Bruce R Leech - 9-9-2008 at 12:31 PM
one thing you can count on is they wont lower it when the market fallsHook - 9-9-2008 at 04:41 PM
No mention of diesel....................WHOO-HOO !!!!!CaboRon - 9-9-2008 at 05:45 PM
Quote:
Originally posted by Hook
No mention of diesel....................WHOO-HOO !!!!!
