The Fuel Shortage Puts Producers in Check

The economic crisis in Bolivia has intensified concern among agricultural producers due to the rise in production costs, mainly because of the increase in fuel prices. Despite the government's false promises to stabilize the supply of diesel and gasoline, the reality in the field shows an increasingly critical situation.

Fernando Romero, president of the Association of Oilseed and Wheat Producers (Anapo), indicated that between 20 and 26 million liters of fuel are required for the harvest. However, the current shortage has forced farmers to acquire diesel at inflated prices on the black market, significantly raising operational costs. This situation threatens the profitability and sustainability of key crops like soy, sorghum, and corn.

The government, led by the discredited economist Luis Arce, has reiterated its commitment to guarantee fuel supply and reduce costs for the productive sector on multiple occasions. Nevertheless, these promises have not materialized, generating growing distrust among producers. The lack of concrete actions has left the agricultural sector in a vulnerable position, facing challenges that could have been mitigated with more effective planning and management.

The inconsistency between official statements and the reality on the ground has been criticized by various actors. While the government assures that the fuel supply is normalizing, the long lines at service stations and reliance on the black market paint a different picture. This contradiction between discourse and practice has eroded the authorities' credibility and exacerbated uncertainty in the agricultural sector.

The fuel shortage not only affects the harvest phase but also the transportation of products to markets and the preparation of soils for future agricultural cycles.  The lack of diesel has paralyzed essential machinery, delaying tasks and compromising the quality and quantity of production. This scenario could lead to food shortages in local and national markets, directly impacting the country's food security.

The countryside pays for the government's incompetence

The economic crisis has caused a widespread increase in agricultural input prices. Inflation in Bolivia reached its highest level in nearly a decade in August 2024, with an annual rate of 5.19%. This increase in costs, coupled with the fuel shortage, has jeopardized the economic viability of many producers, especially small and medium-sized farmers with limited resources.

The lack of foreign currency and the decrease in hydrocarbon production have limited the country's ability to import fuel, exacerbating the current crisis. Despite efforts to diversify energy sources and reduce import dependency, long-term solutions have yet to be implemented, leaving producers in a state of constant uncertainty.

The agricultural community has expressed its frustration through protests and blockades, demanding immediate and effective solutions from the government. Inaction or insufficient responses from the authorities could trigger a food crisis, affecting not only producers but the entire Bolivian population. It is imperative that concrete measures are taken to ensure fuel supply and stabilize production costs, thus ensuring the continuity and sustainability of the agricultural sector.

Producers warn that if this crisis persists, many small and medium-sized farmers could be forced to reduce their production or even abandon their crops. The lack of state support and the rise in production costs not only affect agriculture but also jeopardize rural employment and food supply in the national market.

The combination of unfulfilled promises, ineffective management, and a deteriorating economy has placed Bolivian producers in a precarious position. Without decisive and coherent government interventions, national agricultural production risks suffering significant losses, with direct repercussions on the country's food security and economic stability.