The union of the truck drivers show the power of the united people against the ups and downs of Brazilian politics
The desperate people themselves hinder the strike when they go to the stations in queues to buy petrol and derivatives filling the pockets of the suppliers! – stop and think ?
O desabastecimento de postos de combustível no Rio de Janeiro , São Paulo . Minas Gerais , Paraná , já é uma realidade. De acordo com o Sindicato do Comércio Varejista de Combustíveis do Município do Rio de Janeiro (Sindcomb), a última vez que as bombas da cidade foram abastecidas no dia 21 de maio de 2018 , dia em que a paralisação da categoria teve início. A entidade calcula que ao menos metade dos postos da capital estarão amanhã no dia 24 de maio de 2018 , sem algum dos três combustíveis: gasolina, diesel ou etanol.
Os 10 países onde o litro da gasolina é mais barata no mundo (Fonte: elaboração própria, com dados de GlobalPetrolPrices, Banco Mundial e FMI).
Venezuela almost freely distributes gasoline, with prices heavily subsidized by the Federal Government through its state oil company, PDVSA. Six of the ten listed in table 1 (marked with an asterisk) make up the Organization of the Petroleum Exporting Countries (OPEC), countries that have oil production well above domestic demand, which strongly subsidize the price of fuel in their country.
The truck drivers’ strike against rising fuel prices, especially diesel, has blocked roads in at least 12 states since May 21, 2018. Amongst the parallels unfolding on the country’s roads are threats to supplies in industries, retail, fuel distributors and food stores.
Fueling the tank with petrol in Iceland, Hong Kong or Norway is not cheap, as these three countries had the highest world prices to the final consumer in 2017. Table 2 shows that the per capita income of the countries listed is well higher than that observed in Table 1. In general, the higher the country’s per capita income, the higher the final price of gasoline.
In a list of prices with 167 countries, Brazil ranks 69th, whose average gasoline price is similar to that of European Bulgaria and the African island of Madagascar, whose per capita incomes are very different. The complete price list can be viewed at GlobalPetrolPrices. The comparison of gasoline price in Brazil with other South American countries is presented in table 3 below.
Table 3 – Comparison of gasoline prices in South America (Source: own elaboration, with data from GlobalPetrolPrices, World Bank and IMF).
Uruguay, which has the 15th highest world gasoline price, is the South American country whose final consumer value is the highest in the continent. The average price in Brazil is also slightly lower than that practiced in Argentina and Chile, countries with higher per capita income than Brazil.
The truck stoppage began on May 22, 2018, in several states of the country. The strikers protest against the successive readjustments in fuel prices, specifically diesel. Today, and it seems that these constant increases, give signs, indications that the suppliers of Petroleum involved in corruption want to recover the values taken from the public coffers, at the cost of the sacrifices of the Brazilian workers.
The lack of fuel also affects the operation of the buses. “This survey, estimated this morning, estimates the percentage of the fleet that did not go to the streets due to fuel unavailability, which compromises the transportation of passengers, especially in the Metropolitan Region, by up to 45%”.
In addition to fuels, there is also growing concern about the distribution of gas, food and other products. It is a democratic stalemate that we all think is fair to stop these constant increases that are happening in Brazil and taxes very high in the Brazilian tax rate.
There are things that are very difficult to understand. How can a country like Brazil, that for years lost money with the importation of gasoline, sell the production of the cheaper derivative to the foreign clients than to the Brazilians?
Composition of consumer prices (Source: PETROBRAS, 2018)
Considering that the average price practiced in Brazil is R $ 4.12 per liter, the following distributions of costs are taken into account:
13% = R $ 0.53 goes to distributor and reseller: the distributor is the one who buys the fuel from the refineries, stores and additive according to the current legislation. The dealer, which is the famous “fuel station”, acquires the fuel from the distributors and resells it to the final consumer.
13% = R $ 0.53 is related to ethanol: currently, Brazilian common gasoline contains 27% of anhydrous ethanol in its composition and this ethanol is purchased by the distributors from the producing plants.
29% = R $ 1,19 goes to the State Government: the tax on the circulation of goods and services (ICMS) charged on the fuel goes to the cash of the State Government, so that it uses in education, health, security, among others.
16% = R $ 0.66 are federal taxes: CIDE, PIS / PASEP and COFINS are federal taxes or collection. Each of them serves for different applications (see Table 1).
27% = R $ 1.19 from the refiner: this is how much Petrobras and other refiners actually receive for the fuel, serving to cover all costs of refining, storage and transportation to the distribution bases.
Table 1 – Federal taxes and contributions on fuels in Brazil
(Source: own elaboration from information of the Federal Government)
We still need a very intense and unified work to combat all types of exploitation by Taxes, tolls with high prices, food with high rates, housing, fuel, gas, etc.
The strike is against the abuse of prices and taxes, that is, against administration and not against people!
Foods whose prices are increasing, people do not buy because, they will have to give!
Mario Ronco Filho – journalist