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June 11, 2023
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Fedecámaras Vargas warns that the economic activity of the entity decreased

Vargas is one of the entities that requires the most taxes from business activity, since they must pay commitments for the activity of the ports


The ports of Vargas are vital for the Venezuelan economy, especially in a context of dependence on imports, but according to the entity’s business community, port activity has decreased in recent months.

The president of Fedecámaras Vargas and the Chamber of Commerce of that state, Eduardo Quintana, affirmed that the entity suffers from a “critical” situation, and that it faces the same contraction that threatens the economy of the rest of the country.

Without offering concrete figures, he implied that many businessmen are stopping importing because they do not have enough income to manage a cash flow that allows them to pay for imports.

The contraction of imports, both of finished products and raw materials, ends up generating a negative chain reaction for all commercial activity and even for the collection of State funds.

“Activity has decreased enormously. If you are an entrepreneur who needs to import and you don’t have the resources, it simply cannot happen. This effect falls on the ports, airports and customs, since revenues from collections are reduced, “he commented in an interview with Union Radio.

Quintana maintained that there was a small rebound in activity in the last month in terms of imports, a flow that had not been seen since the end of 2022 and the beginning of 2023, before operations dropped in recent months.

The spokesperson for the business union reiterated that the crisis suffered by the commercial sector is fueled by the lack of liquidity, low wages and especially fiscal voracity, which is “predating” Varguense commerce.

«I know merchants who have to close because they can’t pay taxes. Many old-fashioned businesses are taking to the streets, resorting to open-air trading mechanisms,” she explained.

*Read also: Inflation in dollars and the fall of the economy: Has Venezuela gone haywire?

The National Council of Commerce and Services (Consecomercio) has already warned, on different occasions, about the risks that a high tax burden entails, which ends up pushing entrepreneurs into informality, which has negative repercussions for the State.

In the case of Vargas, Quintana affirms that it is one of the entities that requires the most taxes from business activity, since they must pay commitments for the activity of the ports.

On the other hand, it contradicted the government’s discourse regarding the capacity of Vargas as a tourist state. Although he acknowledges the high activity that the spas have, he maintains that more than tourist activity, the people of Caracas go to Vargas to spend “recreational weekends.

«Here people come with their entire package assembled. They cook and have fun on their own. Is the beach trader receiving any benefits? Ask and you will see that it is not so, “she stressed.

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