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LatinNews Daily - 30 November 2022

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CHILE: Remaining truckers’ unions agree to lift strike

On 29 November, Chile’s deputy interior minister, Manuel Monsalve, said an agreement had been reached with the remaining striking truckers’ unions and that a working relationship had been established between the government, transport and business sectors.

Analysis:

Chile’s powerful truckers’ unions initiated coordinated strike action on 21 November, demanding lower fuel prices and better protection from highway crime, and setting up roadblocks which caused serious disruption to food supply chains. The government reached an agreement with several unions on 27 November, but the Confederación Gremial de Transportistas Fuerza del Norte (CGFTN) and Confederación de Camioneros Centro Sur had vowed to continue striking. The fact that these two final unions have now agreed to lift the strike will serve as a relief for the government led by President Gabriel Boric, given that food and fuel shortages were beginning to bite in certain areas of the country.

  • A tripartite dialogue took place on 28 November featuring Monsalve and acting transport minister Cristóbal Pineda, union leaders Cristián Sandoval and Freddy Martínez and representatives from the national agricultural society (SNA) and Confederación de la Producción y del Comercio (CPC), which groups together businesses in the industrial, mining, banking, agricultural, and retail sectors.
  • The agreement addressed the demands of the truckers for improved road security and a freeze in fuel prices. Among specific demands of these unions was for smaller trucking companies to be shielded from eventual fuel price rises, which was agreed with CPC.
  • Yesterday, Monsalve said the agreement was not just about ending the strikes, but also about “establishing a space for sustainable dialogue” and avoiding conflict.
  • Agriculture Minister Esteban Valenzuela Van Treek welcomed the agreement, stating that the supply chain could begin to function again. Chile’s fresh fruit exporters association (Asoex) has said that losses from the strike could amount to some US$500m for the sector. 
  • The agreement follows that made with the Confederación Nacional de Transporte de Carga (CNTC) and Fedequinta, and four regional truckers’ unions on 27 November. That included freezing the price of diesel for 120 days and restricting increases in the price of petrol, as well as paying US$1.5bn into Mepco, the fund created to subsidise fuel prices, alongside a commitment to improve security.

Looking Ahead: The agreement signed on 28 November included a commitment for all parties to maintain dialogue. An initial meeting is set to take place in Santiago no later than 15 December.

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