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No Fare Readjustment “May Lead to Transportation Shutdown,” FEMATRO Says

No Fare Readjustment “May Lead to Transportation Shutdown,” FEMATRO Says

The Mozambican Federation of Road Transport Carriers’ Associations (FEMATRO) said this Thursday, June 9, that if the Government does not accept the proposals for the readjustment of the transport tariff, “it will paralyse the activities due to the unsustainability of the business in view of the current price of fuel.”

To DE, FEMATRO president Castigo Nhamane annuated that “sooner or later the Government will have to accept the transporters’ tariff proposals, because if it refuses, we will be forced to paralyse activities, which will cause transport shortages.”

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Nhamane points to the rise in fuel prices as the main reason for the readjustment of public transport. “We have fuel taking up 50 per cent of operating costs. Just imagine: if even sectors that do not depend so heavily on fuel prices have already increased the price of their goods and services, we will have no choice but to readjust the fares,” he explained.

As for the negotiations with the Government, FEMATRO said that “the talks continue, so much so that next Saturday, June 11, we will have a meeting with all social strata in the Maputo City Council, where this issue will be discussed”, said Nhamane, who also stressed that the meeting’s agenda also aims at raising the population’s awareness, “to make them understand that it’s not our fault”, he said.

The public transporters have long expressed the need to readjust the prices of transport due to the rise in fuel prices, but the Federation and the Government have not yet reached an agreement.

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Only in the first semester of this year, the Government increased the price of fuel twice, in a period of less than two months, causing the transporters to register an increase in operational costs.

Currently, gasoline costs 83,30 meticais per litre and diesel 78,48 meticais per litre.

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