Mexico will waive import duties for one year on a range of household staples, most of them food-related, in a bid to curb inflation, the government said on Monday. Earlier this month, the government agreed with businesses to increase production of staples such as corn, rice, and beans to control inflation, which is at an over two-decade high.
The products on the government import list included corn oil, rice, tuna, pork, chicken, beef, onions, jalapeño peppers, beans, corn flour, wheat flour, eggs, tomatoes, milk, lemons, white corn, apples, oranges, wheat, and carrots.
Banco Base economist Gabriela Siller said the impact of the measures on inflation would likely be modest because the items exempted amounted to about 11.4% of the consumer price index. It would, however, increase pressure on public finances, she said.