The World : Mexico Hikes Dairy Prices

Mexico increased the official price of milk by 39.7% and the price of eggs by 36%. In lifting prices to the equivalent of 22 cents per quart for milk and 30 cents per pound for eggs, the Ministry of Commerce said the increases were necessary because price levels of the two commodities had been unchanged for four months and the production of such dietary staples had to be prevented from declining. Mexico’s inflation rate for the 12-month period ended in November was listed as 145% in the ministry’s bulletin, but the figure is expected to move higher because fuel and electricity prices were raised by 85% on Dec. 15. The ministry said milk and egg prices will not be raised again until March.