YPF further increased the asphalt and Santa Fe suffered for its road works

The national oil company YPF has once again raised the price of asphalt, its second most traded product in the country after fuels. The increase is close to 17%, which accumulates to increases of 11% and 25% recorded in the last 90 days.

As expected, YPF's decision added more complications and uncertainties to the road sector, verifying by abrupt changes in macroeconomics and Casa Rosada's resolution to reduce the budget by 30 million

The price of asphalt is linked to the dollar and the update is, in principle, related to the sudden devaluation of the peso for the exchange rate of recent months. It is composed of 95% stone and 5% of a petroleum-derived chemical that is processed in refineries. YPF is number one in the market, followed by other companies in the sector such as Shell, which usually provides the road sector when the national oil company can not cope.

The truth is that it's an unexpected blow for most businesses. private companies that already have projects underway, as for provincial governments, such as the case of Santa Fe, which relies heavily on road works in 2018.

Rosarioplus.com contacted Pablo Seghezzo , Director of Roads of the province, to know the local impact of this new increase decreed by YPF. "It complicates us even more because the road and the asphalt are directly linked.In Santa Fe, we build new sidewalks, repavals or repair roads, all with asphalt," explains the official concerned.

The exorbitant increase of this raw material is already having a concrete effect in the province.The Gray House has allocated a budget increase of 1,200 million pesos to avoid any drifting work.

Whatever In any case, there are jobs that are paralyzed – private firms are waiting for prices to be lodged – and several offers have been stopped – Seghezzo has given as an example the postponement of the paving of Provincial Road 22, in the section that connects Pueblo Marini, Eusebia and Colonia Bicha, on the border with Córdoba

"We are talking about a very productive Tambera area that was waiting for this work. The plans have been disrupted by this new economic situation and we will wait, "he admitted.

The Minister of Roads said, however, that the works of the Santa Fe-Rosario road" will be auctioned ". "It's the road with the most traffic. There is a strong political decision to complete resurfacing beyond these economic fluctuations. In other cases, we will have to wait with the prejudice that this implies for many people of Santa Fe. "

The impact on numbers is not yet quantified. "With the dollar at age 25, we have had a 75% increase from year to year on modified asphalt, the one we use in Santa Fe because it's performing well with Thermal amplitude, a lot of heat in summer and cold in winter. This percentage has increased in recent weeks, it is certain, "said Seghezzo.

According to him, a 50% increase in 90 days" exceeds all logic. "Still more from a state company, which "must regulate market prices and not enter the game of supply and demand."

"It is not claimed that Another big asphalt producer, do not increase with the logic of the market. But YPF does not understand that it has to work together so that the road map can be developed throughout the country, "he complained.

On award winning companies, Seghezzo acknowledged that they were "worried and with parries." There are no clear prices and funding rates are inaccessible "We have work that goes more slowly. The increase in the price of asphalt has changed times. We will have to see when everything will stabilize, "he concludes.