Road tolls in question: rising transportation costs will affect prices 0

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LETA
Road tolls in question: rising transportation costs will affect prices

The planned increase in tolls for the use of highways will lead to higher freight transportation costs, which will affect the prices of goods and services and reduce the competitiveness of Latvian enterprises, therefore the rates need to be reviewed, writes Dienas Bizness.

Due to objections from representatives of the agricultural and forestry sectors, freight carriers, and business organizations, the amendments to the law on tolls for the use of highways, approved by the Saeima in December last year, will be reconsidered, as President Edgars Rinkēvičs did not proclaim them and sent them back for revision.

"Thank you to the president for paying close attention to what is happening in legislation, covering all areas. It is clear that the state budget lacks funds and the struggle for financing one's department is ongoing, but there are priorities. Imposing higher costs on farmers, while they have already been in very difficult conditions for almost three consecutive years not of their own making, but due to climatic factors, is illogical," said Rolands Feldmanis, chairman of the Latvian Association of Agricultural Cooperatives.

He noted that an increase in the tax burden will lead to higher prices for agricultural products and their transportation, and consequently, higher prices in stores. A significant increase in tolls for the use of highways is a blow to local farmers.

"This is a strange situation: in August-September, almost all political forces understood that for farmers, 2025 would already be the third unfavorable year, so solutions needed to be sought for farms to simply continue to exist, rather than think about any growth. However, in the context of the state budget, transportation expenses for products were increased," Feldmanis noted.

According to him, farmers most often only cross major highways and regional roads, while mainly moving on rural roads, the condition of which is such that it damages agricultural machinery.

Redaction BB.LV
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