Merchants group signals skyrocketing extortion costs for small retailers

Extortion costs for small retailers have surged across the country during the coronavirus pandemic, according to an organization that represents their interests.

Pre-pandemic, extortion costs hovered around 200 pesos (US $10) per business, but shot up to 500 pesos minimum during the pandemic, says the National Alliance of Small Businesses (ANPEC), which estimates that extortion generates US $11.3 billion for criminal groups throughout the country.

“Extortion operates with total impunity in practically the entire country due to the growing wave of insecurity and violence … in the Tierra Caliente region of Michoacán and Guerrero; Bajío; Huasteca, Rivereña Tamaulipeca; the northeast of Chihuahua to Mexicali, passing through Magdalena de Quino, San Luis Río Colorado, Navolato, Culiacán, Los Mochis, Tijuana, Rosarito; towns in Zacatecas, San Luis Potosí, and near Monterrey; Mexico City … among others,” ANPEC said.

For small businesses, that insecurity means dealing with both petty theft and armed robbery while local and state officials demand bribes. But a “culture of not reporting” remains, ANPEC said, due to lack of trust of the police.

“There is a justified suspicion that [the police] are colluding with criminals in many cases, leading thousands of small businesses to close their doors, since nobody likes working only to have the money they spent so much effort earning taken away by people threatening their families,” said alliance president Cuauhtémoc Rivera.

With reports from Milenio

Have something to say? Paid Subscribers get all access to make & read comments.
El Mayo

Cartel leader ‘El Mayo’ Zambada says he’ll accept a life sentence, but asks for medical care

1
By pleading guilty early in the process and now indicating that he won't contest any sentence, El Mayo has saved authorities a spectacle of a trial but reduced the chances of new information emerging.
The mountains of Isla Tiburón, seen from Sonora, with cactus and desert vegetation in the foreground

Mexico in Numbers: Mexico’s largest and most populous islands

2
From remote desert isles to bustling Caribbean tourist hubs, get to know a few of Mexico's 4,000 islands with this week's edition of Mexico in Numbers.
rusted tap slowly dripping

MND Local: Multi-year plan announced to fix water problems in Guadalajara, plus a World Cup economic boost

0
The Guadalajara Metro Area will need more than its World Cup economic boost to fix systemic water issues for residents, but given the scope of the problem, every little bit helps.
BETA Version - Powered by Perplexity