Juliana Samper
Ilan Pinski
February 9,2009
As you know, in la Guajira prices are really different from the ones we have in Bogota. We were very curious about the big differences in prices of products such as food, crafts and clothes in this important region of Colombia. After analyzing several aspects, we came with various conclusions of why these prices differ so much.
Being Bogota the capital of Colombia it is the major economical center were all the products are either produced here or taken from other regions since it has the best communication routes, so products can be easily distributed and can be sold cheaper. Unlike, in la Guajira being a region located far away from Bogota and other main cities, it is much more difficult to take and bring products that are not produced there, therefore all the products have to be sold at higher prices than in Bogota. La Guajira is not a major economic trade place of the country, although its located in the sea, which normally could make transactions and trades with other countries by boat. This is seen in other places like Cartagena, and Santa Marta. Another cause for the high prices of La Guajira is the amount of people that live there, most of them have low economic resources, so the stores have high prices for whenever tourists come, in order to gain a profit from the actual price of any good sold in Bogota.
Nevertheless, goods produced in la Guajira such as mochilas, hammocks, traditional dresses and many other crafts are cheaper than in Bogota. There are some other products such as tobacco, whisky that you can find them at very low prices on the black market with no taxes. In la Guajira, the land is not as fertile as the one found on the outskirts of Bogota, and this makes that region bad for any kind of agricultural product. As this does not happen, there are not many products that can be sent from la Guajira to other parts of the country for exchange, or to sell. If this were to happen, the people who live in the north of Colombia, would not have to sell other products such as sodas, or any type of drinks, because they would have a higher income with which they could make their lives better.
The economy in the Colombian Guajira is not at all like we know it in the capital of the country. It is completely different, for reasons that are visible when the Guajira Peninsula is explored.
To begin with, prices of goods that would normally be cheap in Bogota are extremely expensive in Guajira. This occurs because of poor transportation, organization of commerce and because of scarce public demand. The roads and routes are not made for these goods to be transported.
These people normally don’t have a coke at lunchtime, these also may be involved with customs, but it is unrelated to economy. The real reason is that these common goods that are known to the average Colombian citizen are not available to them, and if they are (as we had the privilege of having them), arrive being very expensive. They have a very different way of making money also. They trade and work in a different area of the economical pyramid than most of the country. It is like adding x and y variables together, when trying to make business with the standard Guajiran. They trade in terms of goats, artisanal mochilas, fish or crafts. This explains the economical seclusion, ergo, social seclusion.
The things from which they mostly gain a decent profit are mochilas, which they wove by hand, goat herding from which they extract wool, milk, cheese, and meat, and fish. Sometimes also by crafts, or small objects with inscriptions, or figurines.