Venezuela McDonald's Take French Fries Off the Menu After Potato Shortage: Was Problem Caused by a Contract Dispute or the Government?
Amid shortages in the OPEC country often blamed for oil price declines, Venezuela ran out of McDonald's French fries and now serves a side of yuca instead.
The Associated Press reported that over 100 McDonald's restaurants in Venezuela have run out of potatoes and have to serve alternative sides of deep-fried arepa flatbreads, or yuca.
The franchise says the West Coast dock is to blame. McDonald's said there was a contract dispute that caused several days of scarce French fry rationing which also affected Japan last month.
John Toaspern, the chief marketing officer with the U.S. Potato Board, said that there has been a decline in frozen potato imports even before the contract dispute with McDonald's. According to federal data compiled by the board, during the first 10 months of 2014 the country imported just 14 percent of the frozen fries from major McDonald's supplier when compared to the amount imported in the previous year.
Yet, Sonia Ruseler, the Argentina-based spokeswoman for Arcos Dorados, the company that runs McDonald's in Venezuela and other Latin American countries did not say why Venezuela's neighbors are not being affected with scarce French fry rationing as well.
In the meantime, the franchise "will continue to give our clients the McDonald's experience, offering 100 percent Venezuelan options," Ruseler said according to NBC News.
Local Venezuelans said the socialist administration is to blame for this shortage just like other shortages in the country, AP reports.
"It's because of the situation here; it's a total debacle," Maria Guerreiro, who says her daughter refuses to eat the fried yucca, said.
Many of the shortages in Venezuela have been caused by the country's control on money and the backlash from the black market, which could sell a Happy Meal for 90 cents while the most expensive the store could charge is $27.
"This situation probably has little to do with the U.S. port dispute and is mostly the result of Venezuela's very difficult economic situation," Alixa Sharkey, a researcher with the market research company Euromonitor International, said.
Sharkey predicted that McDonald's has been dealing with shortages for a while now.
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