Colombia reaches deal with truckers to suspend road blockades
Adds context in paragraphs 4, 7, 8
BOGOTA, Sept 6 (Reuters) -Colombia's government on Friday reached a deal with truckers to suspend a protest over a rise in diesel prices afterroad blockades threatened to cause food and fuel shortages in the biggest cities.
The deal came after the government backed down from its plan to increase the price of diesel by 1,904 pesos (45 cents) per gallon starting this month, instead agreeing to a rise of just 800 pesos in two equal increments during the rest of the year.
"After several days of dialogue, the government has signed a commitment with the transport bases to lift the strike," the transport ministry said in a post on X.
Protests began on Monday this week.
Previously, diesel prices had been held at an average 9,065 pesos ($2.16) per gallon for almost five years, amid government subsidies that Finance Minister Ricardo Bonilla said cost some 12 trillion pesos ($2.87 billion) per year.
Such high costs mean the price of diesel needs to be brought more in line with international prices, to free up resources for spending on social initiatives, according to the government.
The government and the truckers also reached agreements on another 14 points, the transport ministry said, which include suspending additional diesel price rises until "structural transformations" are made in the sector.
Citing the protests and a separate spate of attacks on two of its pipelines, Colombia's majority state-owned energy company Ecopetrol on Thursday said it had shut off one of its fields producing 45,000 barrels per day and would also halt operations at others.
Reporting by Luis Jaime Acosta
Additional reporting and writing by Oliver Griffin
Editing by Christina Fincher and Andrew Cawthorne
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