Fresh calls for price controls

Fresh calls for price controls
Published: 17 September 2019 (178 Views)
INDUSTRIALISTS and economists have said the Competition and Tariffs Commission (CTC)'s suspension of price and commodity monitoring programme has led to a drastic increase in prices of basic commodities such as maize meal, rice and flour, putting them beyond the reach of many.

The Grain Millers Association of Zimbabwe in May signed a memorandum of understanding with the Confederation of Zimbabwe Retailers, agreeing on a model pricing system for basic commodities to protect consumers from being short-changed by unscrupulous retailers.

But CTC suspended the initiative saying it wanted to investigate unethical business practices by some players.

Speaking at a breakfast meeting on the state of the economy on Thursday, Confederation of Zimbabwe Industries (CZI) president Henry Ruzvidzo said the decision by CTC to ban the price control programme was not helpful under the current economic situation.

"In my view with the challenges that we are facing which are unusual for any country, we probably need to introspect. We need to go back to the basics and do what works and not just apply the rules that are perhaps sometimes applicable to a better functioning economy," he said.

"So the initiative taken by the milling industry to try and self-regulate and control the events that are happening in the economy, perhaps what should be happening is there should be more discussions held with the authorities on how that can also work without infringing on the issues of competition."

Africa Economic Development Strategies executive director Gift Mugano urged CTC to consider the volatile economic environment.

"The current situation is that we have commodities which are in short supply and you cannot allow those commodities to go on a free market or on competition," Mugano said.

"How do you allow competition to take place when there is a shortage? The market will fail definitely! So we have seen that it is a basic practice globally, even in South Africa even here in Zimbabwe, we used to see Coca-Cola putting the price on the trucks that the drink of Coca-Cola cost $0,40 and that was self-regulation and the CTC was quiet about it."

He questioned why the CTC was not investigating unfair pricing.

"It's really a question of value chain approach, a negotiation to say that we should allow a situation where people go into a ransacking behaviour and what is now happening is that some retailers are charging prices which are astronomical and you can see this if you can just do window shopping that one is five times more than the other on the same product and the same CTC is sleeping," Mugano said.

"They are not going there and investigate unfair pricing. In any way, the Consumer Council act which is coming into play will allow industrial self-regulation.
So if they continue with that they are going against the current legislative process which is being put by government."

GMAZ deputy chair Masimba Dzomba said following the ban on the price monitoring programme, consumers were left at the mercy of unscrupulous traders.

CTC director Ellen Ruparaganga could not be reached for comment.

- newsday

Tags: Fresh, Price, controls,
 

You May Like These Videos

Comments

There are no comments.

Latest stories

PHOTOS: Job Sikhala becomes an instant internet joke

by Social media | 03 October 2019 | 261 Views

America says it is worried about Zimbabwe

by Mandla Ndlovu | 03 October 2019 | 313 Views

Madinda Ndlovu to be discharged tomorrow

by Staff reporter | 03 October 2019 | 193 Views

What are behavioral disorders and how can they be managed?

by Temba Munsaka | 03 October 2019 | 181 Views

Government speaks on Robert Mugabe's body parts

by Mandla Ndlovu | 03 October 2019 | 323 Views

Zacc recovers $100m property from looters

by Staff reporter | 03 October 2019 | 190 Views

WATCH: Mnangagwa apologises for destroying Zimbabwe satire

by Mandla Ndlovu | 03 October 2019 | 180 Views

Mphoko's application for release of passport dismissed

by Staff reporter | 03 October 2019 | 146 Views

Zanu-PF restructuring exercise begins

by Staff reporter | 03 October 2019 | 149 Views

Petrotrade declares $1.5 million dividend

by Staff reporter | 03 October 2019 | 93 Views

MSU, Zupco seal bus deal

by Staff reporter | 03 October 2019 | 169 Views

Mnangagwa to open ZMF conference

by Staff reporter | 03 October 2019 | 155 Views

High Court sets EcoCash hearing date

by Staff reporter | 03 October 2019 | 150 Views

Mphoko barred from leaving Zimbabwe

by ZimLive | 03 October 2019 | 151 Views

CIO agents monitor Jonathan Moyo in Kenya

by Mandla Ndlovu | 03 October 2019 | 376 Views

Acie Lumumba targets criminals around Mnangagwa

by Mandla Ndlovu | 03 October 2019 | 361 Views

$100 limit for cash-out transactions

by Staff reporter | 03 October 2019 | 261 Views

ANC starts anti-sanctions campaign

by Staff reporter | 03 October 2019 | 144 Views

ZESN calls for political parties regulation

by Staff reporter | 03 October 2019 | 126 Views

We've no forced labour evidence on Zimbabwe diamonds, says US Embassy

by Staff reporter | 03 October 2019 | 140 Views

Ex-ZPC board chairman freed on bail

by Staff reporter | 03 October 2019 | 135 Views

Cyber Bill seeks to safeguard citizens

by Staff reporter | 03 October 2019 | 110 Views

Cassava launches Vaya tractor services

by Staff reporter | 03 October 2019 | 148 Views

MDC Alliance boycott slammed

by Staff reporter | 03 October 2019 | 101 Views

10-man Bulawayo Chiefs stun Harare City

by Staff reporter | 03 October 2019 | 111 Views

Zimbabwe has a reputational problem, says US

by newzimbabwe | 03 October 2019 | 124 Views

MDC Alliance walk of shame

by Nduduzo Tshuma | 03 October 2019 | 192 Views

MDC councillors want suspension of Cowdray Park projects

by Staff reporter | 03 October 2019 | 113 Views

RBZ floats $300m additional TBs

by Staff reporter | 03 October 2019 | 107 Views

Teenagers rob soldier

by Staff reporter | 03 October 2019 | 116 Views

Duo rape corpse, get death sentence

by Staff reporter | 03 October 2019 | 124 Views

Mnangagwa to fly out for the zenith times

by Staff reporter | 03 October 2019 | 106 Views

Chamisa's MPs approach court to reverse 5 months allowance garnish

by newzimbabwe | 03 October 2019 | 84 Views

Zimra official forges Customs papers

by Staff reporter | 03 October 2019 | 70 Views

Zifa courts two nations for Warriors' friendlies

by Staff reporter | 03 October 2019 | 57 Views