CZR blasts speculative pricing

13 Nov, 2018 - 12:11 0 Views
CZR blasts speculative pricing

eBusiness Weekly

Michael Tome

HARARE – The Confederation of Zimbabwe Retailers (CZR) has implored retailers to practice restraint in pricing of commodities in the wake of speculative and immense profiteering behaviour by retailers.

This comes at the backdrop of sky-rocketing prices of most consumables beyond the reach of customers. Some shops have introduced a three-tier pricing regime, with products pricing now depending on the mode of payment.

Some of the basic commodities have since disappeared from the shelves.

In an interview on the sidelines of CZR Mashonaland Retailers and wholesalers awards, the organisation’s CEO Mr Denford Mutashu urged retailers and wholesalers to reasonably price commodities, bearing in mind the plight of consumers who are operating with a fixed income which is not stretching along with price hikes.

“CZR implores retailers to exercise restraint and practice fair pricing and take cognisance of challenges that our consumers are going through. We have a situation where basic commodities in other areas are being sold at very high prices like a bottle of cooking oil selling at $20 which is something we heavily condemn,” said Mutashu.

On prevailing shortages of basic commodities Mutashu indicated that he had held a progressive dialogue with cooking oil manufacturers who promised fair distribution of the product. The discussions encompassed finding ways to prevent loopholes that lead to hoarding of the commodity by retail and wholesale staff with intent to profiteer.

Furthermore he lauded Zimgold for maintaining supply at a time when some manufacturers had backed off in fear of contested currency values.

“We had a cordial conversation with some of the oil processors today we talked about finding ways to establish an even distribution pattern in order to have a wider reach considering that there are retailers and wholesalers that are far afield.

“I commend Zimgold for maintaining a strong presence, even in turbulent times they have delivered their product on to the market and we encourage other players to follow suit,” he added.

Mutashu said the Central Bank has been supportive to the sector particularly by providing foreign exchange to companies that import equipment (shelving, packaging material and bakery equipment) from across the border.

“In yesteryears we used to have companies that manufactured bakery ovens and packaging material but they have since closed shop, we now rely on importing these from South Africa, India and China which automatically translate to foreign currency requirements, we are therefore grateful to Reserve Bank of Zimbabwe for allocations it has extended to our sector”.

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