Retailers embrace reprieve on imports ban

Retailers embrace reprieve on imports ban

By Pretty

Retailers have welcomed government decision to lift import ban on basic commodities as a way to cushion consumers against rapidly rising prices and to avert shortages in the face of global food supply chain disruptions.

Government has moved to lift import duty on basic commodities such as rice, flour, cooking oil, maize meal to mention but a few for the next six months.

TateguruTv reached out to Mr Denford Mutashu, the founding President of Confederation of Zimbabwe Retailers (CZR) to fully understand the effects of this new development on the retail.

Asked how the measures will affect the economy, Mutashu applauded government’s quick response to the plight of the public in view of rising prices of locally manufactured goods.

“The move by the Government of Zimbabwe to scrap import duty on key basic commodities is welcomed development by all especially for the ordinary poor. The escalation of prices o n locally manufactured commodities had made it unbearable and quite difficult for the general public to access basic goods and services across the economy,” said Mutashu.

Mutashu expressed optimism that the move by government will see a reduction in food prices saying local producers can not hold consumers to ransom anymore due to competition.

“My wish is for the government extent the measures to uniforms, hardware, electrical goods, cement stationery etc. so that we can reduce the general costs of access to key basic commodities. There is need to give back the consumers the power to hold prices down. The move will increase availability of basic commodities across the economy and when supply outstrips demand obviously the market forces will kick in and ensure that there is general price stabilization across the economy.”

In response to how the removal of duty on basic commodities will affect the Buy-Zimbabwe initiative he said,

”I’m sure that a lot of manufacturers and businesses will cry foul but the move by the Government to extend the restriction measures to ban imports was meant to give industry sufficient time to retool and ensure they become competitive and in the wake of Africa Continental Free Trade Area (AfCFTA) it is quite feasible and important that local companies embrace digitalization and new technologies and ensure they are ready to compete with not only COMESA and SADC countries but the rest of Africa and the world.”

TateguruTv also spoke to Munyaradzi Hwengwere, who opined that more work is needed to be done to protect local manufacturers and level the competition on both sides. He acknowledged the need for the government to also introduce measures such as tax breaks and higher incentives to public procurement by local companies to help them manufacturer qualitative and quantitative goods that are affordable to all.