‘Wanton price hikes impoverishing consumers’

BUSINESSES should embrace ethics and desist from wanton price increases that have been blamed for impoverishing a majority of consumers.

Economists and the Consumer Council of Zimbabwe ( CCZ) have expressed concern over recent price increases on various basic commodities countrywide and called for speedy enactment of the Consumer Protection Act, to effectively address the plight of consumers.

A Bill is being worked on and if approved, the law will result in the establishment of a Consumer Court and a Consumer Protection Commission, which have been on the cards for years.

“The Consumer Protection Act will be a game changer as it will bring order to the market and protect consumers by enhancing customer care. For now it is at Bill stage and will go to Parliament and we expect it by mid next year,” said CCZ executive director Mrs Rosemary Siyachitema.

“In terms of the prices, yes we need to cultivate a positive image but what’s happening in the pricing system is phenomenal. People are being impoverished. The state should ensure that our people are surviving and look at how we mitigate this.”

She was speaking at an educational and awareness campaign meeting organized by CCZ and Zimbabwe Energy Regulatory Authority (Zera) in Victoria Falls to conscientise consumers about their rights.

“We have been making suggestions since 2006 and we will still continue saying when we increase prices let’s look at salaries. Currently the food basket for an average family of six needs between $600 and $700 per month and most families are living from hand to mouth.

“We are jointly hosting these awareness campaigns with Zera because we both have consumers at heart. The aim is for people to be energy smart as well as protect themselves,” said Mrs Siyachitema.

Speaking at a business dialogue focused on economic opportunities in Bulawayo and Matabeleland last week, economists also accused businesses of seeking to maximise profits through price increases instead of striving on competitiveness and quality service.

Businessman and former Competition and Tariff Commission chairman, Mr Dumisani Sibanda, said the economy had become inefficient in terms of pricing.