‘Price hike madness frustrating economy’
GOVERNMENT will hold candid discussions with industry and commerce executives in Harare today to address the latest spate of basic commodity price increases, which have sparked an outcry from consumers and are frustrating economic progress, Industry and Commerce Minister, Mangaliso Ndlovu, said yesterday.
Responding to questions during a Bulawayo Provincial Investment Conference held at the Zimbabwe International Exhibition Centre, Minister Ndlovu said Government was equally concerned by the unjustified price increases.
“Businesses have been increasing prices in the last two weeks and someone was telling me that it is in response to the exchange rate. I don’t know whether our economy is a foreign exchange market or what but this does not make sense,” said Minister Ndlovu.
He said he met operators in the tourism industry on Tuesday and they were also saying they had increased prices in response to the exchange rate.
“What component of their business requires foreign currency, what percentage requires foreign currency and why are our price increases or price adjustments a mirror of the foreign exchange rate and not the inflation rate?”
A few days ago retailers including major supermarkets increased prices of basic commodities by margins of up to 75 percent. The move was despite the stability in the economy after the February Monetary Policy Statement, which has been widely endorsed by business.
Minister Ndlovu condemned the tendency by the private sector to profiteer through charging exorbitant prices.
“They are pushing consumers to revolt and thereafter want to engage and I believe that this is not responsible practice. I will be meeting them (private sector) tomorrow morning (today) and we want to have candid discussions around this issue which is killing our economy. It is killing our efforts to re-engage and have competitive products,” he said.
The Minister said some of the private sector players have informed the Government that there was no incentive to export because they were able to make their money locally.
“In other words it doesn’t matter to them whether or not our products are competitive in the region because they are making their money here.
“But they will come to Government for foreign currency to import raw materials, which foreign currency is earned by the private sector not by Government through exports. So it’s a concern to us and we hope this will be addressed,” said Minister Ndlovu.
The latest price increases have pushed prices beyond the reach of most consumers as their salaries have not been increased.
Prices of grocery items that include flour, rice, cooking oil, sugar, toiletries, washing powder, cereals and meat have been increased and as such are no longer affordable to most consumers.
A snap survey conducted by Business Chronicle a few days ago revealed that prices have gone up by margins of up to 75 percent.
A two litre bottle of cooking oil has gone up from an average of RTGS$7, 50 to RTGS$14 while a two kilogramme (kg) packet of chicken portions has gone up from RTGS$11 to RTGS$16.
A 10kg bag of mealie-meal has gone up from RTGS$6 to RTGS$8, 50 while 500g margarine shot up from RTGS$8 to RTGS$22. — @ okazunga A BULAWAYO architect famed for being part of the team that designed Joshua Mqabuko Nkomo International Airport, Mr Godwin Chitima has died.
Mr Chitima (43) was involved in an accident in Woodlands suburb yesterday morning.
He was driving home from the city centre when he lost control of his car, hit a tree and died on the spot.
Bulawayo police spokesperson Chief Inspector Precious Simango confirmed Mr Chitima’s death yesterday.
“We attended to an accident scene which occurred in Woodlands suburb, Bulawayo. The deceased was driving along Sherwood Road and when he was near number 27, he lost control of the vehicle and hit a tree. He died on the spot.
“We urge members of the public to exercise caution when driving at night,” said Chief Inspector Simango.
Family spokesperson Mrs Dorothy Mabika who is sister to the late Mr Chitima described her brother as a loving person who united the family in times of difficulties. She said their family comes from Chipinge. “He was the unifier, the glue that kept us all together. He was loving and helpful not only to us but to the whole community,” she said.
Mrs Mabika said Mr Chitima was born in a family of eight children, four boys and four girls but only three of them were surviving.
She said Chitima’s body will be flown to Harare this morning and he will be laid to rest in Murehwa in Mashonaland East province where his father was buried.
“We are sad that he will never be able to finish his many projects he was working on. Apart from the airport structures, he also designed some buildings for Nust, NSSA, Nyaradzo group premises in Donnington and Midlands State University and many other projects,” said Mrs Mabika.
A close family friend, Mr Eddie Chivero described the late Chitima as a hard worker who despite his busy schedule, always had time for his family and friends.
“My long time friend, Chitima was a young professional with a very good resume and we were all looking forward to greater achievements from him. He was a hard worker who however was never too busy for his family or his friends,” said Mr Chivero.
A statement released by Studio Arts Inc, the company which designed Joshua Mqabuko Nkomo International Airport said Chitima played a key role in the actualisation of the airport.
“He was part of the design team. He played a supervisory role in the drafting of the design of the airport,” said the company in a statement.
Chitima studied architecture in Zambia where he met his wife Inonge before they relocated to Bulawayo. He is survived by his wife and two children. Mourners are gathered at number 6 Holmwood Road, Woodlands suburb. — @andile_tshuma