The Midweek Sun

Food Botswana reduces purchase threshold for bran


Competitio­n and Consumer Authority (CCA), announced that it has reached a collaborat­ive agreement with Foods Botswana (Pty) Limited, a 100 percent owned subsidiary of Sefalana Holding Company Limited over the minimum purchase quantity for bran.

The two parties have mutually agreed to reduce the minimum purchase quantity for bran from 30 tonnes to 10 tonnes to enhance access to bran for customers, including small businesses and individual­s who may have been previously constraine­d.

Foods Botswana, which is based in Serowe, manufactur­es and produces sorghum, soya and maize products for retailing as well as Tsabana and Malutu produced exclusivel­y for the Government feeding scheme.

CCA Communicat­ions and Stakeholde­r Relations, James Molosankwe said the Authority’s interventi­on was prompted by several complaints from consumers and stakeholde­rs about access to bran from Foods Botswana. Initially, Foods Botswana had establishe­d a minimum purchase quantity of 30 metric tonnes, which seemed to limit market access and competitio­n in the retailing of bran as only a few large businesses could meet the requiremen­t, leading to market concentrat­ion. “Based on that, the Authority engaged Foods Botswana to remove the identified market constraint and reduce the minimum purchase quantity of bran to allow access by many businesses.”

He stated that the agreement, which aligns with the Authority’s commitment to promoting a competitiv­e and inclusive marketplac­e for the benefit of the consumers comes at an opportune moment when the Government of Botswana has just declared 2022/23 a severe arable agricultur­al drought year throughout the country. “The Authority therefore commends Foods Botswana for its cooperatio­n in reducing market concentrat­ion and improving consumer choice in the market for the retailing of bran.”

 ?? ?? CCA spokesman, James Molosankwe
CCA spokesman, James Molosankwe

Newspapers in English

Newspapers from Botswana