Chronicle Editor
THE Zimbabwe National Chamber of Commerce (ZNCC) has called on the Government to protect local industry from cheap imports which are flooding the local market.
According to a story carried by our sister paper Sunday News, captains of industry who attended the ZNCC Matabeleland chapter annual pre-budget meeting last Thursday, said Government needs to do more to protect local industry from cheap imports.
The industrialists noted that many of the products being imported are being produced locally hence the need to put in place measures to discourage the importation of such products.
Government has been encouraging citizens to buy locally manufactured products to support the manufacturing sector which is the process of retooling in order to increase capacity utilisation.
The challenge on the manufacturing sector is to ensure they increase the range of locally produced products which in most cases are of high quality compared to most imports.
The producers of local products should however, ensure that their products remain affordable to the majority of consumers. The Reserve Bank of Zimbabwe on its part, has been prioritising the manufacturing companies when it comes to allocation of foreign currency hence the need for these companies to reciprocate by making their products affordable.
There is an urgent need to address the country’s pricing model which at times defies logic. Recently there was a public outcry after a bag of cement was increased from US$8 to between US$10 and US$12 yet most of the raw materials for making cement are sourced locally.
It is such outrageous prices that force consumers to turn to imports. Some people are now driving to Botswana or South Africa to buy groceries because it is cheaper there.
Most local businesses are chasing the black market exchange rates hence they are constantly increasing prices of commodities which is very unethical. The same industrialists are now appealing to Government for protection from what they say are cheap imports.
It is very logical for Government to protect local companies because we need these companies to create jobs but this should not be at the expense of the consumers.
The local companies, as already stated, have an obligation to ensure whatever they produce remains affordable to the majority of consumers.
The pegging of prices based on the black market exchange rates has to be stopped immediately as it is threatening to erode the economic gains so far registered in reviving our industries and stabilising the economy.
What is required now are businesses that strictly uphold business ethics as opposed to profiteering at the expense of consumers.
Blessing Chizhande
Online Reporter