Chronicle Editor
President Emmerson Mnangagwa said on Monday that Government is crafting a law that compels businesses that receive foreign currency allocation from Treasury to charge their products in local currency.
Addressing chiefs at the 2018 Annual Chiefs’ Conference in Kadoma, President Mnangagwa said Government will revoke licences of such businesses if they fail to comply.
Government has repeatedly stated that the prevailing prices are not justified but it seems businesses have not taken heed.
There is a need for businesspersons to uphold business ethics and guard against speculative behaviour which in the past has seen some retailers and wholesalers hoarding commodities in order to create artificial shortages.
What has worsened the situation is that some businesses, especially pharmacies, are demanding payment in US dollars and those who want to pay in bond notes, RTGS or EcoCash are charged an equivalent based on the black market rate.
The pricing discord which has seen astronomical increases in the prices of basic commodities has eroded the workers’ salaries.
It is for this reason that workers are now demanding a Cost of Living Adjustment (COLA).
The workers are saying most of them will not be able to pay for transport to work hence the need to urgently address the issue of eroded salaries.
Civil servants have asked Government to pay them in foreign currency arguing that some retailers are rejecting bond notes or electronic transfers.
The junior doctors recently downed tools demanding to be paid in US dollars.
It is not feasible for Government and even the private sector to pay salaries in US dollars because the country does not have the foreign currency.
The limited foreign currency inflows are not even enough to pay for critical imports such as medicines and fuel.
It is against this back ground that we want to once again appeal to businesses to stop demanding payment in US dollars because the people do not earn US$.
It is not a good working relationship for Government to always resort to crafting laws to compel businesses to uphold business ethics.
When captains of industry and commerce met President Mnangagwa in October they made an undertaking to uphold business ethics and refrain from profiteering through fleecing consumers.
What is, however, obtaining on the ground is contrary to their pledge because most retailers are charging prices way above manufacturers’ recommended prices.
Businesspeople have in fact been dishonest and are to blame for the suffering people are going through. Businesses should revert to proper pricing systems as opposed to profiteering.
Government has been reluctant to interfere with business operations and we hope businesses will not remain defiant thereby pushing Government to take drastic action such as revoking licences.
We have said it before that businesses are there to serve the people and as such should be sensitive to the plight of their customers.
Online Reporter