peter
Dumisani Nsingo, Senior Business Reporter
THE Zimbabwe Sugar Association (ZSA) says it has put in place measures to monitor the marketing of its product amid revelations that there were some unscrupulous businesses hoarding and wantonly pricing the commodity beyond the recommended retail price.
In a statement, ZSA chairman Mr Muchadeyi Masunda said the organisation has noted with concern that some retailers and wholesalers were selling sugar beyond the recommended prices with others even demanding payment in foreign currency only.
A snap survey carried out by Sunday News revealed that a number of shops and supermarkets in Bulawayo were selling a 2 kilogramme (kg) of white sugar at $160 and that of brown sugar at $150 although the product was unavailable at most retail outlets.
The recommended retail price of 2 kgs white sugar is $147.86 while brown sugar is $140.45.
“The Zimbabwe Sugar Association (ZSA) has received numerous inquiries on the availability of sugar in the local market and has also noted, with concern, that some retailers and wholesalers are trading sugar at prices way beyond the recommended levels and in some cases with consumers being made to pay in foreign currency, notwithstanding the fact that the industry sells and delivers sugar in Zimbabwe dollars,” he said.
ZAS has urged consumers to refrain from speculative buying and implored wholesalers and retailers to continue selling sugar at the recommended prices.
“The sugar industry has resolved to monitor the situation on an on-going basis in order to encourage orderly behavior in the trade. The sugar industry will suspend supplies to all those wholesalers and retailers identified as being involved in hoarding and or speculative activities involving our products,” said Mr Masunda.
There has been an adverse shortage of sugar on the local market over the past two months. However, ZAS said this was as a result of disruption in production due to the effects of the coronavirus (Covid-19) and the situation has since been rectified.
“Sugar packing and distribution operations were indeed briefly disrupted during the third week of March 2020 and the first week of April 2020 as the Millers and Refiners were implementing, at short notice, robust measures to protect the more than 20 000 employees from the Covid-19 pandemic.
This resulted in some delivery backlogs to key wholesalers and retailers right across the country…all backlogs have virtually been cleared and normal deliveries are being scaled up to ensure that all areas across the country are fully serviced with immediate effect,” said Mr Masunda.
ZAS is targeting to produce about 455 000 tonnes of sugar for the 2020/21 season an increase from the 441 000 tonnes that was produced in the previous season.
“We are also pleased to advise that the 2020/21 sugar milling season started successfully and on schedule and that the Sugar Mills are currently operating at full capacity, with no major bottlenecks. The sugar industry expects to produce around 455 000 tonnes of sugar this season, compared to 441 000 tonnes in the prior season,” said Mr Masunda.
@DNsingo
Bongani Ndlovu