Local businesses have urged the government to waive duty for the importation of generators and solar gadgets to minimise the effects of electricity shortages in Zimbabwe.
Businesses have resorted to using other sources of energy such as solar and generators despite the high costs involved, <a href="https://www.sundaynews.co.zw/suspend-duty-on-importation-of-generators-solar-gadgets-government-urged/">The Sunday News</a> reported citing <a href="https://www.pindula.co.zw/Confederation_of_Zimbabwe_Retailers">Confederation of Zimbabwe Retailers (CZR)</a> president Mr <a href="https://www.pindula.co.zw/Denford_Mutashu">Denford Mutashu</a>. He is quoted as saying:
<blockquote>
It is still quite unbelievable by the generality of business that there is insufficient water to generate (power at Kariba) or we have used up our allocation of water to generate more electricity. However, most businesses have started investing in generators and solar-powered electricity.
We call upon Government to also waive duty for importation of generators as well as an array of solar gadgets into the country. This can also alleviate the impact of the current challenges that we are facing as businesses.
It’s a crisis on both the supply and the payments issue. As it is you may also remember that the power supplier has demanded payment of electricity exclusively in foreign currency the USD especially for commercial purposes.
This means there is more pressure on businesses. It piles more pressure on pricing, it also piles more pressure on members of the public and consumers. Ultimately prices rise because of power challenges. It affects the budgeting by the majority and generality of Zimbabweans.
</blockquote>
Matabeleland <a href="https://www.pindula.co.zw/ZNCC">Zimbabwe National Chamber of Commerce (ZNCC)</a> chairperson Mr McKenzie Dongo said businesses have resorted to using different and expensive sources of energy like solar and generators, and the cost is passed to consumers.
Since 2019, Zimbabwe has been experiencing acute power shortages which authorities blame on ageing power generators and inadequate foreign currency to import more electricity from neighbouring countries.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

Pindula News

Businesses Urge Govt To Waive Duty For Importation Of Generators And Solar Gadgets

Retailers have welcomed the scrapping of Value Added Tax (VAT) on pre-packed rice under Statutory Instrument 125 of 2021.
Retailers have been pushing for an exemption from paying the tax on rice packages of 25 kilogrammes or less, arguing that the decision to order them to pay VAT on rice undermined the “Zimbabwe is Open for Business” mantra.
Confederation of Zimbabwe Retailers (CZR) president Denford Mutashu welcomed the removal of VAT on rice, saying the move will save jobs and prevent the informalisation of the economy. Said Mutashu:
<blockquote>We are pleased to note the publication of SI 125 of 2021 which specifically sets out that all rice is VAT exempt.
The confirmation of the VAT position for rice shows that the government is committed to establishing a private sector-led economy in line with the ‘open for business’ policy of His Excellency.
We want to thank President Mnangagwa, Vice President Constantino Chiwenga, the Minister of Finance (Mthuli) Ncube, the Minister of Trade and Commerce, Sekai Nzenza for listening to retailers and the public and addressing the matter.
Confirmation that pre-packaged rice is VAT exempt will save many jobs as well as prevent both the informalisation and de-industrialisation of the economy.</blockquote>
Meanwhile, Mutashu said there was still ambiguity as far as the effective date was concerned.
He said CZR would continue to engage the Ministry of Finance to address the ambiguity which has been created.
In March this year Finance and Economic Development Minister, Mthuli Ncube, announced that retailers were not exempt from paying VAT on rice.
Ncube had insisted that the Zimbabwe Revenue Authority (ZIMRA) should continue collecting VAT on rice for periods backdated to 2017.
<h4>More: <a href="https://businesstimes.co.zw/relief-for-retailers-as-govt-exempts-vat-on-rice/" rel="noopener" target="_blank">Business Times</a></h4>

Retailers Welcome Scrapping Of VAT On Rice

The Confederation of Zimbabwe Retailers (CZR) has urged the government to enforce measures to curb the smuggling of goods into the country as the practice is undermining industrial growth.
In a statement, CZR also pleaded with the government to revisit the ban of second-hand vehicles older than 10 years, a move they say has caused a steep increase in vehicles’ prices. It said:
<blockquote>The country’s porous borders continue to undermine industry growth, as well as tariff protection efforts. Of particular concern is the Beitbridge Border Post.
We highly recommend that Government urgently establish a joint working committee incorporating various stakeholders including government, security forces, retail sector, manufacturers, civil society, transporters association, and others, to investigate smuggling at the ports of entry and illegal crossing points and then take concrete corrective measures to redress the anomaly.</blockquote>
CRZ said rather than banning vehicles based on the date of manufacture, authorities could consider roadworthiness. CZR said:
<blockquote>The ban on motor vehicle imports more than 10 years from the date of manufacture is a decision that should be revisited as it has only succeeded in raising the cost of motor vehicles in an economy already grappling with weak demand.</blockquote>
<h4>More: <a href="https://www.herald.co.zw/retailers-feel-heat-from-smuggled-goods/" rel="noopener" target="_blank">The Herald</a></h4>

Retailers Implore Govt To Revisit Second Hand Vehicle Import Ban

Businesses are in favour of an extension of operating hours from 8 AM to 4.30 PM and for curfew hours to be curtailed so that the curfew runs from 8 PM to 5 AM.
<a href="https://www.pindula.co.zw/Confederation_of_Zimbabwe_Retailers">Confederation of Zimbabwe Retailers</a> (CZR) president Denford Mutashu said the changes will enable businesses to stay afloat during the difficult conditions brought by the <a href="https://news.pindula.co.zw/2021/01/29/just-in-chiwenga-extends-lockdown/">coronavirus-induced lockdown</a>.
Under the current Level Four lockdown, retail outlets and the majority of businesses classified as essential services are required to operate between 8 AM and 3 PM while the curfew order is in place between 6 PM and 6 AM.
Mutashu said successive lockdowns have had a negative impact on businesses and this has been exacerbated by local authorities’ propensity to increase shop licence fees and also a hike in tollgate fees by ZINARA.
As a result, several businesses have closed shop, rendering hundreds of people jobless hence the push for the extension of operating hours. Said Mutashu:
<blockquote>Another biggest challenge is business fighting Covid-19 amidst an internal fight for its own survival where operating hours have been set at 08:00hrs to 15:00hrs while a curfew ensues from 6 pm to 6 am the following day.
Movement of goods and services is also currently slow due to roadblocks.</blockquote>
The Level 4 national lockdown runs to the 15th of February and some health experts have urged the government to consider relaxing the restrictions and focus on vaccinating the population to enable economic recovery.
<h4>More: <a href="http://newziana.co.zw/2021/02/09/businesses-want-operating-hours-extended/" rel="noopener" target="_blank">New Ziana</a></h4>

Business Lobby Govt For Extension Of Operating Hours

Retailers have welcomed the relaxation of the coronavirus-induced lockdown restrictions which resulted in the extension of business operating hours from any time between 6.30 am to 6.30 pm.
Confederation of Zimbabwe Retailers (CZR) president, Denford Mutashu, told State media that the development was welcome. He said:
<blockquote>CZR applauds the Government on the extension of operating hours for businesses in line with the gradual relaxation of Covid-19 lockdown restrictions.
The move implemented by the Government this week is in support of its plans to re-open the economy in a careful manner taking Covid-19 pandemic into consideration, which is still in our midst.</blockquote>
Zimbabwe is gradually emerging from a long lockdown, with various socio-economic activities now allowed.
The relaxations include a partial reopening of schools later this month, the lifting of a ban on inter-city travel, the imminent resumption of domestic and international flights, and the reopening of bottle stores, clubs and gyms.
<h4>More: <a href="https://www.chronicle.co.zw/retailers-applaud-extension-of-business-hours/" rel="noopener noreferrer" target="_blank">Chronicle</a></h4>

Retailers Welcome Extension Of Business Operating Hours

Shops anticipate their sale volumes to go up as consumers’ spending power is restored by the stability of the Zimbabwe dollar against the US Dollar on the market which has resulted in a fall in the prices of fuel sold in forex.
Confederation of Zimbabwe Retailers (CZR) president Denford Mutashu said that fuel together with foreign currency is the biggest cost centres determining prices. Said Mutashu:
<blockquote>This (reduction in fuel price) is a hugely positive development, which most people in the market never anticipated and I must note that this is hugely a reflection of the foreign currency market system.
Fuel and foreign currency are some of the biggest cost drivers in Zimbabwean business so when you start seeing them stabilising as is happening, then it’s a sign of good things to come.
So with this stability comes with the restoration of purchasing power.</blockquote>
The Zimbabwe Energy Regulatory Authority (ZERA), on Saturday, announced a reduction in fuel prices from US$1,28 per litre to US$1,18 for Blend (E20) while diesel is now US$1,09 per litre from US$1,04 per.
The development coincided with the firming of the local currency against the United States dollar on the forex auction over the past few weeks.
During the past two auctions, the Zimbabwe dollar has moved from ZWL$83.3994 to ZWL$83.3209, and now ZWL$82.6993 to the US dollar.
<h4>More: <a href="https://www.chronicle.co.zw/stabilisation-measures-to-bolster-consumer-spending-retailers/" rel="noopener noreferrer" target="_blank">Chronicle</a></h4>

Retailers Expect A Rise In Sales Volumes

Local producers and retailers have accepted a price moratorium announced by Vice President Kembo Mohadi on Wednesday.
VP Mohadi announced that prices of basic foodstuffs – including maize-meal, rice, cooking oil, sugar, salt, flour and bread — will revert to the levels of March 25, just before the lockdown.
President of the Confederation of Zimbabwe Retailers (CZR) Denford Mutashu confirmed that his organisation took part in the negotiations that resulted in the agreement to freeze prices. He said:
<blockquote>As the general public stays at home it deserves an uninterrupted supply of basic commodities at affordable prices.
We will also ensure that as retailers we will fully implement and comply with the price moratorium and ensure that the citizenry does not starve at this critical time.
It is our wish to work with manufacturers and suppliers to ensure that there is a supply of these basic commodities.</blockquote>
Meanwhile, the Oil Expressers Association of Zimbabwe (OEAZ), the Grain Millers Association of Zimbabwe (GMAZ), and the National Bakers Association of Zimbabwe (NBAZ) all said they supported the decision.
<h4>More: <a href="https://www.herald.co.zw/basic-goods-prices-revert-to-march-25-level/" rel="noopener noreferrer" target="_blank">The Herald</a></h4>

Retailers 'Will Fully  Implement' Price Freeze - Mutashu

The Confederations Of Zimbabwe Retailers has dismissed exemption letters in the public issued by CZR agents and said they were bogus and they did not originate from them, Newsday reports.
According to the body, there are people who are giving retailers in some parts of the country exemption letters to operate during the 21 days lockdown. The CZR said all letters of exemption come from the body and no official is authorised to give exemption letters outside the body.
CZR president Denford Mutashu in a statement said:
<blockquote>“The Confederation of Zimbabwe Retailers (CZR) wishes to inform retailers and wholesalers that letters of exemption to operate during the 21-day lockdown pronounced by President Emmerson Mnangagwa are only issued by CZR through Ministry of Industry and Commerce. It has come to our attention that there 
are unscrupulous elements purporting to be officials of CZR who have been duping retail players by promising to facilitate exemption letters on behalf of the confederation.
The procedures include a retailer or wholesaler has to be offering essential services, has to have a valid trading licence, should get clearance from your local Zimbabwe Republic Police station, should abide by the government gazetted new operating hours. The letter from association is free to members and 
non-members. The letter should strictly be used for the COVID-19 lockdown provision of essential 
services only.
The retailer must get a letter from Ministry of Industry and Commerce and CZR. It is critical to note that retailers should be  wary of bogus CZR officers and for one to become a member of CZR, you are encouraged to visit our offices and make inquiries</blockquote>
More: Newsday

Confederation of Zimbabwe Retailers Dismiss Retailers Exemption Letters Issued By CZR Agents

Confederation of Zimbabwe Retailers president Mr Denford Mutashu has expressed concern over the numerous brands of sub-standard mealie-meal that is finding its way into the country from neighbouring countries adding that they were likely to compromise the health of consumers.
Speaking to the Sunday News, Mutashu said:
<blockquote>We have noticed that there is a lot of imported mealie-meal that has hit the market and we don’t know if it has been verified and suitable for consumption without causing any implication to the consumers or whether it’s coming from certified millers from those countries. In the midst of this drought, we should also be very worried and prudent and alive to the fact that we cannot just consume anything and everything that ‘looks like mealie-meal’ as it will be detrimental to the future generation.</blockquote>
Foreign brands are finding their way into the local market due to a huge deficit in mealie-meal in the country. <a href="https://news.pindula.co.zw/2020/02/02/mealie-meal-task-force-unearths-serious-underhand-dealings-on-subsidised-mealie-meal/">The subsidised Roller Meal is reportedly being abused</a> by those who have access to it thereby increasing demand for the commodity.
Zimbabwe has over the past two decades has been failing to produce enough grain to feed the nation let alone export to other countries.
<a href="https://www.sundaynews.co.zw/uncertified-mealie-meal-floods-zimbabwe/">More: The Sunday News</a>

Authorities Raise Red Flag Over Various Brands Of Mealie-Meal Entering Into The Country

The Confederation of Zimbabwe Retailers (CZR) has resolved to blacklist its members found guilty of supplying the black market with mealie meal subsidised by the government.
Speaking during a telephone interview with the Chronicle on Thursday, CZR president Denford Mutashu issued a stern warning such retailers. He said:
<blockquote>As CZR, we’ll also take action against the shops involved inside marketing. One of the actions we will take is blacklisting them from accessing the Government’s subsidised products; we will ask the millers to cease supplying them.
If they are abusing the facility, then it means that there won’t be a success in the implementation of such Government’s programmes.</blockquote>
Recent reports indicate that some unethical retailers were channelling the roller meal to the parallel market for arbitrage opportunities.
The subsidised roller meal is supplied to shops by the Grain Millers’ Association of Zimbabwe (GMAZ), with the gazetted price of the commodity being $50 for a 10-kilogramme bag.
<h4>More: <a href="https://www.chronicle.co.zw/unethical-retailers-face-blacklisting/" rel="noopener noreferrer" target="_blank">Chronicle</a></h4>

Unscrupulous Retailers Face Blacklisting Over Subsidized Mealie Meal

Businesses have predicted an equally bleak if not worse 2020 as the economy continues to deteriorate Daily News reports. Some companies reportedly registered their weakest sales since GNU in 2019 according to the publication.
Different people spoke to the publication and this is what they had to say about business in 2019:
<blockquote>The environment has been characterised by increasing regulation, fast deteriorating infrastructure, acute shortages of power, water, fuel, foreign and local currencies; increased taxation, harsher borrowing conditions, escalating costs, reduced disposable incomes and hyperinflation. – <a href="https://www.pindula.co.zw/Simba_Makoni">Powespeed Chair Simba Makoni </a>
The fact that any economic activity or business depends on con- stant and uninterrupted power each moment to run its operations is no secret. Thus in the event that power goes out unplanned downtime can occur and that can cost businesses thousands or even millions of dollars – ZNCC’s Christopher Mugaga 
The country experienced significant power shortages during the third quarter and the power utility introduced load-shedding for up to 18 hours a day. This affected produce on output and produce on costs as the group switched to expensive alternative power sources – <a href="https://www.pindula.co.zw/Rita_Likukuma">Turnal Holdings’s Rita Likukuma</a> 
Currently the property sector in Zimbabwe is depressed with little or no sales activity across the different types of property classes. Whereas some transactions have been recorded in the residential sector this cannot be said for commercial and industrial property sectors where activity has come to a standstill – Real Institute Of Zimbabwe’s Alexander Millin 
In the majority of cases prices are firming northward. Companies require foreign currency injection to sustain operations and make goods available at affordable prices. The hyperinflationary pressures keep mounting on business and the ordi- nary consumers by day – CRZ’s Denford Mutashu 
This (foreign currency distor- tions) will continue to feed through to inflation, therefore, there has to be one price for foreign currency a uniform exchange rate that applies for all foreign currency transactions in Zimbabwe –  CEO Roundtable ‘s Oswell Bimha</blockquote>
Some businesses like mining giant Mimosa Mine have reportedly shelved their plans due to the prevailing economic situation.
More: <a href="https://www.dailynews.co.zw/articles/2019/12/29/business-predicts-bleaker-2020">Daily News </a>

Some Companies Registered Their Weakest Sales Since GNU In 2019,  Businesses Pessimistic About 2020

A picture circulating on social media has suggested that some shops are selling tomatoes at about $140 Zimbabwe dollars when one is using electronic money while they charge $100 when one is paying with cash. See picture below.
<img alt="" class="media-img" data-maxheight="505" data-maxwidth="233" decoding="async" src="https://pbs.twimg.com/media/EMjmX-kXsAAJWtf?format=jpg&amp;name=large"/>
The picture is circulated when<a href="https://news.pindula.co.zw/2019/12/23/zimbabweans-stampede-to-buy-christmas-goods-as-prices-stabilise-the-herald/"> government officials have recently indicated that prices of commodities have remained stable in the recent past.</a>
Meanwhile, most citizens have lamented over the inflation which they say has eroded their salaries to the extent that they cannot afford even basics hence this Christmas holiday will be dull.
Reports also suggest that shops are running out of mealie meal, a scary scenario since the country is now depending on imported grain to sustain the local demand.

Shocking Prices Of Tomatoes

Zimbabweans are reportedly stampeding to buy goods for the Christmas Holiday and are taking advantage of the the “stability” in prices of most commodities and Christmas promotions and special offers.
The Herald reports that it conducted a snap survey which disclosed that many shops were selling their commodities at fair prices contrary to expectations by many that prices will shoot up during the festive season.
The publication added that prices are relatively high when the commodities in question were imported.
Confederation of Zimbabwe Retailers (CZR) president, Mr Denford Mutashu told The Herald that the prices were as a result of improved supply of commodities.
Meanwhile, some observers have argued that shops are fully stocked because the buying power has diminished adding that the prices are beyond the rich of the common man whose salary was eroded by inflation.
More: <a href="https://www.herald.co.zw/christmas-shopping-rush-as-prices-stabilise/">The Herald</a>

Zimbabweans Stampede To Buy Christmas Goods As Prices Stabilise - The Herald

The Confederations of Zimbabwe Retailer president has said prices have stabilised this festive season, The Herald reports.
Mr Denford Mutashu was speaking to the publication when he said:
<blockquote>We have improved the supply of basic commodities and most shops are fully stocked. Many players have taken what is on the market to stock their shops so that they do not run out of stock, which has resulted in the stabilisation of prices in most supermarkets.
We have also noticed that the customers are out and about buying their goods focusing on basic commodities, though they are buying some stuff which is not basic. Clothing retailers have also stabilised their prices and we hope that the price stabilisation will continue into the New Year.
We are also trying to engage uniform retailers to stabilise their prices as we enter the Back-to-School time. We are happy to have noted the same (price stabilisation) is being done in other cities like Bulawayo, Masvingo, Gweru and Mutare, among others. We encourage our retailers to continue stabilising the prices so that the consumers can do their shopping at ease.</blockquote>
Prices of most commodities have been going up on a regular basis this year, however,<a href="https://news.pindula.co.zw/2019/12/17/month-on-month-inflation-in-significant-decline-report/"> statistics released showed that month on month inflation for November significantly decreased. </a>
More: <a href="https://www.herald.co.zw/christmas-shopping-rush-as-prices-stabilise/">The Herald  </a>

Prices Have Stabilised This Festive Season - CZR

Retailers have expressed concern <a href="https://news.pindula.co.zw/2019/11/28/picture-new-prices-of-bread-when-the-country-heads-into-the-festive-season/">over the prices of bread which are rapidly going up</a> urging the government to intervene to save the situation.
Mr Denford Mutashu, the Confederation of Retailers Association of Zimbabwe chief executive told the Chronicle that the changes in prices of bread are linked to production constraints and constrained foreign currency supply. He added:
<blockquote>It is very disheartening that bread prices are continuously going up. I think what needs to be done is for government to intervene, they need to sit down with bakers, millers and importers of wheat in order to find ways to contain these bread price increases.</blockquote>
He also observed the need addressing the issue holistically noting that bakers are increasing prices to recover costs incurred.
Zimbabwe this year experienced a huge shortage of bread which was <a href="https://news.pindula.co.zw/2019/06/15/zimbabwe-left-with-30-days-wheat-stocks/">attributed to the depletion of wheat reserves</a> and shortage of foreign currency to import enough wheat.
Meanwhile, the shortage is expected to linger for a long period of time considering that <a href="https://news.pindula.co.zw/2019/10/09/winter-wheat-production-drops-as-irrigation-schemes-dry-up/">this year’s winter-wheat production was a “failure”</a> due to drought, power cuts fuel shortages.
Bread prices are going up when the country is heading towards the festive season when the commodity is usually on high demand.
More: <a href="https://www.chronicle.co.zw/bread-price-goes-up-2/">The Chronicle.</a>

"It's Very Disheartening," Retailers Concerned As Bread Prices Soar

CZR has implored Miller’s to lower the price of mealie-meal saying its too much for the consumer. This was said by Confederation Of Zimbabwe Retailers President, Denford Mutashu who commended the move by the President to subsidise maize and rice since its staple food.
Mutashu said:
<blockquote>The President’s intervention is greatly appreciated and millers, retailers and wholesalers should comply with the directive and save the suffering consumers. 
The intervention shows he (President Mnangagwa) indeed is a listening President after our concerns that the budget removed mealie-meal subsidies in a drought year</blockquote>
This came a few days after the price of <a href="https://news.pindula.co.zw/2019/11/26/grain-millers-announce-new-price-of-mealie-meal/">mealie meal shot to $100 per 10 KG</a>
More: <a href="https://www.chronicle.co.zw/reduce-mealie-meal-price-retailers/">The Chronicle </a>

Reduce The Price Of Mealie-Meal- Retailers Implore Millers

A picture of Bakers Inn bread has circulated on social media suggesting that the company is now selling bread at $18.10. This means that the price is likely higher in locations and parallel markets since they get supplied by the company.
Bread was scarce in the country this year after <a href="https://news.pindula.co.zw/2019/04/12/zimbabwe-has-less-than-30-days-wheat-supply-grain-millers/">wheat reserves got depleted.</a> The situation is likely to be prolonged considering that the <a href="https://news.pindula.co.zw/2019/10/09/winter-wheat-production-drops-as-irrigation-schemes-dry-up/">Winter Wheat production registered a poor harvest</a> due to power cuts and drought.
Prices of other commodities have also been going up thereby eroding salaries of workers which have remained unchanged.
See the picture below.
<img alt="" class="media-img" data-maxheight="505" data-maxwidth="284" decoding="async" src="https://pbs.twimg.com/media/EKehEx_X0AAalrC?format=jpg&amp;name=large"/>

PICTURE: New Prices Of Bread, When The Country Heads Into The Festive Season

Several companies are expected to close or at least retrench large numbers of workers due to the continuously deteriorating economy.
Reports suggest that business has been on a low note for every sector in the economy, a development which also resulted in little revenue being mobilised thereby making it unsustainable to continue operating or keeping huge numbers of employees.
Various companies have reported in their first-quarter reports that the business environment remained fragile and uncertain making it difficult to continue operating whilst Dairiboard Holdings indicated that it “will focus on the survival and hold strategy”.
Zimbabwe is submerged in a number of challenges including power cuts and a huge deficit in foreign currency and fuel which have resulted in increased cost of production and hence increased prices of commodities.
These developments are taking place when the consumer has lost the buying power due to the depreciation of the value of the local currency.
Inflation has eroded workers’ salaries therefore they have resorted to buying a few commodities they regard as basic and necessary to have daily.
Meanwhile, Finance Minister, Professor Mthuli Ncube projected that the economy will further deteriorate this year and regain in 2020.
<a href="https://www.newzimbabwe.com/job-losses-loom-as-company-sale-volumes-decline/">More: New Zimbabwe</a>

Massive Retrenchments Loom As The Economy Continues On Low Note

The Cabinet has removed duty on a number of basic commodities to head-off the effects the El Nino induced drought.
This was announced by the Acting Minister of Information, Publicity and Broadcasting Services, Mangaliso Ndlovu while presenting the 41st Cabinet decisions matrix in Harare yesterday. Ndlovu said:
<blockquote>Cabinet noted the need to ensure the continued availability of essential foodstuffs in the market and to counter the effects of the drought that was experienced during the 2018/19 agricultural season.
Accordingly, Cabinet has resolved to implement the following temporary measures: removal of control of goods import permits for maize grain, maize meal and wheat flour, with immediate effect; placement of wheat flour on the Open General Import Licence (OGIL) with immediate effect.</blockquote>
Other products that have been exempted include:
<ul>
<li>wheat flour in packages of more than 50kg</li>
<li>Maize meal.</li>
</ul>
This comes when Zimbabwe is facing severe starvation due to drought, Cyclone Idai and the deteriorating economy.
More: <a href="https://www.herald.co.zw/cabinet-removes-duty-on-basic-commodities/">The Herald</a>

Cabinet Removes Duty On Basic Commodities "With Immediate Effect"

Finance Minister, Mthuli Ncube has projected that inflation in the country will slow down starting this year until it reaches about 2% by 2020.
Whilst presenting his 2020 Budget Statement in Parliament this Thursday, Ncube said:
<blockquote>Monthly inflation is expected to fall to single-digit from the first quarter of 2020 to close the year around 2% on the back of commitment by the RBZ to implement tight reserve money targeting framework as announced in the second 2019 Monetary Policy Statement.</blockquote>
Meanwhile, the ZimStat data published today (Friday) indicate that the monthly inflation rate in October was 38.75%, up 21.03 percentage points from September whilst <a href="https://twitter.com/Busisa74/status/1195377408779653121">annual inflation is now at 440%.</a>
<img alt="" class="media-img" data-maxheight="396" data-maxwidth="1024" decoding="async" src="https://pbs.twimg.com/media/EJbVaP5WwAAlieu?format=jpg&amp;name=large"/>
It means therefore that his projections are not in sync with reality on the ground.
More: <a href="https://twitter.com/newswireZW/status/1195264338774364160">NewZWire</a>

Monthly Inflation Jumps Up In October, Finance Minister Projects It Would Slow Down

Captains of the Industry while speaking to the Sunday Mail lamented the economic chaos in the country and said it incapacitated both the buyer and the worker. CZI President <a href="https://www.pindula.co.zw/Henry_Ruzvidzo">Henry Ruzvidzo</a> told the publication that the decline in productivity may result in job losses:
<blockquote>The decline against 2018 performance will be significant. As companies scale down operations, loss of jobs is inevitable. while one solution is to increase local production and reduce imports the opposite is happening. Our trade balance with regional partners is now tilted in their favour even for the small economies</blockquote>
 
Meanwhile, <a href="https://www.pindula.co.zw/Confederation_of_Zimbabwe_Retailers">Confederation of Zimbabwe Retailers</a>, Mr Denford Mutashu said both the formal and informal market needed to work together to reach maximum utilisation:
<blockquote>What we need as a country is utilisation at a broader context, harnessing working together between the formal and informal sectors.
Firms are encouraged to grow their production with a greater intent of maximising their potential in export market in order to grow the country’s export earnings and to avert the crippling foreign currency shortages being experienced in the country</blockquote>
More: <a href="https://www.sundaymail.co.zw/industrial-output-takes-knock-but">The Sunday Mail</a>
<blockquote> 
 </blockquote>

Industry Captains Lament Economic Woes

The country’s established retailers are concerned over the proliferation of street grocery vendors in Bulawayo, that they may put the health of members of the public at risk by selling uncertified goods.
The street traders reportedly flood the streets after 4 PM when most of the people leave town for home.
They sell goods at low prices when compared to large-scale retailers. Some of their merchandise is imported from South Africa and Mozambique while some products are sourced locally.
A customer who spoke to The Chronicle explained the pros and cons of buying groceries from the street. Said the customer:
<blockquote>For instance, Nivea lotion costs $25 at the vegetable market side while it’s $60 in supermarkets. Cooking oil costs $22 here and $26 in the supermarkets.
The only challenge here is that street traders want cash and because it is in short supply we end up going to retail supermarkets for swipe and EcoCash.</blockquote>
Confederation of Zimbabwe Retailers (CZR) president, Denford Mutashu, said that business-wise, they are not fazed by the street traders. Their concern is on public safety. He said:
<blockquote>We implore consumers not to buy perishable goods like poultry products and beef products because we have seen a lot of these being smuggled from Botswana as well as South Africa in Musina.
This poses a great danger because such goods are meant to be stored under favourable conditions.</blockquote>
<h4>More: <a href="https://www.chronicle.co.zw/street-grocery-sales-take-bulawayo-by-storm/" rel="noopener noreferrer" target="_blank">Chronicle</a></h4>

Street Grocery Traders Now Popular In Bulawayo

The Grain Millers’ Association of Zimbabwe (GMAZ) and the Confederation of Zimbabwe Retailers (CZR) have signed a Memorandum of Understanding for self-regulatory mechanisms to overcome price hikes.
GMAZ and CZR revealed that the deal shall result in the deployment of a team of 150 people across the country starting Monday to monitor prices of basic products.
Speaking to journalists after the meeting in Harare, GMAZ president Mr. Tafadzwa Musarara said that some retailers have been defying recommended prices of mealie-meal, rice, flour, and salt. He said:
<blockquote>You may recall that we have also set our recommended prices that are prices quoted by the miller to the wholesaler and to the retailer, which we have dubbed the maximum recommended prices.</blockquote>
The maize-meal recommended price for the miller is RTGS$10,50 for a 10kg packet while the retail price is RTGS$11,85.
The deal also gives retailers and wholesalers room to put a mark-up of between 12 percent and 20 percent, including the 2 percent tax, on their selling price.
In the past few weeks, prices of commodities have been rising at an unparalleled rate. This has made it hard for the citizenry particularly considering that most of the companies have not increased salaries for their workers.
Consumer rights groups, opposition political parties, and workers’ groups have resultantly threatened to take action against the unabated economic crisis.
<h3>Related:</h3>
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<li class="entry-title"><a href="https://news.pindula.co.zw/2019/04/15/mealie-meal-price-hike-inevitable-grain-millers/" rel="bookmark">Mealie Meal Price Hike Inevitable – Grain Millers</a></li>
<li class="entry-title"><a href="https://news.pindula.co.zw/2019/04/12/zimbabwe-has-less-than-30-days-wheat-supply-grain-millers/" rel="bookmark">Zimbabwe Has Less Than 30 Days Wheat Supply – Grain Millers</a></li>
<li class="entry-title"><a href="https://news.pindula.co.zw/2019/04/12/grain-miller-association-of-zimbabwe-to-raise-mealie-meal-prices/" rel="bookmark">Grain Millers’ Association Of Zimbabwe To Raise Mealie Meal Prices</a></li>
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More: <a href="https://www.herald.co.zw/millers-retailers-in-pact-to-tame-price-madness/" rel="noopener noreferrer" target="_blank">The Herald</a>

Millers & Retailers Sign Agreement Meant To Regulate Prices

Founder and President of The Confederation of Zimbabwe Retailers, Denford Mutashu said while he supports Government’s decision to suspend SI 122 of 2017 to allow people to import basic commodities, he agrees people saying it will increase illegal foreign currency dealings.
People will be forced to source for their own foreign currency so that they can import basic commodities. Said Matashu:
<blockquote>This is a temporary measure meant to address an urgent national outcry. Of course we don’t deny some points raised by people saying this will increase buying of foreign currency by cross borders. However, let us appreciate the fact that there will be an increase in the supply of goods</blockquote>
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<h3><a class="bump-view" data-bump-view="tp" href="https://news.pindula.co.zw/2018/10/24/lifting-import-restrictions-will-affect-local-industries-negatively-companies-could-close-czi/">Lifting Import Restrictions Will Affect Local Industries Negatively, Companies Could Close – CZI</a></h3>
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<h3 class="entry-title"><a href="https://news.pindula.co.zw/2018/10/24/govt-decision-to-lift-import-ban-will-be-more-catastrophic-to-the-economy-cross-border-traders/">Govt Decision To Lift Import Ban Will Be More Catastrophic To The Economy- Cross Border Traders</a></h3>
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More: <a href="https://www.chronicle.co.zw/scrapping-of-si-122-hailed/">Chronicle</a>

Govt Decision To Suspend Import Ban Will Increase Illegal Forex Dealings- Retailers

In an interview with The Herald, Confederation of Zimbabwe Retailers president Denford Mutashu said the recent announcements by Finance Minister Mtuli Ncube resulted in price increases.
Mutashu said Ncube did not make the announcement properly because the Finance Minister signaled that he was phasing out the Bond Note but did not offer an exit strategy. Below is an excerpt of the interview:
<blockquote>EZ: So in your view what could have triggered the recent wave of price increases? 

DM: It’s not far off from the apple tree. The apple has not fallen far from the tree. The recent announcement by the Minister of Finance and Economic Development Prof Mthuli Ncube, especially the first point was the announcement towards decimating the bond note. I don’t think it was done appropriately, if I may call that, or if it was supposed to have been done so publicly, because it caused jitters in the economy, jitters in the minds of consumers, jitters in the mind of business. Because the moment that you want to exterminate/decimate a surrogate currency, you certainly need to have a backup plan. So we want an exit strategy.
The moment you touch on the bond note, the moment you devalue the RTGS balance by speaking to the issues of separation of the FCA nostro from FCA RTGS, and speak about ring-fencing, because the moment you speak about ring-fencing, you are simply saying that the incoming hard currency may be contaminated by the RTGS balance or bond note. So what does it say about that currency.</blockquote>
More: <a href="https://www.herald.co.zw/no-need-to-panic-hoard-retailers/">Herald</a>

Mthuli Ncube To Blame For Price Increases- Retailers

The Confederation of Zimbabwe Retailers’ Association (CZR) has called on the public not to panic buy saying that there was no need to hoard commodities. There has been a panic ever since RBZ governor John Mangudya and Finance Minister Mthuli Ncube presented the mid-term monetary policy and fiscal measures on Monday. Said CZR president, Denford Mutashu,
<blockquote>There is panic in the market and unnecessarily so. We are actually urging the public not to buy more than what is necessary for their consumption because there is really no need…The issue of production remains the key focus and even if people panic and horde, we should, in a normal situation, be able to replenish stocks.</blockquote>
Confederation of Zimbabwe Industries president Sifelani Jabangwe said,
<blockquote>There is uncertainty regarding what policies will be announced and how these will affect the business environment…Manufacturers are unsure of how to price their products and there has also been lower allocation of foreign currency to industry. But the biggest problem is uncertainty.</blockquote>
More: <a href="https://www.newsday.co.zw/2018/10/panicky-zimbos-resort-to-hoarding/" rel="noopener" target="_blank">NewsDay</a>

Please Do Not Hoard, There Is No Need To Panic Buy: Retailers

The Confederation of Zimbabwe Retailers (CZR) has called on the cooking oil producers to increase production because there is a shortage of cooking oil. The CZR warned the producers that it may be forced to seek permission to import the cooking oil if the shortages are not covered.
 
CZR chairperson, Denford Mutashu, said:
<blockquote>Right now there is a shortage of cooking oil and it’s glaring. We continue urging processors to step up their game because we might end up asking the government to give us import permits to fill the gap. Our members have been knocking on our doors asking us to do something.</blockquote>
 
Last month, the Oil Expressers Association of Zimbabwe (OEAZ) released a statement in which they claimed that they were struggling to import raw materials due to reduced foreign currency allocations from the Reserve Bank of Zimbabwe.
More: <a href="https://www.newsday.co.zw/2017/10/retailers-mull-cooking-oil-imports/">NewsDay</a>

Retailers tell cooking oil producers to step up production, threaten to start importing

The Confederation of Zimbabwe Retailers has warned the Reserve Bank of Zimbabwe that unless it resolves the issue of foreign payment bottlenecks, food shortages were likely to return. This comes as the retailers are purchasing foreign currency on the black market and paying premiums of between 10-35 percent. Speaking at a meeting, Denford Mutashu, president of the Confederation of Zimbabwe Retailers.
<blockquote>The problem is very soon we will be unable to supply certain imported lines because the cash premiums are just unsustainable. You will find that they (cash premiums) range from 10 percent to as high as 35 percent,</blockquote>
CZR Marketing and Stakeholder Relations Director, Alois Burutsa added:
<blockquote>Payments have not been going through fast enough for both the manufacturing and retailing sectors. We are afraid that shortages challenges have started to creep in driven by this.</blockquote>
RBZ governor John Mangudya said that the central bank would ensure that the situation did not worsen. Said Mangudya
<blockquote>Naturally, (food shortages) are a possible outcome. However we have put measures in place to ensure that payments go through, albeit slowly, but go through all the same,</blockquote>
More: <a href="http://www.financialgazette.co.zw/zimbabwe-retailers-tell-cbank-food-shortages-likely-as-cash-crunch-bites/" rel="noopener" target="_blank">Financial Gazette</a>

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