THE Zimbabwe Sugar Association (ZSA) has announced that the recommended sugar unit shelf price of sugar remains unchanged, despite market speculation and fluctuating economic conditions.
Recently shops increased sugar prices following the introduction of a new currency the Zimbabwe Gold (ZiG).
Shops are now selling a 2kg packet of sugar for US$4 instead of the recommended price ranges between US$2.60 (ZIG 33.75) to US$2.80 (ZIG 37.80) for both brown and white sugar.
In a statement ZSA chairperson Willard Zireva reassured stakeholders and the public that unit shelf sugar prices remain unchanged as it holds adequate supplies for local consumption.
“The Zimbabwe Sugar Association advises all stakeholders and the general public that the recommended unit shelf price of table sugar remains unchanged at US$2.60 for wholesale and US$2.76 for retail of SunSweet, with Gold Star white sugar retailing at US$2.80 per 2 kg unit.
“The Zimbabwe Sugar Industry currently holds adequate sugar stocks for local consumption,” he said.
Zireva also said cane milling season is about to start and this will boost stocks.
“The demand for sugar will spike as a result of the operating environment and speculative behaviour by some market players. However, despite these factors, the stocks on hand are adequate to meet normal local demand.
“The cane milling season resumes mid-April, only a week away, and this will further boost the existing stocks of sugar.
“The Zimbabwe Sugar Industry remains ready and able to meet the demand for sugar now and into the future,” he added.
Meanwhile, the Confederation of Zimbabwe Retailers (CZR) president, Denford Mutashu, has invited the Zimbabwe Republic Police (ZRP) and the Reserve Bank of Zimbabwe (RBZ) Financial Intelligence Unit (FIU) to fish out unscrupulous traders, who are selling the commodity above the recommended retail price (RRP).
The CZR president said he was concerned about these price hikes by the unscrupulous traders while the Zimbabwe Sugar Sales (ZSS) hasn’t even issued any price increase.
In a statement the CZR president said, “CZR therefore implores the Zimbabwe Republic Police (ZRP) Licensing Inspectorate and the RBZ Financial Intelligence Unit (FIU) to pounce on all unscrupulous traders selling sugar above the RRP.
“The unscrupulous traders are asking for $4.00 when the recommend retail price range is $2.60-$2.80.
“Recommend retail price ranges between US$2.60 (ZiG 33.75) to US$2.80 (ZIG 37.80) for 2kgs of both brown and white sugar.
“Price of sugar is currently sitting at US$4.00 (ZiG54) per 2kgs despite the supplier (ZSS) price not having gone up,” said Mutashu
He added that his organisation notes with dissatisfaction the number of big retailers with wide branch networks and wholesalers struggling to access the product from the supplier.
“This situation must be fixed to reduce seemingly arbitrage pricing in the market emanating from the informal sector.”
CZR has further initiated discussions with ZSS to address the supply chain challenges and clear clear backlogs.
“There are ongoing engagements with ZSS to ensure supply into formal channel retail and wholesale stabilises and all delivery backlogs are cleared,” said Mutashu.
Source NewZimbabwe
