LONDON: THE Tanzania High Commission in the United Kingdom has issued a warning to local vehicle importers regarding a growing scam trend.
High Commissioner Mr Mbelwa Kairuki reported that complaints have been received from importers who have not received their ordered vehicles for over six months, despite making the required payments.
Additionally, some traders who did receive their vehicles found that the trucks were of subpar quality compared to what was promised.
This situation has caused significant inconvenience and financial loss, as many importers had taken out loans to fund their purchases.
To mitigate these issues, Mr Kairuki advised importers to verify that the companies they deal with are registered and active on the UK Government’s Company Information website.
He also recommended signing contracts with vehicle sellers and suggested that Tanzanians in the diaspora with UKbased law firms could assist with contract preparation and enforcement.
Importers are encouraged to use a Letter of Credit (LoC) rather than direct cash payments via Telegraphic Transfer (TT), despite the additional cost associated with LoC.
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The benefits of using LoC include enhanced security for funds. Information on LoC can be obtained from any bank in Tanzania. Furthermore, importers should conduct background checks and pre-shipment inspections to ensure that the vehicles meet the agreed-upon specifications.
The High Commission believes that these measures will help Tanzanians avoid procurement challenges and reduce the risk of complications from afar.