Z’bar: 100 shops closed for sugar hoarding

ZANZIBAR: THE Zanzibar Fair Competition Commission (ZFCC) has closed down more than 100 wholesale and retail shops for hoarding and increasing sugar prices contrary to the indicative price set by the government.

“The shops will remain closed until they pay a fine which ranges from 100,000/- to 5m/- depending on the size of the business. All must pay the fine,” Ms Mgeni Ali Saleh- Communication officer of the ZFCC said. She said the action has been taken following a threeday operation in the Unguja Urban district area.

She said her office opted for the crackdown after investigation proved that many traders were hiding sugar and increasing prices unnecessarily, even after the government through the Ministry of Trade and Industrial development issued an indicative price for sugar.

“The operation which ended last Monday will continue in other districts of Unguja and Pemba. All traders/ shopkeepers are required to display the indicative sugar price so that customers can clearly see it,” she said.

She warned that hoarding essential commodities such as sugar, rice and wheat flour to create an artificial shortage and hike prices is against the law and tough measures including penalties will fall on all dishonest traders.

The Director General of the ZFCC Mr Mohamed Sijamini Mohamed said that traders whose shops have been closed have been found selling sugar at a price of between 3,500/- and 3,200/- per one kilogramme of Sugar, instead of the 2,650/- as per indicative price.

In addition, he said, for this period of the Holy Month of Ramadan, the government has released indicative price for sugar, “So everyone should observe the price with the aim of helping the poor to purchase commodities at affordable price.” He said the shops have been closed in accordance to the law to protect the consumers.

Some traders such as Mr Yahaya Salum Bakari, from Bububu area, said the indicative price was imposed after they had bought imported sugar at higher price. “Therefore, selling it at the indicative price is a big loss for us.”