AfricaPress-Tanzania: DESPITE the government move to announce indicative prices for retail sugar per kilogram in each region traders in Mwanza City are still reluctant to sell the product at 2,900/-as set for the region.
Most shops in the city sell the commodity at between 3,200/-and 3,500/-per kilo, contrary to the indicative price set for Mwanza Region.
A spot check by ‘Sunday News’ learnt that the sweetener was sold above the indicative price with very few traders abiding by the government directive.
Wholesale price for a 25 kilogram bag of sugar is sold at between 68,000/-and 72,000/-and 75,000/- which means that traders buy the commodity at 2,720/-, 2,880/-and 3,000/-, which could automatically hike the retail price.
Recently, the government through Minister for Agriculture, Mr Japheth Hasunga, announced indicative prices to end illegal practices by some traders who have been increasing prices to maximise profits.
He said indicative prices were considered by considering importation costs incurred by local producers to cover the shortage of the commodity and the distance to the destination; therefore in Mwanza the indicative price is 2900/-.
Mr Hasunga said sugar shortage in the country was due to hostile weather, and as a result, local factories failed to produce a lot of sugar to meet consumers’ demand, and that was why the government allowed importers to import the commodity to reduce shortages.
A retailer along Uhuru Street, Mr Manyangu Saguda said he was selling sugar at 3,500 per kilo since he buys it at for 3,000 per kilogram; He was thus waiting for wholesellers to reduce prices for him also to also reduce the retail prices.
A food vendor along Miti Mirefu Street, Ms Nkwimba Sayi, said due to the sugar price hike, they don’t get enough profit.
