Africa-Press – Zambia. CHIPOKA Mulenga is not calling for price controls; what the minister is advocating for is fair pricing that reflects the current macroeconomic environment, says the Ministry of Commerce, Trade and Industry.
On Monday, the Commerce Minister insisted that producers have the moral obligation to pass Kwacha appreciation benefits on to consumers. He added that he planned to suggest to Cabinet a uniform price across the country for essential commodities such as fertiliser and cooking oil, among others, to ensure that benefits are passed on to consumers.
Following this statement, several stakeholders opposed the idea of price controls. Economist Trevor Hambayi argued that introducing price controls on certain commodities would tamper with the country’s ability to attract investment, as it contradicts the principles of a free market economy.
But in a statement, Thursday, the Ministry clarified that those sentiments by the Minister did not mean he was calling for price controls but fair pricing that reflects the current macroeconomic environment.
“The Minister of Commerce, Trade and Industry, Hon. Chipoka Mulenga, is not calling for price controls. His position has been clear: Government is committed to a private-sector-driven economy and will not dictate prices. What the Minister is advocating for is fair pricing that reflects the current macroeconomic environment
With inflation trending downward, the Kwacha stabilising, and fuel prices relatively lower, manufacturers, suppliers, and transporters are expected to pass those benefits on to consumers rather than maintain artificially high prices.
This is a call for responsible market behaviour, not intervention. Zambians deserve to feel the benefits of economic stabilisation, and industry partners have a role to play in making sure consumers are not burdened by outdated cost structures,” read the statement.
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