Manufacturers, traders cautioned on Unreasonable raising of prices of goods and services

The Malawi Government has issued a stern warning to Manufacturers, traders and suppliers for unreasonable hiking of prices of goods and services.

In a press release signed by the Secretary for the Trade and Industry, Christina Zakeyo, government through the Ministry of Trade and Industry said they have noted that with concerns that some manufacturers, traders and suppliers are raising prices of goods and services unreasonably taking advantage on the announced devaluation.

Zakeyo said the government will not hesitate to take action to deal with traders found engaging in malpractices.

“Some traders have even temporarily closed their businesses in order to adjust prices for old stocks that were already in shelves and warehouses before devaluation.

“The Ministry wishes to inform the traders and general public that hoarding of goods and services in order to take advantage of price increase is tantamount to unconsianable conduct against consumers.

“In the same regard, selling goods and services at excessive and unreasonable prices is a gross violation of the Competition and Fair Trade Act (CFTA) and as such, the Ministry of Trade and Industry and the Competition and Fair Trading Commission (CFTC) will not hesitate to take necessary action to deal with traders found engaging in such malpractices,” he said.

Zakeyo added that the Ministry and the CFTC will intensify market surveillance on prices of goods and services across the country to establish and gather evidence of possible violation of the CFTA.

The Reserve Bank of Malawi announced a 44% depreciation of Malawi Kwacha on Wednesday and economic experts have since warned to brace for further devaluation and piloting of goods and services.