Mmegi/The Reporter (Gaborone)

Botswana: Francistowners Blame Price Hikes on Zimbos

Patricia Maganu

24 April 2008


Francistown — Many Batswana are hoping that the political and economic situation in Zimbabwe will improve shortly so that food prices in Botswana stabilise.

Francistowners think food prices are rising due to increasing numbers of Zimbabweans who come across the border to buy basic commodities here daily.

Although food prices are rising everywhere due to worldwide shortages, Francistowners believe their situation is exacerbated by worse shortages in Zimbabwe.

A sample of price escalations between January 2008 and today gives an idea of the situation: 12.5kg mealie-meal that cost about P31 now costs P56.00; 10 kg bread flour was P35 and now costs P55; bread has risen to around P5.00 from P3.50; 10kg sugar now costs P55 from around P40; a bottle of salt has also gone up, going for P10.00 now.

Most people interviewed said they have had to change the way they buy their groceries because of the price escalations.

"Zimbabweans are the root of the problem," said Batanani Muzila. "They buy everything in bulk, and this heavy movement of goods has a direct bearing on prices."

Muzila added that the problem does not apply only to food. "Everything has become very expensive because traders see a lot of money," he said. "When Chinese traders first came to Botswana, they brought hope for low income people, but they have also become expensive because Zimbabweans buy everything in bulk."

Some say the mere act of shopping in Francistown has also become an "unbearable" experience: "Going out to buy a bottle of cooking oil or a loaf of bread is not only expensive," says Banu Morake, "getting out of the store is another problem. Express lines have no use any more."

Morake also believes that if the situation in Zimbabwe improved, traders would lower prices. Another concerned consumer is businessman Modisana Benjamin. "Traders have no choice but to take advantage of the situation," Benjamin said. "We are simply at the wrong end of the law of supply and demand.

"Zimbabweans seem to have money to buy in bulk at the moment. Batswana should adapt and stop buying small single items. That way they can save."

Francistown-based Consumer Protection Officer, Mothibedi Gaborutwe, said although his office has not received any complaints about high prices, they are aware of the situation. Gaborutwe said his department is currently looking at the competition policy being developed by Government.

"But in a free market system like ours, a trader can raise prices looking at the competition, but not unreasonably," he said.

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