Malawi: CFTC Hits Back - Ministry of Trade, Not the Commission, Shut Down Simama Sugar Shop

The Competition and Fair Trading Commission (CFTC) has fired back at growing public confusion, making it clear that it was the Ministry of Trade--not the Commission--that ordered the closure of the SIMAMA sugar shop in Dedza.

CFTC says it will not allow its name to be dragged into confusion created by poor communication and blame-shifting, especially on a matter as serious as sugar hoarding--an offence that fuels price hikes and punishes ordinary Malawians.

CFTC spokesperson Innocent Helema said the Commission only acted after receiving a tip that SIMAMA was hiding large quantities of sugar and refusing to sell it to consumers. When CFTC officers raided the shop, they found exactly what Malawians have long suspected: over 3,000 bags of sugar stacked away while citizens stand in endless queues and pay inflated prices.

"A whistleblower told us that the SIMAMA shop was keeping huge amounts of sugar," Helema said. "On Tuesday, we moved in and indeed discovered more than 3,000 bags. This is against the law because it amounts to hoarding--keeping goods to later sell them at a higher price. We have instructed them to write us an explanation."

But Helema stressed one thing that exposes the current chaos in Malawi's enforcement system: CFTC did not close the shop. The Ministry of Trade did.

The Commission is now distancing itself from the closure order, saying its mandate is to investigate unfair trading--not to shutter shops. That responsibility, in this case, lies squarely with the Ministry.

Under the Competition and Fair Trading Act, hoarding and artificially hiking prices is illegal because it violates consumers' rights and distorts the market. Yet despite this clear legal framework, the two institutions--both responsible for protecting the public--are now contradicting each other on who took action and why.

The result is a familiar picture: Malawian consumers suffering while government institutions scramble to control the narrative instead of controlling the crisis.

Read the original article on Nyasa Times.