Government and business yesterday failed to reach an agreement over the price hikes that have been done by manufacturers and retailers. The Minister of Industry and Commerce, Mangaliso Ndlovu, yesterday met with business in a bid to find a solution on the arbitrary price increases which have become the norm. However, after lengthy deliberations, there was no agreement between the two parties. Speaking after the meeting with business leaders, Minister Ndlovu said
The government has been clear that it is (multiple pricing) not legal in our economy and the law enforcement has to take its course. However, it is not in our ministry to enforce the law. We only spell out what is legal where we can which is under our ministry.
Foreign currency is a commodity that has to be earned if I may put it that way. We do not have adequate foreign currency and the government is doing everything it can to make sure we allocate the scarce resource to productive sectors. So we cannot talk about having enough foreign currency, but the government is doing all that it can.
What came out from the deliberations is that there are more fundamental issues that have to be addressed. Prices are only a reflection of structural deficiencies that need to be addressed. So the discussions were candid, frank, open and all stakeholders had a chance to make their contributions. We have agreed to have a similar meeting in the time to come.