EDIBLE OIL PRICES TO GO UP
By Chileshe Mwango / Michael Kaluba
The Crushers and Edible Oil Refiners Association (CEDORA) has predicted an increase in edible oil prices following the expiry of Statutory Instrument No. 63 of 2021.
The SI which saw the suspension of Value Added Tax (VAT) on edible oils for 4 months to cushion the escalating prices of edible oils expired on Sunday 31st October, 2021.
In an interview with Phoenix News, Association Chairperson Aubrey Chibumba says the cost of international shipping for edible oils has also gone up but CEDORA members have tried to maintain lower prices for refined oil.
Dr. Chibumba also adds that with the reintroduction of standard rating of VAT coupled with the cost of transport, the prices of the commodity will soon rise sharply.
In a related development, the Zambia Consumer Association-ZACA- is worried that commodity prices will continue to be high if fundamental factors such as the cost of electricity, water and transport are not dealt with to reduce the cost of production.
ZACA Executive Secretary Juba Sakala says manufacturers and importers are still facing challenges with other economic fundamentals such as inflation, fuel costs which he says must be dealt with as was the case with the exchange rate which reduced from over K23 to around K17 for $1.
Mr. Sakala has since challenged government to consolidate and harmonize fuel, electricity and water costs among others for any meaningful downward adjustments of commodity prices.
PHOENIX NEWS