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DPP queries intervention on commodity prices

Democratic Progressive Party (DPP) has faulted the government over its intervention on commodities such as cement and fuel, arguing that the measures have done little to control prices and ensure availability of the commodities.

At a press briefing in Blantyre yesterday ahead of President Lazarus Chakwera’s scheduled national address to announce measures to control fertiliser prices last night, DPP spokesperson Shadric Namalomba, national organising secretary Sameer Suleman and director of political affairs Ben Phiri took turns to question sustainability of the interventions.

(L to R) Phiri, Suleman, Namalomba and Navicha during the briefing yesterday. | Francis Chamasowa

Suleman, a former member of Parliament for Blantyre City South East, said the Government to Government (G2G) arrangement for fuel procurement has failed to ensure sustained supply.

“As I am speaking, people are in queues waiting to buy fuel. So, where is the fuel that the government said it had purchased under the G2G arrangement,” he said.

In December, Parliament amended the Liquid Fuels and Gas (Production and Supply) Act to facilitate the transition from open tender to G2G procurement and give the Minister of Energy the power to nominate an agent or State entity to import fuel without oversight from the Public Procurement and Disposal of Assets Authority (PPDA).

Namalomba stressed that the arrangements the government has been introducing to curb fertiliser and cement price hikes are not sustainable and are designed to benefit traders.

In August, the Malawi Government provided four companies with $1 million, or $250 000 (about K432 million) each for the importation of cement from Zambia to stabilise price.

However, last week, Minister of Trade and Industry Vitumbiko Mumba acknowledged the failure of the intervention as some traders were hoarding the imported cement.

Taking his turn yesterday, Phiri said if elected, the DPP will implement economic reforms to ensure availability of fuel, fertilizer, passports and cement.

When contacted, Minister of Information and Digitalisation Moses Kunkuyu did not pick up or respond to messages.

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