Bread price reduction wont affect quality - CCZ

THE Consumer Council of Zimbabwe (CCZ) has assured customers that the reduction in bread prices will not lead to a compromise in quality.

Most shops have reduced the bread price from $1 per loaf to between 90 cents and 95 cents in line with a Reserve Bank of Zimbabwe (RBZ) plea for business to adjust their prices downwards.

However, in the past, consumers have complained that when bakers reduced prices, they compromised quality. The trend was prevalent during the hyperinflationary era, which was characterised by price controls.

CCZ Matabeleland manager Comfort Muchekeza is quoted by Southern Eye that the  current price reductions were different in that they were a result of modalities worked out throughout the whole production chain.

"In the past, prices were cut at the last point in the chain meaning the inputs to produce bread would still cost the same while a government directive would tell bakers to reduce prices of the finished goods.

"Currently, I believe the industry has realised the real value of a dollar and that they have actually been overcharging. We hope that since the reduction process was negotiated and agreed by all players, consumers will not be prejudiced."

Muchekeza said the CCZ was, however, on the lookout and would monitor the situation closely.

"Yesterday (Monday) we went around most shops to check if indeed prices had been reduced and noted that most retailers are now selling a loaf for between 90 cents and 95 cents," he added.

"Those who want to still charge $1 per loaf should ensure that the quality they serve is second to none because it would be unfair to sell a normal product at an exorbitant price.

"When we say market forces we are also talking about such variables as packaging which should then justify any price differences when a product is of similar quality," Muchekeza explained.

He warned bakers that resisted price reductions saying they were shooting themselves in the foot and risked pricing themselves out of the market.