CZR asks Govt to tackle fuel price increases

THE Confederation of Zimbabwe Retailers (CZR) has pleaded with the Government to look into the cost-push factors behind continued fuel price increases in the economy, which have a direct impact on pricing of goods and services.

Fuel prices have been on a steady increase since December last year, with the Zimbabwe Energy Regulatory Authority having announced the latest hike last week.

The latest round of increases saw petrol and diesel going up by four and five cents respectively to US$1.30 and US$1.32. In local currency, petrol went up to $109.17 from $104.82 and diesel to $110.41 from $105.58.

"The CRZ believes the prices are unjustified especially in US$ terms," the retailers representative body said.
"Fuel is hard to come by in local currency and companies have resorted to buying fuel in US$."

The CZR said it was imperative for the Government to look into taxes on fuel, which are making it more expensive than other countries in the region.

"With the economy re-opening from a month-long Covid-19 lockdown  measures, the new prices will pile pressure on already struggling companies," the CZR said, adding stability in fuel prices was key as the economy re-opens.

"CZR fears the latest increases will push up the cost of doing business, which leaves retailers with no option but to pass on the costs to hard pressed consumers."

Prices of goods and services have been going up, albeit at a reduced pace, since January in line with inflation which stood at 321.59 percent in February.