Consumers continue to be subjected to high prices of cement perpetuated by low supply due to forex scarcity, a situation the Consumers Association of Malawi (Cama) has rated as exorbitant.
Cement price now ranges between K16,500 and K19,000 per 50 kilogramme (kg) bag, which is way above the recommended average price.
The rise comes as some manufacturers are operating below capacity as they are unable to import necessary raw materials due to forex scarcity.
In a statement Tuesday, Cama Executive Director John Kapito said market prices are unsustainable and unaffordable to consumers.
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He then called on the Ministry of Trade and Industry to intervene by engaging manufacturers and allocating adequate forex for imports.
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He then captioned traders to desist from profiteering from the situation.
Reacting, Minister of Trade and Industry Simplex Chithyola Banda said the government is already engaging the manufactures as a step towards addressing the challenge.
“We have three major producers of cement in this country and at the moment we only have two that are operating the other one has a breakdown of equipment that in a way has also contributed to the scarcity of the commodity.
“There are two things here; inadequate supply and exorbitant prices of the commodity. So, businessmen have taken advantage of the inadequate supply to raise the prices,” he said.
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He said, in the long-run, the government is working towards capacitating local producers for increased output.
“We will continue supporting the cement producers so that they produce more. My appeal to business people is that they should not take advantage of the scarcity of the commodity,” he said.
