Millers resolve to increase mealie meal prices due to fuel increase

Millers in Zambia have also resolved to increase mealie meal prices by Kr12 following the increase in fuel prices that the PF government effected last week.

Sources close to the millers said the association had a meeting during which they resolved to increase the price of mealie meal in order to meet the transportation and other costs associated with fuel increase.

The source said the millers will again increase the mealie meal prices immediately Zesco increase electricity tariffs anytime soon.

“Actually, what we agreed is that for now we increase by Kr12 and perhaps after bargaining with government, we can reduce and only increase by Kr8. That is the lowest we can go in reduction otherwise it will be as good as closing milling companies especially for mealie meal. It is no longer profitable at all and we have to pay these minimun wages,” said a source who attended the meeting.

Sources said even bread, flour, and stock feed will have to be adjusted upwards meaning the price of meat products, chicken, fish, and other commodities will have to go up because these people depend on us.

Already transporters have increased bus fares on both local and intercity routes, including water transport fares in areas such as Mongu and Luapula.

But Sports minister Chishimba Kambwili recently said the increase in fuel prices will only affect the few Zambians that drive vehicles.

Kambwili’s argument was yesterday supported by Fred Mmembe in his usual PF vuvuzela editorial where he argued that most of the fuel that the government subsidises goes to leisure, to gallivanting around, moving from one pub to another. See editorial here

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