Now PF extends price controls to bread

PF deputy minister for finance Miles Sampa has ordered bakers in the country to reduce the price of bread.

Sampa says the government has removed the 16 percent on bread related raw material the more reason bakers should reciprocate the gesture.

The minimum price for ordinary bread in Zambia costs K5, 000 (KR 5 rebased).

Sampa has warned that government will not hesitate to deal with bakeries that will not reduce the price of the commodity.

Zambia is experiencing a rise in prices for essential commodities with mealie meal, the country’s staple food, attracting double or in some case triple cost adjustments.

President Michael Sata was recently forced to summon millers to State House to reduce the price of mealie meal for a 25 kg bag to less than K50, 000 (KR 50 rebased) although not all millers in the country have done so.

Zambia Reports

COMMENTS

WORDPRESS: 89
  • comment-avatar

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  • comment-avatar
    chishimba 5 years

    The best way to make the cost of commodities go down is to lower the cost of production. Generally speaking, the cost of production in Zambia is quite high. We are not going to achieve anything by having PF cadres issuing threats to companies to reduce prices. The problem with PF is that their approach is that of eliminating symptoms and not dealing with the root causes. When a patient is being attended to by a doctor who thinks like PF, that patient is in danger.

  • comment-avatar
    The Baker 5 years

    Most Bakeries have already reduced prices in Lusaka, but the problem is the retailers themselves. Especially in Mr. Sampa’s area. They thought the reduction meant more money in their pocket.

  • comment-avatar
    Jeff Mwanza 5 years

    ala ba Miles Sampa twalinabo pa UNZA, ba jobele AGRICULTURAL ECONOMICS………but I just cant tell how he became the presido’s nephew…

  • comment-avatar

    Is this the same miles sampa who is busy bonking a young girl of Matero girls? can someone confirm.

  • comment-avatar
    silu ni silu 5 years

    Please sir, look into yandiyo as well. Some husbands leave zing’ono maningi at home. Make it at least KR18 per day minimum yandiyo. I trust you are a listening government bazimai twachula mumanyumba umu these men dont leave yandiyo.

  • comment-avatar
    Mpongwe here we come 5 years

    LIKE UNCLE LIKE NEPHEW…SAME DNA

  • comment-avatar
    Renegade 5 years

    At the end of it all, POLITICS IS ALL ABOUT FOOD !

  • comment-avatar
    The Matyr 5 years

    Does Miles Sampa still remember the basics of economics? When there is imposition of tax or subsidy you don’t have to tell the market what to do provided their is competition in the industry the price will automatically move up or down depending on the nature of Government intervention. Some of the blogers who have little knowledge on the operation of a free market just google “the effects of a subsidy on flour” and you will see that the price can go down on its own. Let’s not destroy the gains we have achieved in the last 20 years. What I would propose to the PF government is to make an environment that would support competition in key commodities.

    • comment-avatar
      stone cold 5 years

      is he an economist? i dont remember him as an economist.update me where he did his economics from

      • comment-avatar
        The Matyr 5 years

        Some people says he is an Agricultural economist.

    • comment-avatar
      Centre Back of Democracy 5 years

      Well said mate. It boggles my mind why an ex banker who should be so knowledgeable in the field of economics is deliberately expressing his ignorance as to how a free market economy operates. Political appeasements should not be entertained at the expense of economic activity.

    • comment-avatar
      Kopalaswag 5 years

      He did economics at University of Matero I guess..

  • comment-avatar
    bharat 5 years

    are we not in free market let the market see the ups and down

  • comment-avatar
    sipowasipo 5 years

    Nationalise the companies

    • comment-avatar
      How 5 years

      How do you nationalise my own bakery which I started?

      • comment-avatar
        Carlos Anabu 5 years

        & what are they going to call the bakery? Pabwato or 90days

      • comment-avatar
        Kopalaswag 5 years

        Ask him mwandi..

      • comment-avatar
        The real Zambian 5 years

        Sata National Bakery.

    • comment-avatar
      ray-ray 5 years

      Ukwa bakeries maybe..

  • comment-avatar
    [email protected] 5 years

    who is in control kashi? How can a deputy minister be giving commands in a country? PF what style of governance are you practicing? This is slightly above dochi kubeba slogan.

    • comment-avatar
      Mile 5 years

      As you know I’m the president nephew – what do yo mean

    • comment-avatar
      Centre Back of Democracy 5 years

      There is no control in PF. Any Kaponya can wake up and speak on behalf of Party and Govt. e.g. some party cadre called Mfula spoke on behalf of Govt. defending Masebo for appointing the boyfriend to the ZAWA board.

  • comment-avatar

    On this one, and perhaps for the first time, I am siding with Sampa (PF). If the government has reduced by 16% the inputs, be it in taxes (VAT) considering the writer is not indicating the base for the 16%. Surely, bread prices will then have to reduce. it is only logical. It is not like the bakers are to bear the difference. Come on people!

    • comment-avatar
      M30! 5 years

      Let’s do some simple maths, 16 Percent of KR5 is KR0.8 and bread becomes KR4.2… How much will you (M120983) be saving in a month? KR0.8 x 30= KR24 a month. What can you buy from KR24 or K24,000? Let’s talk about real issues!

  • comment-avatar
    Mailesi Sampa 5 years

    I thought that’s what Ukwa did immediately he came into office? If Ukwa failed to reduce price of Bread how will Mailes manage?

  • comment-avatar
    Plume 5 years

    KK-wamuyayaya-economics is back on the block. Uko uko uko uko uko!

  • comment-avatar
    Movement of Multi-Doctors(MMD) 5 years

    Zambia risks loosing on investors. Gawa Undi(Ukwa) shud admit he cant run the country. MMD did well in this regard were competition was promoted. PF runs their party as a closed shop and they think the same principle applies to the economy. Sata is analogue(incorrigible-cant b upgraded). We need digital leaders(open to developmental ideas and can b upgraded

    • comment-avatar
      Wild Dog 5 years

      What investors are we going to lose? let the go and invest in south africa were the minimum wage is 2,300KR per month (150 zar per day ) multiply by the exchange rate by 26 working days!!!

  • comment-avatar
    Rodrick 5 years

    please u oppositions u should appreciate govt efforts to improve pipo’s lives.the mmd brought our economy on its knees. the free economy does not work to the interest of the poor.even the more democratic states like USA they don’t put their economy in enterprenuers hands.because they exploite the poor.mixed economy is ideal hence govt intervertion in reduction of bread prices is okay. bravo miles sampa

    • comment-avatar
      Nationalist 5 years

      Rodrick, I agree with u

      • comment-avatar
        Rodrick 5 years

        bravo nationalist ure wise these are logical brain we need in our country live long ZAMBIA

        • comment-avatar
          Industrial Giant 5 years

          The two of you are clearly EMPLOYEES or STUDENTS. I’m a tax paying businessman. I know what it takes to set up a bakery AND a milling plant.

          Enjoy your jobs and ask your bosses to let you out @ 17h00….

    • comment-avatar
      [email protected] 5 years

      it is not true that PF found this economy on its knees, please do not lie in the open day light. PF inherited a sound economy which just needs to be polished so as to ensure equitable sharing of the national resources. So far that is not the case. All powerful positions in this nation are going to one clan and few like Kabimba and company. PF if you want to practice a mixed economy do have a strategy on how you will do this and not following the 2030 vision which is pro-capitalist. What is the road map for PF?

  • comment-avatar

    This kama brat, Miles, should go back to school

  • comment-avatar

    I tod u its donchi kubembwa!

  • comment-avatar

    How is it your business if people have a hatred fro this useless government it’s by choice why so you even care if the go to hell when there are abusing the opposition and citizens you think God closes his eyes when the government is doing evil don’t be stupid atase

    • comment-avatar
      Nationalist 5 years

      Iwe chi Eddie, you dnt knw what ur saying, I fi ur even a Zambian.

  • comment-avatar

    I am lead to believe that Zambia is the most expensive country in the sub-Sahara Africa in terms of living costs…

    • comment-avatar
      Loconino 5 years

      Nope, Angola is. Luanda is in fact the most expensive city in the world.

    • comment-avatar
      Nationalist 5 years

      it is mudala, bt not for long! Things are getting better

  • comment-avatar
    Headman Kazimule 5 years

    Oh please Ukwanites, theres nothing to support here . Miles is just being !diotic. Dont ruin the economy with your slash and burn system aka Chitemene. This is the problem of having a President , his relative Finance Minister , nephew etc who do not know were the beef, rice, bread , nshima comes from. For these goons food comes from the supermarket. The previous two Finance Ministers Magande and Musokotwane were farmers. Musokotwane never even moved into a ministerial house when he was Finance Minister. He opted to live in his own farm. They understood farming. Not these goons from ‘ku mayadi’ living in houses they stole from government institutions. RB and Levy were also farmers.

    • comment-avatar
      Nationalist 5 years

      Iwe chi Headman,cant you read that there is subsidising her by removing 6% of some tax on bread?
      how then is economy destroyed? this simply means every thing for bakers will be the same but the buying power for citizens will increase. this is a very good thing from GRZ.

  • comment-avatar
    White Robo 5 years

    Where is Mumembe, he needs to ‘teach’ us to eat bread.

  • comment-avatar
    kopala 1 5 years

    How about Bus Fares?

  • comment-avatar
    Donchi kubeba 5 years

    During Mwanawasa’s time at no time did he tell companies to reduce prices because of certain reductions.He had to let the economy work on its on through reduction in cost of production and everything was working like magic. People like Magande had to play their cards as required by the ethics of economics. So let just work towards things which we see as hindering economic growth not giving commands each time you fail to do your job properly…

  • comment-avatar
    Seleka Rebels 5 years

    We can as well start producing ‘Toba Mutwe’ for our people.

  • comment-avatar
    Advocate 5 years

    Minimum wage has its own implications.Only clever people can understand this.Everything thing has to go up inorder to meet the initial increase of payments.Period.

  • comment-avatar
    joy 5 years

    go and build yours

  • comment-avatar
    Swatz nigga 5 years

    Good move by government. Sampa can afford even at k20 per loaf bt he speaks for that poor man in kalomo. Bakeries hvnt put to effect minimum wage policy yet their products are a above $1.0. Slush th prices! Very seldom do we get that in Zambia. Raise your glass to that.

    • comment-avatar
      kolwe ni kolwe 5 years

      In the bigger picture it is still his pocket that is likely to win and poor people will continue to suffer even more.

      Reduce prices and then what? Most likely that directive will result in further loss of employment for the poor who depend on those bakeries for jobs.

      On the hand if government has removed VAT then the price of bread, all things being equal, should come down by at least an equivalent amount of VAT. But it is not guaranteed because other factors will not remain the same.

      For example the exchange rate between KR and USD. If you note the kwacha has lost value in the face of the Dollar of late. There are other factors also such as the recent hike in the cost of labour etc.

      The problem with the price of bread may not be so clear cut out.

      The Deputy Minister of Finance must do his home properly before they (he) comes up with policies which result in the government losing revenue in this case VAT collections but in the end not solve the intended problem.

  • comment-avatar
    Christian 5 years

    This is what happens when you do not consult on a wholesale wage increase. Now sampa give us feedback on your recent workshop in south africa on sector minimum wage increases? which if you ask any reasonable person, should have done earlier before invoking the SI to increase in the firstplace.

  • comment-avatar
    Bob 5 years

    Long term effects of price control include 1) businesses abundoning registered business to vending 2) job losses, 3) no money in people’s pockets. I hope the gov has options to counter these developments without hurting the overall economy. Lol

  • comment-avatar
    Lsk! 5 years

    mwabweza chabe bread nanga mabanzi?

    • comment-avatar
      Christian 5 years

      What about Kampompo?

    • comment-avatar
      Scramble for zambia 5 years

      Ma banzi ni bread in rebased form.

  • comment-avatar
    SHITANGWA 5 years

    GOVT HAS REMOVED 16% ON BREAD RELATED RAW MATERIALS. SO WHAT IS WRONG WHEN THE MINISTER DIRECTS THE BAKERS TO PASS THAT REDUCTIION TO CONSUMERS? DO WE HAVE TO OPPOSE EVERYYHING? YOUR HATRED FOR THIS GOVT WILL DRIVE YOU TO HELL.

    • comment-avatar
      Nchelele Bula 5 years

      But is it hatred, ZWD is just informing us that thy hv now extended price controls to bread which is a good development

      • comment-avatar
        Infamy'99 5 years

        I think Shitangwa was pointing to some of the negative comments being posted but not an assault on the watchdog.

    • comment-avatar
      Christian 5 years

      This 16% removal is to mitigate the wholesale wage increase forced on bakeries last year. These clowns do not seem to realise it a give and take industry this MARKET

    • comment-avatar
      Donchi kubeba 5 years

      That man i believe he is an Economist.So let the mechanism for Demand and supply work not forgetting to factor in the reduction of 16%.Why should they force them do reduce the price.Let the economy adjust itself then with time everything will get where it is supposed to be…

  • comment-avatar
    PEACE BA SATA 5 years

    Now when are you going to control the rental issues in zambia,there is no way a two bedroomed house can cost more than non redased k1800000 and k1500000.Nooooooooo,twakana we need all those houses to come at less than 1 milion kwacha and rebased kr1000 as the most expensive with tiles around.The same house in kabwe and kafue its k5ooooo non rebased and rebased k500.pliz our man work in such things as everyone would like to be staying ku not KWA,PLIZ

    • comment-avatar
      Nchelele Bula 5 years

      I totally agree with you. Plse may the government intervene.

    • comment-avatar
      The Seer 5 years

      The laws of supply and demand should not be interfered to any how. Just build your own house and stop renting….

      • comment-avatar
        obama 5 years

        I totally agree with you! What some bloggers don’t take into consideration is the cost of purchasing a piece of land plus the construction cost of a structure. Build your own house and then speak!

    • comment-avatar
      Mubanga 5 years

      One blogger was saying life is now affordable in Zambia. And that people are building their own mansions. Adding that it is only those in the diaspora who are suffering. So imwe Ba Peace Ba Sata, can you enjoy your life with your PF!

  • comment-avatar

    let govt reduce house rentals. Lets see who will cry loudest.

  • comment-avatar
    Liswa! 5 years

    PF should focus on real issues such as creating Permanent jobs in the Government unlike sequeezing bakeries, millers everyday. The issue of creating employment through the Chinese Road Projects doesn’t benefit Zambians.

  • comment-avatar

    Even chickend at soweto are damn expensive these traders in markets are exploiting and also buseko for timbers very very high and finally cement.

  • comment-avatar

    let ilunda start makin bread and sell cheaply. My friend warned me that SATA would ruin the economy but went ahead and vote for PF. Am really sorry.

  • comment-avatar

    Shortages of bread loomimg. No one wants to sell for a loss

  • comment-avatar
    Zedian 5 years

    Have you pipo seen how FAT , Miles Sampa has become?? He must be chewing from Mahtani be time!!!!

    • comment-avatar
      kabwe 5 years

      Discuss the price of bread. Leave Sampa’s body make up out of it.

    • comment-avatar
      Christian 5 years

      Ni ma ARVs

  • comment-avatar
    Pa Fyamba 5 years

    Effects of minimum wage is price increase …period

  • comment-avatar
    PJA 5 years

    Why not leave prices to be controlled by market forces. All we lack is prudent governance

    • comment-avatar
      i hate fornicators.... 5 years

      not in zambia where you have cartels. government must intervene.

      • comment-avatar
        Ur Right! 5 years

        I agree with the above. Zambia is locked in a vicious neck choke hold by unscrupulous foreigners. The government should consider indiginous owned retail outlets at the expense of foreigners as a viable means of creating jobs for Zambians.

    • comment-avatar
      kudu 5 years

      16% reduction on material is good action. But do not assume that the “market” will comply without enforcement and public sensitization. Especially with so many crooked business companies flooding zambia. cheating, abuse have always been the case to the poor consumer. I hope you are not OK with that. Market forces can be ignored.

    • comment-avatar
      Tiyabonse 5 years

      PF should be ashamed of themselves that before they fraudulently came into power,they continue to harass business persons a thing that never took place during FTJ,LPM and recently RB.What will be the position at the end of their FIVE YEAR TERM?

  • comment-avatar
    i hate fornicators.... 5 years

    when is the government going to look at land selling also. Land is too expensive in zambia. a 30 by 30 going at KR90,000.00 bare land for that matter. government should also look at this issue maybe simusa is fast sleep.

    • comment-avatar
      Kalaki 5 years

      True. Why should someone like Galaun who was given free land to settle now sell the land at exorbitant prices and make millions from the same owners of the land? How clever we can be!!!!.

  • comment-avatar
    Akamunofu Kalowa 5 years

    This is what one calls Pro Poor government. Well done Miles!

    • comment-avatar
      Kipara Matata 5 years

      What about minimum vages impact on the cost of bread? R u going to reverse?

  • comment-avatar
    BASEBELE 5 years

    IF THE FOUNDATION IS STRONG THEN THE HOUSE IS SECURE BUT IF NOT THEN DESTRUCTION FOLLOWS.
    IS THE PF FOUNDATION STRONG TO GOVERN UP TO 2016

  • comment-avatar
    CNP-4U 5 years

    how long will this nonsense go on..will you ever continue monitoring prices for food..?do something bena ukwa!!

    • comment-avatar
      Ba Nswana 5 years

      This is a good move u also try to be reasonable.Whats wrong with your brain?