Inter-ministerial taskforce targets rogue businesses Minister Mangaliso Ndlovu

Blessings Chidakwa, Herald Reporter

CABINET has approved the setting up of an inter-ministerial taskforce to clampdown on errant business malpractices which include currency manipulation, use of fraudulent scales, and underweight and unlabelled goods.

In this regard, the Government is conducting on-site spot visits to businesses where all expired and fake products and goods will be confiscated.

The Herald has already reported that some shops are selling products, including sugar, that weighed around 1.7 kg instead of 2kg, while some maize-meal was close to 3kg, short of the marked weight of 5kg.

Three 2kg packets of a particular brand of rice from an established retail outlet in Harare city centre weighed differently, with the highest weight being 1,87kg and the lowest being 1,69kg.

In a statement, Industry and Commerce Minister Mangaliso Ndlovu said his ministry was the chair of the taskforce on business malpractices and would be rolling out comprehensive compliance inspections.

The taskforce was set up following a Cabinet directive mandating it to promote ethical business practices by curbing rampant malpractices within the economy.

The Government was, through this taskforce, using a whole of Government systems approach to address rampant business malpractices which harm consumer welfare.

Minister Ndlovu said the taskforce teams would therefore include tax authorities, law enforcement authorities, immigration officials, local authorities, consumer protection bodies, small to medium enterprises authorities as well as monetary authorities.

“Such malpractices also pose a very serious threat to the viability of our local manufacturing industry, thereby affecting employment levels and job creation. This is highly unacceptable and as a Government, we cannot allow it to continue unchecked.

“The business malpractices include rampant currency manipulation, use of uncalibrated and fraudulent scales, sale of second-hand clothes, smuggled, counterfeit, underweight and unlabelled goods, among many other offences,” he said.

Minister Ndlovu said the primary objective of the compliance inspections was to ensure businesses operated following established laws, regulations and industry standards, thereby safeguarding consumer welfare and maintaining a level playing field for all businesses.

“Gone are the days where laws have been infringed left, right and centre by both corporate and ordinary citizens, to the detriment of consumer welfare and industry sector viability.

“The era of lawlessness should stop forthwith. Going forward, the Government will restore order, and ensure organised commerce, sanity and stability in the marketplace,” he said.

Minister Ndlovu said inspections would be conducted through a combination of on-site spot visits, document reviews and stakeholder interviews.

“Businesses found non-compliant will receive guidance on remedial actions and may face prosecutions and penalties for non-compliance. In line with existing laws, all expired and fake products and goods will be confiscated forthwith.

“The business sector is therefore advised to treat this matter with the seriousness it deserves. Forewarned is indeed forearmed,” he said.

Minister Ndlovu urged businesses to have in their possession valid operational licences from the requisite licensing authorities, receipts of goods purchased for resale, reserved sector certificates and tax clearance certificates.

Those selling imported products should provide proof of duty payment to avoid being found on the wrong side of the law.

“Allow me to reiterate that the Government through this task force reaffirms its commitment to fostering a business environment built on trust, transparency and accountability.

“These compliance inspections mark a significant step forward in our ongoing efforts to promote the best practices and uphold the highest standards of business ethics,” Minister Ndlovu said.

According to the Consumer Protection Act, it is a crime to sell products whose labels and trade descriptions are manipulated to mislead consumers.

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