Categories: Zim Latest

Food prices increase in response to 15% VAT rise

A number of basic commodities in Zimbabwe shops have increased in price following the introduction of 15 %  percent  value added tax (VAT) increase on goods that were previously zero-rated.

A survey in local shops showed commodities like potatoes, rice, meat, fish, maheu, and chicken offals were trading higher than last week’s price in response to retailers complying with the tax increase.

a number of families told reporters that they have cut down on consumption of the respective products in addition to buying at informal markets.

In a telephone interview Headlands potato farmer Robert Mthombeni said farmers have also been affected as less volumes of their produce are being purchased.

The price increases have actually been going on since end of last year following the introduction of bond notes.

 

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Published by
Takunda Shumba

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