Fast moving consumer goods (FMCG) have called for longer import licences, as the ones they have are too short, and due to the foreign currency shortages, the permits expire long before payments to suppliers are made by banks and this, they fear, could lead to shortages of basics.
BY FIDELITY MHLANGA
Importers have to acquire permits from the Industry and Commerce ministry, which are valid for two to six months depending on products.
A Zimbabwe Consumer Goods Importers Trust (ZCGIT) official told NewsDay the delays in processing the foreign payments were affecting importers.
“The problem for importers is two-fold, and one is access to finance to make payments. The foreign currency crisis is a big problem for commercial importers. Banks are saying there is no money in nostro accounts,” a ZCGIT executive, who requested anonymity, said.
ZCGIT is an association comprising of Distribution Group Africa, Aeromat Trading, Bullred Distribution, The Cold Chain, Equip Solutions, Exclusive Brands, FMCG Distribution, Tiger Sales and Distribution, Harrison and Hughson, Equip (Private) Limited and Vaitive Trading.
They are importers of consumer goods for key retailers and wholesalers in the country.
“Some banks are saying you pay cash in US dollars so that they settle payments through nostro accounts. This is problematic because getting cash is a problem. If you get an import licence and permit, it can expire before you make payments for the goods,” the executive said.
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Last June, the government promulgated Statutory Instrument 64 of 2016 to control the importation of certain products in a bid to support local manufacturing companies.
The source said this has prompted a short supply of certain products in the market.
“If you look at some supermarkets’ shelves, you will see huge gaps, with some doing front facing, whereby they put goods in the front row with nothing behind,” the executive said.
The erratic issuance of permits, he said, was affecting the availability of goods such as cheese, margarine and biscuits.
“We will engage the Industry and Commerce ministry as an association to put forward our case to do with licensing, so as to reach common ground,” he said.
Importers are also aggrieved that many licences are being issued to briefcase companies, while bona fide businesses go without.
