A desperate, confused state still prevails throughout industry and commerce although business has settled into some recognizable pattern of survival. Operation Dzikisa Mutengo (Reduce Prices) has largely failed and the Finance Minister has described it as “chaotic” and “lacking proper leadership”.

Some price increases have been approved by the Price Control Authority which is largely made up of people without any form of business or economic skills. Anomalies abound and the economy is distorted and out of sync with itself. As local companies cannot produce at a profit, the shelves are beginning to fill with imported goods from tomato sauce to even perishables such as milk. Business can add 20% margin on any new item on their product listing and this has provided a loophole at the huge expense of local industry. Outside any supermarket in Harare shoppers are accosted by vendors selling what used to be on the shelves at inflationary-driven prices. Also it appears that the system of patronage has entered the Price Control issue as Zanu business people are being granted huge price increases on consumables at the expense of others as factories remain idle.

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Technorati Tags: Zimbabwe, Business Watch, economy, inflation, Operation Dzikisa Mutengo, food shortages, hunger

To put this in context, the Zimbabwean government recently gazetted the minimum wage for domestic workers to be Z$120,000 a month. So, to afford one of these tins of very ordinary jam, the domestic worker would have to save every cent of over four months worth of wages.

This is what Mugabe’s price controls have done to Zimbabwe’s shops, even the most major supermarkets! Nothing to buy.

Technorati Tags: Zimbabwe, economy, inflation, hyper-inflation, poverty, shortages, food shortages, famine, hunger, Robert Mugabe, ZANU PF

Sokwanele’s Zimbabwean e-cards can be used, for FREE, to help Zimbabweans campaign for non violent peaceful change in Zimbabwe. Please use them! Join us by subscribing to our mailing list and finding us on Facebook! Help Zimbabwe achieve democracy, justice and human rights for all its people.

This short movie is also available for sharing via YouTube.

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Join us there and invite all your friends.

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My wife and I decided to spoil ourselves on our 25th wedding anniversary and delighted that some restaurants had food available, we set off for the CBD and began to relax in a comfortable establishment (it would not be wise to mention the name of the restaurant due to the current persecution of business people).

The manager on duty was aware of the reason for our celebration and disappeared into the kitchen to return to our table and whisper that he had some pieces of meat for us.

We gleefully accepted his offer and he personally served a sizzling steak but completely covered with lettuce.

He softly told us none of the other guests must see what you are eating.

Technorati Tags: Zimbabwe, restaurant, food, poverty, inflation, food shortages, price controls, economic breakdown, economy

The leadership of the workers has called for a stayaway.

You are suffering beyond belief, struggling for a piece of bread and a piece of meat, your children’s education is threatened, you have little or no water and the same for electricity. Get up! Stand up against this regime and show your displeasure by staying at home.

If you are afraid of being beaten up for staying at home, put on your work clothes and go to the park and think about what you want your country to look like. Right now, we are the laughing stock of the world, a pariah state that no one wants to associate with.

We have to redeem our country ourselves by demonstrating our anger at the way things are going. The world does not understand why we apparently meekly stand by and let the dictator do as he pleases dragging us from disaster to disaster. We must make a stand.

Support the stay away.

Technorati Tags: Zimbabwe, ZCTU, stayaway, labour, action, protest, wages, poverty

Click here to watch the report.

Technorati Tags: Zimbabwe, poverty, political oppression, France24, media

Business is in a perilous state as the full affects of price control measures bite. Profit margins have now been totally eroded by inflation and many companies are exhausting financial reserves. Presidential powers were exercised to affect these price controls and by decree, came into law on August 19th. It dealt a crushing blow to industry whose production had dropped to as low as 28% prior to this event. With a country where estimated inflation may be as much as 25 000, to be forced top trade at June 18th prices renders virtually all business non-viable. To illustrate position, a large cement factory has been forced to produce at a loss amounting to $1.1 million ($1.1 billion in real terms) per bag. Many companies are contemplating a dim immediate future unless some sort of sense begins to prevail.

Related articles in the media:

• Zim IDs takeover targets
• Price control authorities ban cattle auction at Zimbabwe agriculture showcase
• Fantasy land

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Technorati Tags: Zimbabwe, Business Watch, economy, inflation