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R175 for 30 eggs! Price gouging suppliers warned by NCC against cashing in
Consumers are encouraged to monitor the market and report any suspicious, unfair price increases of these goods and service.
The National Consumer Commission said retailers caught inflating prices of essential goods in the aftermath of the insurgence will be penalised. It said the country is will within a national state of disaster and warned of dire consequences for those hiking up prices staple items.
“A supplier or person contravening these regulations could be fined up to R1 million, or up to 10% of a firm’s annual turnover, or 12 months imprisonment,” said acting Consumer Commissioner Thezi Mabuza.
“Consumers are encouraged to monitor the market and report any suspicious, unfair price increases of these goods and services.”
While KwaZulu-Natal residents began picking up the pieces of their lives and businesses on Friday, many had already started scrambling for food and other essentials from Tuesday. Residents on community-based WhatsApp and Telegram groups began enquiring about where they could access essentials like bread, milk and baby formula.
The situation worsened for hard hit residents who reported being denied access to the few operating retailers in different suburbs if they were not residents of that area. Shop queues continued for kilometres and it became clear that supplies are extremely limited, creating an environment ripe for illicit trade and hoarding of supplies.
One resident based in Umhlanga, who wanted to remain anonymous, said a local restaurant and shop charged her R175 for a tray of 30 eggs. “We were so excited to find eggs, but we were shocked to pay R175 for a tray of normal eggs.”
The commission said consumers need to be protected against unfair, unreasonable or unjust pricing amid reports of possible food shortages in both KZN and Gauteng following the unrest. “It is unreasonable and unfair for suppliers of goods to take advantage of this state of national disaster by unfairly increasing the prices of goods without any economic justification to do so,” said Mabuza.
The goods and services in question are basic food and consumer items, emergency products and services, medical and hygiene supplies as well as emergency clean-up products and services.
