132 companies prosecuted as anti-smuggling blitz intensifies

Source: 132 companies prosecuted as anti-smuggling blitz intensifies | The Sunday Mail

Business Reporter

AN operation targeting smuggled, counterfeit and underweight goods — which is being spearheaded by a national task force on business malpractices, chaired by the Ministry of Industry and Commerce — is being intensified, with 132 businesses having been prosecuted since the crackdown began.

The blitz, which started late last year, is being coordinated by the ministry in partnership with the Zimbabwe Revenue Authority (Zimra), the Consumer Protection Commission and law-enforcement agents.

The multi-agency operation targets importers and cross-border transporters involved in smuggling and other unethical business practices.

The authorities believe smuggling is undermining local industries and threatening consumer welfare.

The Ministry of Industry and Commerce says a command centre was established to direct anti-smuggling and business malpractice surveillance.

“To date, 1 817 businesses have been inspected, with 132 prosecutions, 214 compliance notices and 2 915 units of various products have been seized,” it said in a post on X.

“The task force continues to conduct routine surveys to monitor the prices and availability of basic commodities across the country’s 10 provinces, with the ultimate goal of safeguarding and promoting consumer welfare in the economy.”

Market watchers say the initiative will promote local industry growth.

Bulawayo Provincial Affairs and Devolution Permanent Secretary Mr Paul Nyoni said since commencement of the blitz, local products are now dominating shelf space in shops.

“This blitz has promoted the presence of locally made products. If you go around in town, some of these products, including luxuries, which we used to spend a lot of foreign currency on, are no longer being imported because they were mainly brought in by smugglers,” he said.

“Now, you find an alternative, so nine times out of 10, you are getting more of our local products and what that does is it keeps revenue in the country and protects employment for our people.

“For example, if you walk in one of these large supermarkets, you will not get those imported chocolates, but you get the local ones, and that is the purpose of the blitz.”

Imported goods, he said, are not banned, but should pay duty.

Local industries believe cheap imports have been affecting the viability of local products.

Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube recently indicated that retailers were under pressure due to increased informalisation of the economy and rampant smuggling.

By the beginning of the year, Zimra had impounded goods valued at approximately US$2,4 million in a multi-agency operation targeting importers and cross-border transporters involved in smuggling and unethical business practices.

The operation has resulted in the seizure of dozens of vehicles, including cross-border buses and haulage trucks, and confiscation of illicit goods such as foodstuffs and second-hand clothes.

Zimbabwe National Chamber of Commerce president Mr Tapiwa Karoro says there is need to address the pressures facing formal businesses.

ZNCC, he said, was advocating a collaborative approach to addressing the existing challenges.