Imported detergents choke market
Published On March 13, 2017 » 2815 Views» By Davies M.M Chanda » Business, Stories
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By KENNEDY MUPESENI –
Government will continue losing huge sums of money if the Zambia Revenue Authority (ZRA) does not step up efforts to curb illegal imports of detergents.
Investigations by the Times indicate that more than 200 tonnes of detergent paste whose brands and labels are questionable enter the Copperbelt market monthly.
Taking advantage of the porous nature of the Nakonde Border post, most of the products are entering the country without meeting import formalities.
A check in most of the shops at Chisokone Market in Kitwe found piles of bags which are being unpacked into smaller packs going selling between K2 and K5 each.
“These washing power have become ‘hot cakes’, we import them from Tanzania … but obviously  Government is losing a lot of revenue as most of the cross border traders use illegal routes to bring them here,” a trader at Chisokone market said.
The source said the local detergents were not affordable hence most customers are buying the imported product which is going cheaply.
Another trader at Nakadoli Market, Friday Lengwe said it was not true that cross border traders selling the detergent do not declare the goods at the border.
“We declare these things and pay the required duty to the ZRA, so suggestions that we take advantage of the porous nature of the Nakonde border is not true,” Mr Lengwe said.
According to an official from Trade Kings Group, the influx of detergents is shrinking the local company’s Copperbelt market causing it to lose  K1.250 million of potential revenue per month.
“These powders have eaten up boom power market share. The entry  of imported  detergents  whose brand is not yet known is disadvantaging us.
“The imported  powders are  packed in  25, 30  and 100 grammes. The influx is leading us to lose K1.250 million monthly and 115 tonnes of powder on the Copperbelt only,” a Trade Kings official said.
Certain Consultancy Limited, a tax, financial and personal development consulting firm, has blamed the influx of imported detergents on the porous nature of the country’s borders.
Managing consultant Thomson Sakala urged ZRA to intensify mobile patrols to curb illegal imports as the country intensified its efforts to mop up more resources.

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