The lunatic clampdown on food imports

ZIMBABWEAN officials will meet importers and local tax authorities today ahead of the introduction on August 1 of food import permits , which are expected cripple the business of thousands of unlicensed cross-border traders. An official in the Zimbabwean industry and commerce ministry said yesterday the government wanted to meet importers and the Zimbabwean revenue authority to “allay apprehensions” over the new permits. As shortages of basic goods worsen, the government last week said permits would be required for Zimbabweans importing groceries worth more than $300 from SA. “For any imports exceeding that value, traders will be charged duties on the difference,” the official said. The move to introduce the new permits follows hot on the heels of an order three weeks ago for retail businesses to slash the prices of goods, which caused panic buying and empty shelves. Under new government regulations published earlier this month, it will no longer be possible to import groceries such as beef, butter, cooking oil, tea, flour and sugar without a permit. Companies, however, would see “no maximum limits in general being imposed on the volume of imported flour, as long as they obtain the proper permit” from the grain marketing board, the official said. But limits and quotas on other groceries would vary “according to the kind of imported food”, he said. “We are meeting in order to try to sort out in advance any unintended effects the new permits may have. “There is no change in the procedure to obtain the permits and this will allow cross-border trade to remain unaffected,” the official said. Peter Draper, a researcher with the South African Institute of International Affairs, said the introduction of the new permits could have a negative effect on food prices and increase corruption among government departments charged with issuing permits. “Whether any trader will be issued a permit, or only those connected to the ruling Zanu (PF), remains to be seen,” he said. If fewer people were granted permits , then fewer businesses would import food , Dra per said, driving up prices and making government efforts to control prices ineffective.