The Government has been urged to review fuel taxes after the Zimbabwe Energy Regulatory Authority (ZERA) increased the prices of fuel twice in one week.
The fuel prices have gone up significantly on the global market since Russia launched a military invasion of Ukraine on 24 February, with Western powers responding by imposing economic sanctions on Moscow.
Dzivaresekwa MP Edwin Mushoriwa (MDC Alliance) implored the Government to reduce fuel taxes and levies to make the product affordable for citizens. Said Mushoriwa:
The various taxes and levies contribute approximately 30 per cent to the price of fuel so isn’t it possible to review them downwards?
Tobacco Association Zimbabwe president, George Seremwe, warned that the recent fuel price hike will make tobacco farming less profitable. He said:
As farmers, we are very much worried about the escalating prices of fuel which has been caused by the crisis in Ukraine and we think that is going to affect our profitability of tobacco production.
Fuel is one of our major inputs in the value chain. We need fuel for the transportation from the fields to sheds, and from floors to market we also use fuel.
We are very much worried about the charge from transporters, very soon because we will be transporting our tobacco, this will have an impact on our profits.
Confederation of Zimbabwe Retailers (CZR) president Denford Mutashu said consumers should brace for a sharp rise in the prices of both basic and non-essential goods.
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A letter to Mthuli Ncube: perhaps you are so engrossed in your own life you don’t know what is happening or going to happen on the streets of Zimbabwe due to the Russian invasion of Ukraine. Some time back you claimed the Zim overall GDP would grow to 7.2% by the end of last year. You also told the nation that we had an overabundance of food so there was no need to import any for the foreseeable future. In fact you told us that you exported millions of dollars worth of goods, to the extent that this country has suddenly become extremely rich. If all of those admissions were true, as opposed to propoganda and fake news, you should then urgently begin to subsidize the new prices of fuel imports down to the price of $1.41 per litre as soon as possible – like today. The Zim oligarchs, who control the fuel industry, the trucking industry, the financial industry will continue to destroy this country, to the point that if fuel prices are not kept down, there is the strong possibility of increases in the price of food resulting in street riots. As you might not be aware, Mthuli Ncube, street riots and their consequences will be a fatal end for Zim and the political party you belong to. DO SOMETHING ABOUT THE FUEL PRICE NOW.