By Stephen Chandisareva.
Harare, Zimbabwe. (News of the South) – THE Confederation of Zimbabwe Retailers (CZR) said smuggling of goods by informal traders at legal and illegal ports continue to distress the economy as it continue to promote black market which has no direct benefit to the national economy.
In an interview with New Ziana on Monday, The Confederation of Zimbabwe Retailers (CZR) President Denford Mutashu said smuggling of goods are posing a huge threat to the viability of formal businesses who contributes to the economic growth.
“Most informal traders that smuggle their goods from neighbouring country like Mozambique does not pay tax for their goods, therefore not contributing to the economic growth.
“And these products are then sold at very low prices, presumably because they are smuggled without paying duties.
“It is not viable for a formal trader to continue operating if informal traders like tuck-shop vendors, appear untouchable as they sell the same products that are found in the formal trader’s shop on
the informal tuck-shop trader at nominal prices.
“And this is affecting formal traders who are contributing to the country’s tax revenue and creating employment to the nation.
Mutashu said informal traders should comply with the laws and taxation system which promotes economic growth.
“Laws are laws and these informal traders must stop being greedy and should comply by setting up their bases at designated markets where they pay tax revenues thereby contributing to the economy.
Mutashu urged the government to tackle smuggling as it is threatening the viability of formal business and reversing the gains posted by import restrictions.
“The government should tackle the smuggling process immediately at boarder post as it is affecting our business creating unfavourable competitive conditions for formal traders who pay tax revenues to the government.
Comments
About Author
