The Competition and Consumer Authority (CCA) has noted with grave concern reports of businesses unjustifiably increasing prices following the recent adjustment of the Botswana Pula currency exchange rate.
CCA Communications and Stakeholder Manager, James Molosankwe has explained that, the CCA is empowered by Law and Regulations to investigate any perceived unfair or misleading pricing. Already the CCA is on the ground doing inspections and investigations, and “we have so far established that some suppliers have put disclaimers that they shall charge consumers more than the price displayed at the shelves.”
“CCA warns that this is a contravention of section 11 (3) of the Consumer Protection Act of 2018, in that a supplier shall not charge a consumer more than the price displayed. Consumers are encouraged to be vigilant and guard against this unfair business practice. Any consumer who has experienced this unfair business practice should inform and report the matter to the CCA for prompt intervention, ” Molosankwe said in a press statement.
CCA views this type of practice as exploitation of customers under the guise of exchange rate adjustments and urge businesses to refrain from this conduct. Evidently, there are businesses that could potentially be engaged in unethical business conduct by hiking prices on old stock which was bought before the Pula adjustment, the statement further said.
The CCA has assured that it will investigate and if necessary, impose penalties for anti-competitive conduct and unfair business practices by the concerned businesses.
“While we are fully aware that businesses are free to independently set prices in a market economy, exploitative pricing based on misinformation to erode consumer welfare cannot be tolerated,” further reads the statement.
