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Suppliers taken to task over price hiking of essential items during lockdown

One supplier is accused of hiking hand sanitiser prices by more than 114%, while another is accused of raising the price of face masks by more than 600%

THE National Consumer Commission (NCC) has filed a case against a hand sanitiser supplier, accused of pocketing a lockdown profit of more than 114%.

According to the NCC, the supplier in question raised its prices of a 25 litre hand sanitiser from R990 – which it charged in December – to R2 745 on 24 March.

After receiving complaints of alleged ‘unfair, unreasonable, unjust or unconscionable’ price increase against this supplier on 26 March, the NCC filed at the National Consumer Tribunal (NCT) on 9 April.

The NCC said it has been inundated with complaints from consumers against several suppliers throughout the country.

Acting Commissioner, Thezi Mabuza, said following the declaration of the National State of Disaster by President Ramaphosa, many suppliers increased prices of goods and essential services.

Mabuza said the behaviour of this supplier in question is ‘harsh’ towards consumers.

In the NCC’s application to the NCT, it seeks the following orders against the supplier:

* Declaring the supplier’s conduct prohibited
* Interdicting this supplier from engaging in prohibited conduct
* A full refund to the affected consumers
* Imposition of an administrative fine in the amount of R1-million

More matters will be filed against other suppliers in the coming week, including a supplier of face masks to pharmacies, where the supplier is alleged to have made a profit margin of between 200% and 500%, while another supplier increased the price of FFP1 masks by a staggering 667.72% even before sourcing at increased prices.

‘We will take stern action against suppliers who infringe Regulation 350,’ said Mabuza.

‘Our mandate is to protect consumers and customers from unconscionable, unfair, unreasonable, unjust or improper commercial practice during the national disaster.’

Complaints can be reported to the NCC’s toll free number – 0800 014 880 or to 012 428 7000 (during office hours).

ALSO READ: SMMEs warned of Covid-19 relief fund fraudsters

 

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Tamlyn Jolly

With a background in publishing in the UK, Tamlyn has been in the news industry since 2013, working her way up from journalist to sub-editor. She holds a diploma in journalism from the London School of Journalism. Tamlyn has a passion for hard environmental news, and has covered many such stories during her time at the Zululand Observer. She is passionate about the written word and helping others polish their skill.
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