Tanzania's Government has put out a strong message to the country's cement producers that their licenses will be revoked if they do not keep their super-dealer's price rises in check. Unwarranted price hikes are a feature of the market that the government is now seeking to stamp out.
Mr Charles Mwiijage, trade and investment minister said, recent price hikes were the work of distributors who buy in bulk from super-dealers. The super-dealers are the middlemen who buy directly from the factories but fail to control their retailers who set prices.
"I want you to control your agents so that they, too, can control their people who tend to raise prices unnecessarily," Mr Mwijage said while touring the Tanzanian Portland Cement Company plant. "If you don't, I will have no option but to revoke your licence."
