The Namibian Competition Commission has received complaints from the public of significant price increases by leading supermarket and pharmacy chains, including Shoprite, Pick n Pay and Spar, during the COVID-19 pandemic.
The split of complaints is as follows:
- 36% of all complaints relate to Spar
- 21% against OK Foods Stores.
- 15% against pharmacies including Dischem
- 13% are against Pick n Pay
- 5% each against Clicks, Shoprite (including Checkers) and Woermann Brock
40% of complaints relate to price increases for food products including fruits and vegetables, rice, maize meal, infant formula and dairy products. A further 13% of the complaints refer to immune boosters, hand sanitizers and face masks. A price movement analysis by the competition commission indicated that some prices had increased by 14% to over 1000% for certain products.
In March, Namib Mills Groups, one of Namibia’s largest food companies , warned that the depreciation of the Namibian dollar could lead to price increases. In late February, the US dollar traded at N$15.5. By early April, one US dollar was worth N$19.
However, Namibia’s national statistics agency’s data suggests inflation is at a historic low. In April 2020, the annual inflation rate slowed to 1.6%, compared to 4.5% in April 2019. On a monthly basis, inflation fell to -0.3%, the lowest inflation rate recorded in the last decade for Namibia.
