By Cathy Maulidi, Jimmy Chazama & Pemphero Malimba:
Vendors selling second-hand clothes in Lilongwe took to the streets Tuesday in a march that ended with a meeting, which ultimately resulted in an agreement for wholesalers to reduce their prices.
The march began at around 9am from Lilongwe Flea Market and made its way to Parliament Building.
The vendors carried placards protesting the rising cost of second-hand clothes, which they purchase in bulk from wholesalers.
For example, they complained that the price of a bale of children’s clothes had risen from K800,000 to K1.4 million.
Chairperson of the Parliamentary Committee on Industries, Trade and Finance, Paul Nkhoma, had planned to receive a petition from the vendors but said he would forward it to the relevant authorities.
This did not satisfy the vendors, who insisted they wanted immediate answers, not just a petition submission.
As a result, government ministers, led by Local Government Minister Richard Chimwendo Banda, stepped forward to address the vendors.
Chimwendo Banda reassured the vendors that the government was committed to addressing the rising prices of goods and services in the country.
Minister of Trade Sosten Gwengwe announced that the government had revoked the operating licences of second-hand clothes wholesalers and retailers and asked them to reapply.
“We understand the challenges vendors face and are meeting with the vendors’ committee to discuss solutions. Additionally, the government is ensuring that foreign currency, such as dollars, is made available to these businesses to resolve the issue,” Gwengwe said.
Blantyre City South East MP Sameer Suleman suggested forming a committee to visit vendors’ suppliers to ensure no one exploits the situation by inflating prices.
“We want swift action. The government should consider tripling the minimum wage to help Malawians afford basic goods. We also need to monitor shop owners to ensure they are not taking advantage of the situation,” Suleman said.
Deputy Secretary of the Small-Scale Cross-Border Association, Frank Mhango, expressed frustration over the lack of forex, which he claimed had hindered their ability to import goods.
“We have spoken to government officials, but we are not receiving any support,” he said before the meeting, which appeared to have resolved the concerns later in the evening.
After a long day of negotiations, a consensus was reached between the vendors, second-hand clothes wholesalers and the government.
Habib Ali, a representative of the wholesalers, confirmed they were willing to reduce prices if the government provided them with forex.
“The minister, with an official from the Reserve Bank of Malawi [RBM] present, assured us that the government will provide foreign exchange at a favourable rate of K1,750. This will allow us to lower prices,” Ali said.
He added that the wholesalers had been instructed to reopen their shops on Wednesday, with prices set at December 2024 levels, pending reapplication for their licences.
Additionally, the government reversed its earlier decision to ban the sale of second-hand undergarments.
Gwengwe said vendors and wholesalers would now be allowed to sell the undergarments and a formal communication would be sent to the Malawi Revenue Authority and the police, who had been enforcing the ban.
“Initially, we stopped the sale of kaunjika undergarments for health reasons, but that decision has now been reversed,” Gwengwe said.
Regarding the price of second-hand clothes, Gwengwe revealed that discussions with RBM had led to a commitment to release forex to support the sector.
“We are grateful that RBM will provide dollars to support key sectors, including second-hand clothing. We have agreed that prices will return to their December 2024 levels, prior to the price hikes,” the minister said.
He also reassured vendors that the government would do its best to support the second-hand clothes sector.
Lyson Chinunga, leader of the vendors, expressed satisfaction with the outcome reached during the meeting at Parliament building.
“Our demands have been met and we are pleased that prices will return to where they were in December last year,” Chinunga said.
The vendors’ presence at Parliament Building had led to an early adjournment, with Leader of the House Chimwendo Banda insisting on the need to monitor the situation outside.
The vendors’ presence also led to ministers leaving Parliament to engage with them. However, their first meeting outside Parliament ended in violence, with ministers being stoned.
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