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Dar traders mix sand with cement to maximise profit, survey shows
2007-08-17 09:00:33
By Doris Mmasi
Some cement dealers in Dar es Salaam are tempering with cement bags and mixing the product with sand in their quest to generate more profit, The Guardian can reveal.
Illegal acts, mainly triggered by the motive to maximise profit, contribute to the circulation of adulterated cement in some wholesale and retail outlets in the city.
A week-long survey by this paper revealed that cement dealers take out cement from the packages and put in the same amount of sand.
The malpractice is being fuelled by a sudden hike in cement prices, one of the critical inputs in construction.
`The dealers are taking advantage of hiked prices of cement. But this has proved to be a great burden to consumers,` one brick seller, Josephat Mkwizu, at Mabibo Relini in the city said.
Tanzania, with an estimated population of 35million people, is served by three cement factories, creating room for monopoly in the increasingly liberalised economy.
`This is dangerous for consumers…few players in the cement subsector are likely to exploit consumers by setting high prices for their products,` said Mkwizu.
Another brick dealer, Elizabeth Matei, wondered why cement sold by Mbeya-based Tembo Cement Company was cheaper than that produced by the other two factories, suspecting some dishonest super-dealers were colluding with manufacturers to fix up high prices.
One stakeholder in the sector, Magreth Massawe, said high cement prices have drastically raised prices of bricks to 1000/- from 550/- per each five-inch brick in many places in Dar es Salaam.
`These people break the cement, remove a sizable amount of cement—almost five Kilograms, put in some sand, repackage and sell them consumers` .
The situation—that`s counterfeit cement, has adversely affected brick businesses in terms of poor standards of bricks produced, threatening the lifespan of buildings and the survival of the construction sector.
Hardware dealer, Yolanda Mashingo from Ilala blamed poor packaging by manufacturers as behind the illegal cement and increased circulation of t counterfeit cement in the markets.
Interviewed Dar es Salaam residents said the on-going cheatings in the cement business would compromise the quality of the construction works.
Alexander Roman from Sinza Kijiweni said the situation is more worse in upcountry regions where cement supply is unreliable, citing example of Kilimanjaro region where cement is selling at between 12,000/- and 13,000/-
When contacted for comment, Christer Erickson, a Business Manager with Twiga Cement Company said that manufacturers should not be blamed for hiked prices of cement.
`Whole dealers are the ones to blame. Our wholesale price is 1050/-. We have not raised pricing structure since January this year. There might be other sources for the hiked price and not us`, he said.
Officials from Mbeya Cement were not available for comment but a person, on condition of anonymity on the ground of not being a spokesperson, refuted the allegations that cement manufacturers were colluding with super-dealers.
`Price is going up because of increased demand. About 40 per cent of our products are consumed in Mbeya, and only 15 or 20 per cent are taken to nearby regions-Iringa, Makambako and Ruvuma,` he said.
`It`s market forces that rise up prices of cement. This is simple economics—supply and demand,` he said.
On the issue of tempered cement, the source described it as a new practice, but refuted claims that the current packaging standard create rooms for tempering and counterfeit cement business.
However, efforts to reach other cement manufacturers—Tanga Cement, proved futile, mobile phone response of responsible officials has always been the call is not reachable.
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