VAT exemption: some retailers fail to cut prices

In a bid to increase affordability of basic food commodities for low income earners and encourage consumption of healthy meals, government removed the 12% VAT on items that include brown bread, vegetables, fruits, rice, samp, milk and bread flour, effective 25 January 2015.

A snap survey carried out by the BusinessWeek around Gaborone this week revealed that some retailers have knocked down prices, while others have held out with the old pricing. Other retailers have increased prices of the affected commodities.