Tanzania investigates shortage of soft drinks

Soft drinks.

During the Christmas and New Year period, some soft drinks were not available in retail shops in parts of Dar es Salaam. PHOTO | COURTESY via THE CITIZEN

What you need to know:

  • Sources associate the shortages with the challenge of industrial sugar importation, but an official at a soft drinks company said there was no sugar scarcity, but demand during the festive season led to the shortage.
  • Deputy Minister for Industry and Trade, Exud Kigahe, told The Citizen that the government was aware of the shortage of soft drinks, but was not sure of the cause.
  • "We are currently trying to establish whether soft drink producers are causing artificial scarcity to create demand and increase their prices,” he said.

The Tanzanian government is investigating the shortage of soft drinks in parts of the country.

Sources associate the shortages with the challenge of industrial sugar importation, but an official at SBC Tanzania – producers of Pepsi and Mirinda beverages – said there was no sugar scarcity.

Demand soared during the festive season leading to the shortage, the source said.

A random survey by The Citizen showed that, during the Christmas and New Year period, Pespi and Coke were not available in many retail shops in parts of Dar es Salaam.

Deputy Minister for Industry and Trade, Exud Kigahe, told The Citizen that the government was aware of the shortage of soft drinks, but was not sure of the cause.

“It is true that a shortage of soft drinks started towards the end of December last year. We are currently trying to establish whether soft drink producers are causing artificial scarcity to create demand and increase their prices,” he said.

According to him, the Fair Competition Commission (FCC) was also trying to establish if production had decreased or whether consumer demand had risen.

A soft drinks seller at Ubungo in the city said that, for the past three weeks, several suppliers from different companies have not been delivering the beverages, thus causing their prices to rise from Tsh500 ($0.22) to Tsh600 ($0.26) a bottle in some areas.

“Even when you go to different retail shops, the situation is almost the same. Beverages like Pepsi and Coca Cola are not available. When we ask the suppliers, they don’t give us any reason,” said Beatrice, a retailer.