High Court orders relief in Zanzibar beer shortage case

High Court orders relief in Zanzibar beer shortage case

Unguja. A glimmer of hope emerged for importers and consumers alike in the ongoing Zanzibar beer shortage, as the High Court ruled in favor of three companies previously denied licenses by the Zanzibar Liquor Control Board (ZLCB).

On February 19, the court granted an injunction requested by Zanzibar Maritime and Mercantile International Co. Ltd, One Stop Company Limited, and Scotch Store Limited, restraining the ZLCB from interfering with their operations, suspending their permits, or delaying their goods. 

“That the honorable honourable Court  be pleased to  order the second respondent (ZLCB), its principal principal, ‘Officer/Chairman’, and/or any  other responsible officer, to issue appropriate Import/distribution/sales licenses to the applicants, pending hearing and final determination of this matter, including the pending appeal to the Minister and related judicial review proceedings,” ordered Judge Rabia Hussein Mohammed.

The judge further ordered that the applicants be allowed to continue dealing with the importation, purchase, supply, distribution, transportation, and sale of alcoholic beverages (subject to payment of relevant taxes) pending a hearing and a final determination of the related judicial review proceedings. 

Earlier this year, the ZLCB’s decision not to renew the licenses of the three established importers, who had served the islands for over two decades, triggered a significant beer shortage in Zanzibar. 

Prices skyrocketed, with some brands hitting as high as 300 percent. Tourism businesses expressed concern, and legal action was initiated.

While the full details of the court’s reasoning are not yet available, the granting of the injunction suggests that the judges found merit in the applicants’ arguments. It remains to be seen whether the ZLCB will appeal this decision.

This court ruling will alleviate the beer shortage in Zanzibar and bring relief to both businesses and consumers. 

However, the situation remains fluid, as the ZLCB could choose to pursue further legal avenues or seek a political solution. The longer-term implications for the liquor industry in Zanzibar are yet to be determined.

Businessmen say the root of the problem lay with the Zanzibar Liquor Control Board after they delayed permits for the three established importers—One Stop, Scotch Store, and ZMMI—which sparked the initial hiccups. 

But a more drastic decision followed on January 2 when the board refused to renew licenses for these seasoned players, who had served the islands for over two decades.

The newcomers who were granted licenses, plus the temporary measures that were instituted, have yet to bear fruit despite the recent assurances during a meeting with the Zanzibar Revenue Authority, and the island continues to depend on supplies by the military and what others suspect to be smuggled alcohol. 

Observers feared that it would prolong the agony, potentially taking up to six months, as the prices spiralled beyond reach. 

The first official alarm bell was rung by former Minister of Tourism and Heritage, Simai Mohammed Said. 

Meeting with tourism stakeholders last month before his resignation, he painted a stark picture of Zanzibar’s dependence on tourism, a sector contributing over 30 percent of the island’s GDP.

“We’ve seen the board’s decision,” he said, frustration in his voice. “Hotels face shortages, businesses struggle. I urge investors to remain patient while we seek solutions.”

The Citizen’s investigation reveals a lengthy vetting process for new importers, as they need to comply with manufacturers’ code of conduct.

Importers pay a hefty Sh30 million annual fee to the board to be licenced and Zanzibar law also demands importers be Zanzibari residents with a clean tax record, a warehouse, and a delivery vehicle.

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Tanzania's opposition party ACT Wazalendo honours veteran politician under new policy
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Tanzania’s opposition party ACT Wazalendo honours veteran politician under new policy

Unguja. Opposition party ACT Wazalendo today officially bids farewell to its former Chairman, Juma Duni Haji, also known as Babu Duni, as part of a new policy designed to honor retired senior leaders at a ceremony held at Kiembesamaki, Zanzibar.

The initiative highlights the party’s commitment to recognizing and supporting individuals who have served with dedication and integrity.

Babu Duni, who stepped down earlier this year, was succeeded by Othman Masoud, now the First Vice President of Zanzibar.

The policy aims to provide ongoing respect and support to retired leaders, ensuring their continued recognition and contribution to the party’s development.

“Recognizing their significant contributions to the development and prosperity of the party, this policy ensures that retired leaders continue to be acknowledged and respected by both the party and the community,” the policy states.

To benefit from this policy, leaders must not have left or been expelled from the party. They must have served the party with honor and dedication. The national leadership committee will determine whether a leader has fulfilled these criteria.

The policy seeks to honor retired leaders, protect their dignity, acknowledge their contributions, leverage their ideas for the party’s growth, and support them to the best of the party’s ability.

In honoring these leaders, the party will provide a vehicle, the type of which will be determined by the national leadership committee. Additionally, they will receive a monthly allowance, with the amount also set by this committee.

Other benefits include health insurance. If a leader does not own a home, the party will cover their rent at a rate decided by the committee.

The leadership committee may also grant special recognition based on the leader’s contributions. Retired leaders will participate in decision-making meetings according to procedures outlined in the party’s constitution.

Depending on the party’s resources at the time, the policy may also apply to retired deputy chairpersons for both the mainland and Zanzibar, the Secretary-General, Deputy Secretary-General for both mainland and Zanzibar, and the party’s Attorney General.

Additionally, leaders, executives, or members with exceptional contributions to the party’s protection, advocacy, and defense may also benefit, as determined by the leadership committee.

Currently, those who are eligible for benefits under this policy include Juma Duni Haji (retired party Chairman) and Zitto Kabwe (retired party leader).Continue Reading