South Africa’s Business Day newspaper yesterday reported that Shoprite is being investigated by Zambian competition authorities over allegations that the retailer has threatened to drop suppliers who enter into supply agreements with rival Pick n Pay.
Chilufya Sampa, the Zambia Competition Commission’s director of mergers and monopolies told Business Day that investigations into the matter have been going on for “just about a month”.
“These type of investigations usually take a long time because of their nature. They’re a bit more secretive and [it’s] more difficult to get documents,” Sampa was quoted saying.
In July this year Pick n Pay opened its first Zambian outlet in Lusaka, with a further seven stores planned over the next five years.
Shoprite entered the Zambian market in 1995 and currently operates 18 outlets in the country.