What happened to Price Control in Nauru

While the Government is trying to maintain stability financially in Nauru due to the country’s weak and fragile economy, businessmen are continuing to increase good prices on their shelves. Price of a 2kg chicken went up from $7.50 to $9.50 without any prior notice issued by the Price Control Board in consultation with business operators and consumers. 

Despite the effort of the Scotty government by introducing a Price Control in 2005, an act has been passed by parliament unanimously with zero actions taken since the bill is passed. The question that many would like to hear from the government and parliament is why this piece of legislation didn’t have any effect since it’s been adopted in parliament.

Not all products are affected, except the most common ones that consumers are after and especially frozen. One of the major underlying factors of this matter is the weakness of Eigigu Supermarket in not being able to provide continual competition on the retail market.

Eigigu Supermarket is a government local store established under the state own enterprises. The government’s vision for the company since the time of the Nauru Local Government Council (NLGC) under the full operation of the Nauru Co-operative Society is to provide affordable services to the Nauruan communities.

Unfortunately, time passes and Eigigu Supermarket has been experiencing it ups and downs since the late 90’s. The supermarket have been closed down at two to three occasions, due to insufficient funding and mismanagement, and is always at a drama whenever it attempts to carry out a smooth operations.

According to the government the supermarket is a liability and so is the holding company. In fact, that is not the real problem, but the problem is the company lack political support. In order for the company to progress is for the government to stand behind them and work with the company’s board and management hand in hand.

Without Eigigu Supermarket, there won’t be any competitions, and without competitions, local businessmen will topple the government’s vision to achieving economic stability.