Ration Rice and Flour - STC Investigation: Subsidized Goods Illegally Resold in Comoros

The State Trading Corporation (STC) launched an internal investigation about a month ago into a significant fraud involving ration rice and flour imported by the public agency and sold at heavily subsidized prices. According to reliable sources, part of these goods may have been diverted from their normal distribution channels to be sold illegally, particularly abroad. At the center of suspicion is one of the main distributors of STC products.

According to a credible source within the STC, initial findings revealed that subsidized products were being sold in Comoros. "We indeed discovered that our subsidized products have been found for sale in Comoros. Therefore, we have opened an investigation to better understand what happened and how long this business has been going on. It should be noted that such practices constitute a crime," this source stated. Investigations also established that these practices are not new. "Our investigation has shown that this has been happening for quite some time," they added. The case will be referred to the police in due course.

The suspicions particularly focus on a major buyer and distributor operating in the local market, who allegedly acquired large quantities of subsidized rice and flour from the STC before reselling a portion of it outside the country, bypassing control mechanisms. These products, intended to support the purchasing power of Mauritian households, have thus fed into a lucrative parallel circuit.

Moreover, the investigation has highlighted other irregularities at the local level. Some distributors have allegedly resold these subsidized products to restaurants and hotels. Such practices also contravene existing regulations, as the goods in question are strictly meant for household consumption and not for commercial use.

In response to these abuses, a first series of measures has already been initiated. Actions have been taken against certain identified distributors in a bid to end these practices and restore normal market functioning. According to the STC, these actions have had direct repercussions on the supply chain. "This practice was causing disruptions in the market," the same source emphasized.

These disruptions have been noticeable to consumers for several days. In some supermarkets, ration rice and subsidized flour are temporarily unavailable, while other outlets continue to offer them. This disparity is partly attributed to the identified diversions and the measures taken, which have reduced the volumes actually delivered to stores, despite significant initial purchases from the STC.

To regain control of the situation, the STC has decided to temporarily change its operating mode. "Since last week, we have been handling the distribution of our products ourselves," it was stated. This measure aims to ensure that the goods reach retailers and ultimately consumers.

The public agency reassures that there is no overall shortage of ration rice or flour at the national level. "Our warehouses are full," confirms the STC. The identified problem exclusively concerns distribution, which is currently being reorganized. The STC claims that the situation should be restored shortly.

In this context, about 70 truck drivers are currently registered with the STC to ensure deliveries across the island. The institution invites traders facing supply difficulties to contact its services directly. They can thus be connected with these transporters to organize the delivery of products.

The investigation continues to determine the exact extent of the network involved and to identify all the parties concerned. Authorities do not rule out possible prosecutions, given the criminal nature of the alleged offenses. This case highlights the vulnerabilities in the distribution system of subsidized products and raises the question of the necessary control mechanisms to ensure that these aids effectively benefit the targeted consumers.