HARARE - Fast food chain Chicken Inn has been temporarily closed following an order to revise prices downwards by the National Incomes and Pricing Commission (NIPC).

Chicken Inn is part of the INNSCOR group, which also runs Bakers Inn, Creamy Inn, and Pizza Inn.

A source at the company said that the decision was reached following a reverse order by the NIPC that it should revise the prices downwards.

However on Thursday Innscor had given the green light to increase prices on its products after it had written to the pricing authority to seek clearance to increase the prices.

The source said the NIPC had backtracked on its decision and ordered a downward price review.

Said the source: “We received communication from the NIPC giving us the nod to increase prices. Around midnight, the NIPC deployed its staff to conduct a price survey only to be told …that we should reduce the prices as they were too high.

“We have as a result of that order, temporarily closed our Chicken Inn brand because it is not a viable operation.”

According to the source, the NIPC ordered that a six piece package of chicken and chips should be sold at ZW$3 300 (revalued) which translates to ZW$33 trillion in old currency.

Innscor had pegged the price of the same package at ZW$19 000 (revalued).

“We cannot subsidise consumers. In fact, we should be reaping benefits for the procurement of raw materials and the processing of the same products into end-user friendly products such as chicken and all others.

“Given the lack of viability that has been brought about by these new prices announced by the NIPC, we believe we should watch the situation from the sidelines for now,” the source added.

-VOP