Parents still hit by costly school uniforms despite Competition Commission intervention

The Competition Commission says anti-competitive practices in the school uniform market persist, despite guidelines introduced in 2021 aimed at curbing exclusive supply agreements.

The guidelines were developed after a decade of complaints from parents about high prices linked to schools appointing single, preferred uniform suppliers without competitive bidding.

Commission analyst Mpho Moate explains that these exclusive agreements often shut out competition, leaving parents with no choice but to pay inflated prices.

"There was a widespread practice by many schools where they signed exclusive supplier agreements with the suppliers of school uniforms. These agreements are entered into without any transparent competitive bidding processes. As a result, they substantially prevent and lessen competition. Ultimately, this means that parents are forced to pay higher prices.

"The Commission obviously initiated investigations into those complaints against the various schools and suppliers of school uniforms. However, given the number of complaints, the Commission then decided to educate and raise awareness around the benefits of competition in the school uniform market.

"So, we developed these guidelines for the benefit of the schools and the school governing bodies, as well as the manufacturers, really to raise awareness and to help the schools, the parents, and the SGBs understand how the market for school uniforms can benefit from competition, to foster competition between the suppliers themselves of school uniforms, and to also encourage parents to get involved and to exercise their right to choose value for money."

Despite publishing the guidelines, Moate says that complaints continue to reach the Commission.

Parents, teachers and school governing bodies are urged to report schools or suppliers that flout the guidelines or the Competition Act by filling out a complaint form, contacting 012 065 1940, or sending a WhatsApp to 084 743 0000 with a brief description of the complaint.

To listen to Moate in conversation on 702 and CapeTalk's Midday Report, use the audio player below: