Legal & Compliance
Pricing & Commercial Transparency
Every material product or service price should have an internal documented basis so Lengau People's Society can explain and, if challenged, defend pricing decisions. Confidential commercial calculations are not published on this website.
Applicable South African law takes precedence. This page does not override consumer, competition or credit legislation.
Documented pricing process
Material prices should move through a recorded process before they are communicated to members or the public:
PRICE → COST BASIS → APPROVAL → COMMUNICATION → RECORD
- Price: the amount charged for the product or service, including any material conditions.
- Cost basis: an internal note of relevant factors used to arrive at that price.
- Approval: authorisation by a person or body with appropriate authority.
- Communication: clear, non-misleading information to the intended audience.
- Record: retention of the decision so it can be reviewed later.
Potential pricing factors
Depending on the product or service, an internal cost basis may consider some or all of the following. This is a checklist for documentation, not a published formula and not a claim that every price includes every factor.
Cost of production
Inputs, manufacturing or sourcing costs where applicable.
Packaging
Pack materials, labelling and packing labour.
Transport
Inbound and outbound logistics.
Storage
Warehousing and handling.
Distribution
Channel and last-mile distribution costs.
Taxes
Taxes and statutory charges that apply to the supply.
Administration
Reasonable administrative costs of supplying the product or service.
Financing
Financing costs where they form part of the approved basis.
Reasonable margin
A margin consistent with sustainability and approved policy.
Market conditions
Documented market conditions relevant to the period of sale.
Applicable member benefits
Any member-specific pricing must be authorised, disclosed and distinguishable from donations, membership contributions and credit charges.
Regional or market differences
Where prices differ between provinces, regions or markets, the organisation should retain a documented explanation. Unexplained differences should not be treated as acceptable practice.
Different prices require reasons.
Public communication of prices must remain accurate and current. Outdated promotional prices should not be left live. See Consumer Protection and Lengau Maize Meal.
This page is an organisational information instrument. It does not, by itself, create legal rights or obligations unless formally adopted. Contact +27 60 709 4406.