The Importers and Exporters Association of Ghana has hinted of possible cases of smuggling of imports into the country due to what it refers to as high tariffs at Ghana’s ports.
The comments come on the back of the implementation of the Common External Tariff (CET), effective today.
[contextly_sidebar id=”6RUXJSg9vT2Blnpa5mwobiaz7bkZDdUJ”]According to the importers, the 23 percent charges in the form of taxes and duties on some selected consumption goods such as poultry and household items, coupled with the 35 percent tariffs imposed by the CET, will make importing through Ghana unattractive.
Speaking on the Citi Breakfast Show, President of the Importers and Exporters Association of Ghana, Sampson Asaki Awingobit said,
“The reason for the CET was to create fair playing ground for everybody. If all these West African countries were charging the same, we wouldn’t have had any problem, but here is the case that with their good economic conditions, their prices are very low, it is a big difficult task…the importers are not just in business because of luxury but they are in business because there is a gap in supply,” he stated.
Sampson Awingobit also complained of government’s minimum support to local manufacturing businesses despite the high taxes.
“The agric ministry has recently destroyed thousands of birds as a result of the bird flu outbreak. Some of the farmers are even yet to be compensated. So ask yourself when will the local businesses grow and reproduce. I think the government should be responsible for whatever challenges the local businesses are facing.” He observed.
GRA, Customs response
In response however, the Principal Revenue Officer with the Customs Division of the Ghana Revenue Authority, Dr. Okoh Ampah, downplayed their fears maintaining that no new tariffs have been introduced.
He explained that the Common External Tariffs is rather replacing Ghana’s current tariff regime.
“What the CET is doing now is just replacing our tariffs it is just the import duty that there have been some changes, it is not an introduction of new taxes,” Dr. Okoh Ampah said.
Commenting on the concern raised by the importers that the new tariff will force some importers out of business, Dr. Okoh Appiah explained that,
“These same commodities that are coming from ECOWAS member countries like yoghurt from any ECOWAS member country, is zero import duty. It is only when it is coming from outside ECOWAS that it attracts the duty we are talking of.”
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By: Pius Amihere Eduku/citifmonline.com/Ghana