AGI President, Dr. Humphrey Ayim-Darke
The Association of Ghana Industries (AGI) says it is dissatisfied with the government’s decision to review the benchmark discount value while consultations are still ongoing.
After months of agitation and weeks of consultations with stakeholders in the trading community on the benchmark values reduction policy, the government has finally concluded on a 30 percent discount for all goods and 10 percent for vehicles.
A statement signed by the AGI President, Dr. Humphrey Ayim-Darke, said the decision by the government would not settle the concerns of local manufacturers, indicating that they are “very dissatisfied.”
“Our attention has been drawn to a reduction of the 50 percent benchmark discount value to 30 percent for general goods and 10 percent for vehicles, while consultation was still in progress. This revision by the government does not offer solutions or address the concerns of local manufacturers. While we acknowledge efforts by the government to address this distortion, we are very dissatisfied with this review,” it said.
No restoration
AGI further indicated that the reduction does not automatically restore the local manufacturers to their previous state or increase competitiveness after suffering the impact of the decision for more than two years.
“After bearing the brunt of this policy for over two years, it has been our expectation that the revision will spare us further stress. AGI wishes to state that a review from 50 percent to 30 percent for general goods and 10 percent for vehicles does not restore local manufacturers to the status quo, let alone competitiveness. This will not achieve the desired impact, and we consider this not adequate to ensure the competitiveness of our manufacturers. Indeed, we are disappointed,” it pointed out.
The Association says it wants to see a road map of what the government’s decision to gradually reverse the benchmark will look like.
“Since the government has indicated a gradual reversal of the benchmark discount policy, we would like to see a road map with timelines for this process.”
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