Spare parts dealers demand immediate action from government over an unfulfilled duty reduction pledge

The Suame Magazine spare parts dealers association has voiced strong discontent over the continued high import duties at the nation’s ports, despite the recent strengthening of the Ghanaian Cedi and the Dollar. Speaking at a press conference in Kumasi, Chairman of the association, Mr. Godfred Adu Kofi, expressed their frustration and urged the John Dramani Mahama led government to address the issue immediately.

“We are here today to express our deep displeasure at the government’s failure to reduce duties at the ports,” stated Mr. Adu Kofi. “Despite the Cedi’s gains against major trading currencies, duties remain stubbornly high, and in some cases, have even increased.”

The Association highlighted a disconnect between the Cedi’s appreciation and the import duties levied by the Ghana Revenue Authority (GRA). They pointed to examples, such as the Toyota Voxy car, which has seen import clearance costs surge, allegedly due to reclassification.

According to them, the cost of clearing these vehicles has risen from GH¢35,000.00 to as high as GH¢60,000.00.

The dealers are particularly critical of the government’s failure to implement promised reforms. Mr. Adu Kofi reminded the government of a campaign promise to implement a flat rate duty system at the ports. “During the last election campaign, the former President promised us flat rate duties at the ports. We had hoped this would be addressed in the last budget, but that did not happen.” He recalled.

The Association’s plea is now focused on the upcoming mid-year budget. They are urging the government to consider implementing the promised flat rate system. The dealers also complained about public perception and said that they are being wrongly accused of price abnormality, particularly from commercial drivers, despite the strengthened cedi.

“We implore the President to ensure duties reflect the Cedi’s strength so we can pass on lower prices to the public,” Mr. Adu Kofi appealed.

The Association emphasized that a reduction in port duties would be critical for allowing spare parts prices to become more affordable.