[ 2016-05-04 ]

Importers relocate to Ivory Coast over high taxes
The recently introduced ECOWAS Common External
Tariff (CET) saw the imposition of charges on some
imported items and the elimination of others.

The CET which came into law following the passage
of the Customs (Amendment) Act, 2015 (Act 905),
has four tariff rates on custom duty.

Essential Social Goods will attract zero percent;
while goods of primary necessity,raw materials and
specific inputs will attract 5%.

Meanwhile intermediate goods and final consumption
goods will attract 10% and 20% respectively.

Mr. Dankwa, a clearing agent at the Tema Port,
who has been in the business for over thirty years
said,
“I engage in transit and because of the hardship
importers are facing in Ghana, it has compelled
them to move to Ivory Coast and Togo, “The whole
of West Africa, Ghana is charging more taxes than
any other country.

The latest one includes the taxes on bicycles and
ambulances which used to be free.
The previous government under John Agyekum Kuffuor
removed the taxes on the imported rice, but the
NDC government re-introduced them. So the
importers are suffering, likewise we the clearing
agents.
” He added, “We work in collaboration with the
importers as clearing agents, but because their
businesses have been dwindling, we have also been
struggling.

” Meanwhile a freight forwarder, Dennis, alleged
extra payments are demanded by some officials of
the National Security who frustrate the exit of
their goods after obtaining clearance from the
customs officials.

“An examination officer checks your goods and
passes you onto the preventive office and clears
you to exit the port, but the National Security
will impede your exit and demand that you pay
between 2,000 to 3,000 cedis,” “You would have
genuine documents which have all been certified by
the customs, yet the National Security insists
they will not allow you to go,” he alleged.

He however stated, “I do admit that paying the
money is abetting corruption but because of
competition, if you do not oblige, you are bound
to lose your clients to other clearing agents.

” Meanwhile some freight forwarders have raised
grave concerns over what they say is the
multiplicity of functions at the port which is
impacting their operations.

The businessmen tell Citi Business News the
situation mostly affects clearing of imported
poultry and other frozen products.

They explain that they are compelled to pay more
in demurrage due to delays in clearing their
wares.

“After undertaking all that processes with
agencies, you then proceed to the veterinary, Food
and Drugs Authority (FDA), Environmental
Protection Agency (EPA) as well as the Ghana
Standards Authority (GSA).

Then I may have to return to the Customs chemist
to pass the imported products,” Chairman of the
Freight Forwarders Association, Edward Akrong
stated.

Source - citifmonline.com

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