The Ghana Union of Traders Associations (GUTA) has expressed disappointment in government over the reversal of the of 50% benchmark values on some selected general goods and 30% on vehicles.
The Government suspended 50% benchmark values on selected general goods and the 30% on vehicles to make the measure more efficient and targeted.
Finance Minister Ken Ofori-Atta, who announced this when he presented the 2022 budget to Parliament, said the move was consistent with the government policy to promote local industry and improve foreign exchange earnings.
He said the Government was committed to a programme of turning enterprising traders into manufacturers of widgets, tools and other machinery necessary as inputs for industrial growth.
Earlier this year, the Ghana Union of Traders Associations (GUTA) appealed to government to abort plans to scrap the 50% reduction in benchmark values.
This was after the Ghana Revenue Authority (GRA) in a letter forwarded to the Finance Minister, Ken Ofori Atta, signed by the Commissioner General, Rev. Ammishaddai Owusu-Amoah, revealed that the move is informed by an agreement reached with the business community to, as it where,to generate more revenue.
In reply, GUTA insisted that, if the reversal is carried through, it will adversely affect their businesses.
Unfortunately, the Minister of Finance, Mr Ken Ofori-Atta confirmed the suspension of the 50% benchmark on general goods.
Read Also: MOMO Agents Association unhappy with 1.75% levy
Speaking with Ekourba Gyasi Simpremu on Atinka TV’s morning show, Ghana Nie, the President of Ghana Union of Traders Association(GUTA), Dr Joseph Obeng said the move will rather make things worse for Ghanaians as compared to before.
“Initially they were speculations but now he has said it that they will scrap it. The Benchmark value did not just come, we had a problem and we went to see them to make them know about it and the President said something should be done about it and they brought the benchmark value. The benchmark value was government’s innovation because they said they had a challenge of reducing the duty rate and so they brought the benchmark discount value and so if it has gotten to a point you want to scrap it, then are you taking us to the serious problem we had before? or we have to sit down and see the way forward”
He continued that,”When the AGI comes to public to talk, they say our goods are very expensive and that the public did not benefit from the benchmark value, when people want to impose something, they can destroy the atmosphere, meanwhile when they are doing their lobbying, they say because of benchmark value reduction, the prices of imported goods are very cheap on the market to the extent that they cannot produce locally to beat the price. What contradiction or confusion is that? So they are the ones who have spoken about this for people to think that our goods are expensive, it is not true. We have saved a very daring situation that covid brought and the mitigating factor has been the benchmark value. If they should start with the scrap of the benchmark value today, prices on goods will double.”
Ghana| Atinkaonline.com| Porcia Oforiwaa Ofori
Writer’s email [email protected]