The Ghana Standards Authority (GSA) has rescinded its decision to start the implementation of its revised registration fees for freight forwarders and general importers—originally scheduled for the start of this month—to allow for more stakeholder consultations and buy-in.
“No changes to the charges; the [old] charges have been maintained,” Chief Executive Officer of the Authority, Prof. Alex Dodoo, told a gathering of importers in Accra.
This was the outcome of a stakeholder meeting convened by the Ghana Shippers’ Authority in Accra to dialogue on the revised rates from the nation’s standards regulator.
The Standards Authority, in December last year, announced that it would start the implementation of its new fees and charges effective January 1 this year.
The increment ranged from between GH¢1,000 to GH¢5,000 annually for importers of goods such as gaming items, industrial machinery and cements to GH¢20,000 for shopping malls, who are considered big importers.
Approval for the new fees and charges was given by Parliament in August 2019 for implementation in the year 2020 for a select group of items but its implementation was delayed due, obviously, to the impact of the coronavirus pandemic on businesses.
Despite the year-long stay, President of the Ghana Union of Trader Associations (GUTA), Dr. Joseph Obeng—and other associations including the Freight Forwarders Association of Ghana (FFAG) and Association of Ghana Industries (AGI)—argues that they will need more time for their businesses to recover from the shocks of the pandemic.
They mentioned the negative impact of COVID-19 on businesses and the coming into effect of the African Continental Free Trade Area (AfCFTA) as key reasons for their position.
Freight forwarders had earlier indicated strongly that the proposed increment would be borne by end consumers as it could lead to a spike in pricing for traders who import those goods.
The coronavirus pandemic has had a disruptive impact on the global supply chain, particularly on the port business and by extension on traders who largely rely on imports.
Official first-quarter trade figures released by the Ghana Shippers Authority in August last year showed the severity of the impact of Covid-19 on the country’s maritime sector, with significant declines in all aspects of the business.
The total volume of cargo—comprising both containerised and general cargo—handled by the country’s two seaports in the first quarter of 2020 decreased by a whopping 44.9 percent year-on-year, the data showed.