GUTA Urges President Akufo-Addo to Delay Assent to Shippers’ Authority Act Over Stakeholder Concerns
The Ghana Union of Traders’ Association (GUTA) has called on President Nana Addo Dankwa Akufo-Addo to refrain from signing the Ghana Shippers’ Authority Act, 2024, into law, citing unresolved concerns that the association believes could have far-reaching implications for the country’s trading community.
The legislation, passed by Parliament on July 29, 2024, seeks to bring greater regulation to the commercial practices of shippers in Ghana, with an emphasis on curbing excessive fees that have long burdened traders utilizing the nation’s ports and borders for international commerce. The Act is also intended to bolster Ghana’s position as a key transit hub for its landlocked neighbors, including Burkina Faso, Mali, and Niger, and to enhance revenue contributions from the sector to the national coffers.
However, GUTA has voiced strong objections to the process, particularly the lack of consultation with key stakeholders prior to the bill’s passage. In a statement issued on August 21, signed by its president, Dr. Joseph Obeng, the association argued that the absence of input from the business community undermines the bill’s potential to achieve its intended outcomes.
“The Business Community wishes to appeal to the President of the Republic not to assent to the Ghana Shippers Authority Act, 2024 until some critical issues raised on the Act by stakeholders are resolved,” the statement read.
GUTA’s stance highlights broader concerns within the private sector about the potential impact of the legislation on the cost and efficiency of international trade operations in Ghana. The association’s appeal to the President reflects a deep-seated belief that further dialogue is necessary to ensure that the law, while well-intentioned, does not inadvertently stifle the very activities it seeks to regulate.
Meanwhile, the President of GUTA following a closed-door meeting with the Ghana Shippers Authority (GSA) and the Ministry of Trade and Industry earlier this month, told the media that he was optimistic that the new law will positively impact the cost of doing business in Ghana.
He noted that the new legislation would empower the GSA to regulate charges, thus providing significant relief to the business community.
“We have always said that the Ghana Shippers’ Authority does not have teeth to bite and we have been propagating the need to have our laws revised given the many challenges we face at the port, especially from the shipping lines that we deal with, particularly in terms of charges and fees.
“The cost of doing business in this country is just too high and so if this Act seeks to empower the Ghana shippers’ authority to make sure that some controls are brought in so that they can approve of some of these charges or disapprove of them so that we can have the respite to do our business and also grow, then that’s a welcoming development and that makes the Act very important for us and we support it,” he quipped.
Read Below the Full Statement:
The Business Community wishes to appeal to the President of the Republic not to assent to the Ghana Shippers Authority Act, 2024 until some critical issues raised on the Act by stakeholders are resolved.
They are as follows:
1. The issue of registration of shippers and shipping service providers were not discussed with us to make our input as stakeholders in the shipping industry.
2. Submission of notice of shipment was also not discussed with stakeholders for their input.
3. The final draft was issued to stakeholders only after Parliament had approved the Bill.
4. Issues raised on the suspension of registration, renewal of certificate of registration, cancellation of registration and outright rejection, which are only related to permits and licenses to operate as importers have not been resolved with stakeholders.
5. The Advance Shipment Information System that had been resisted and withdrawn by the Government in the past is now being reintroduced in the Act. Our position on that has not changed. Moreover, this information sought by the GSA is of no relevance to their operation.
6. For these reasons, the Ghana Shippers Authority had agreed to our concerns and promised that as the Act has already been passed by Parliament, they would use Legislative Instruments (LIs) to correct any defect or anomaly in the operationalization of the Act. However, our consultations suggest that LIs cannot override an Act, hence our call on the President of the Republic not to assent to the Act until all issues raised are resolved.
