GPHA defends revised tariffs at the port amid stakeholders’ concerns
In response to a recent press release from the Ghana Union of Traders Association (GUTA) regarding the revised and restructured tariff implemented on August 1, 2023, the Ghana Ports and Harbours Authority (GPHA) has issued a comprehensive clarification on the matter.
GPHA, in its statement on August 3, 2023, emphasized that prior to the tariff implementation, extensive engagements were conducted with relevant institutions and major stakeholders, including the Ghana Shippers’ Authority (GSA), Ship Owners and Agents Association of Ghana (SOAAG), Freight Forwarding Associations, GUTA, Importers and Exporters Association of Ghana, and representatives from the transit trading community. These consultations spanned from April to July 2023 and led to a reduction in the initial proposed figures and an extension of the implementation date from July to August. Despite the accommodations made, certain stakeholders expressed reservations about the percentage increment and its timing.
The authority attributed the tariff revision to the prevailing global economic challenges, such as inflation and currency depreciation, which have escalated operational costs. GPHA’s decision to review tariffs is not bound by a specific time frame but is instead guided by a meticulous evaluation of various factors impacting port operations. The records reveal that there have been instances when port tariffs remained unchanged for over a decade, underscoring the sensitivity of the decision-making process.
GPHA clarified that the scope of the review was aimed at addressing distortions and improving the clarity of tariff interpretation and application. While some tariff items were not increased, others underwent restructuring to enhance efficiency and fairness.
Addressing concerns about low traffic volumes, GPHA asserted that its service charges constitute only about 6% of the total cost of cargo clearance at the port. The authority is currently conducting an investigation to identify individual contributors to the overall cargo clearance cost, with the aim of finding collaborative solutions.
Highlighting substantial investments in upgrading port infrastructure, GPHA emphasized the long-term benefits of maintaining an efficient port system, leading to reduced operational costs for businesses, improved productivity, and smoother trade operations.
Moreover, GPHA pointed out that the rate of tariff increment was based on a comparative port tariffs study conducted on neighboring ports in Lome and Abidjan. The goal is to ensure that Ghana’s ports remain competitive in terms of pricing and the quality of services offered, even after the recent tariff adjustment.
While the tariff increment may have short-term effects on businesses, GPHA emphasizes the importance of striking a delicate balance between cost recovery and delivering quality services.
