Suspension of benchmark value a welcoming news to us – IEAG
The Imposters and Exporters Association of Ghana (IEAG), has said that it is happy about Ghana Revenue Authority’s [GRA] decision to suspend the reversal of the benchmark value policy describing the suspension as a welcoming news to the Association.
The IEAG asserts that although it welcomes the suspension, members of the Association continue to grapple with exorbitant import levies and charges on cargoes at the port which government must also review downwards.
The Association revealed this in a press statement issued on 14 January, 2022, following the GRA’s announcement.
Benchmark Values: GRA shelves implementation of discount reversal
The Customs Division of the Ghana Revenue Authority (GRA) is in the meantime holding on to the implementation of the reversal of the benchmark value discount policy on vehicles and other 43 selected items.
The decision by the Customs Division of the Ghana Revenue Authority (GRA) to shelve the implementation follows the outcome of a meeting held on Wednesday, January 12, 2022 and a statement signed by Col. Kwadwo Damoah (Rtd), Commissioner of Customs Division.
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According to Col. Kwadwo Damoah (Rtd), the Customs Division of the GRA has been directed to suspend the implementation of the policy directive on the removal of the reduction of values of imports until further notice.
The announcement by the GRA is believed to be outcome of the stakeholder engagement between the Association of Ghana Industries (AGI), Ghana Union of Traders Associations (GUTA), GRA and Ministry of Finance.
Read details of statement below:
“Following a statement issued by the Ghana Revenue Authority GRA on the 13th January 2022 titled GUIDELINES FOR THE IMPLEMENTATION OF GOVERNMENT POLICY DIRECTIVE ON REMOVAL OF REDUCTION OF VALUE OF IMPORTS ON SELECTED ITEMS and signed by the Commissioner Customs Division; Col Kwadwo Damoah (RTD), the Importers and Exporters Association of Ghana IEAG would want to commend the government led by His excellency the President Nana Addo Dankwa Akufo Addo and the Economic Management Team for heeding to our concerns over the implementation of the reversed Benchmark Value Policy.
Though, we continue to grapple with exhorbitant import levies and charges on our cargoes at the ports that government must review downwards, we believe that the suspension of the implementation of the reversed 50% benchmark value on selected items is a welcoming news to us the business community”, the statements said.
The association therefore entreated the government to factor its concerns and suggestions into policy formulations going forward as well as urging the government to undertake wider consultation with all the industry players before formulating and implementing policies that can disrupt smooth flow of business.
With this move, it says it will make the ports more competitive.
However, to make our ports more competitive, the IEAG would like to state that:
- Per the directive, the suspension is to allow for broader stakeholder consultation on the policy. Therefore, while we commend government for suspending this retrogressive policy, we at the IEAG would want to entreat government not to only engage by way of consultating all industry players but TO ALSO FACTOR OUR CONCERNS AND SUGGESTIONS into its policy formulations going forward.
- That this back and forth approach of policies in the maritime sector by government is ADVERSELY AFFECTING TRADE AND THE BUSINESS COMMUNITY’S ABILITY TO PLAN AHEAD. It is therefore strongly recommended that government undertakes wider consultations with all industry players before formulating and implementing policies that have the tendency to disrupt smooth flow of business at the ports.
