Yara Ghana’s Theophilus Djorbuah urges private sector relief as high taxes, depreciating cedi strain businesses
Theophilus Djorbuah, Commercial Director of Yara Ghana Limited, has made a clarion call to the Government, urging the implementation of strategic measures to mitigate rising tax burdens and curb the depreciation of the cedi, aiming to alleviate the financial pressures on private enterprises.
Mr. Djorbuah emphasized the critical need for policies aimed at reducing the substantial importation of goods and services, a factor he identified as a primary contributor to the cedi’s depreciation.
He underscored the imperative for Ghana to boost its export volume to enhance the competitiveness of the cedi against major foreign currencies.
“The persistent challenges of high taxes and a depreciating cedi severely impact the private sector, particularly in terms of production and employment,” Mr. Djorbuah remarked. He warned that the continuation of these economic pressures threatens the viability of many businesses, potentially leading to closures and significant job losses.
Mr Djorbuah highlighted the downstream effects of these financial strains, noting that companies are often left with no choice but to raise their prices, which in turn, adversely affects consumers. This inflationary pressure is a direct consequence of the elevated production costs driven by high taxes and a weakened local currency.
Additionally, Mr Djorbuah spoke about against the “killer taxes” imposed on private enterprises, asserting that these excessive tax burdens force some companies to stop operations or resort to workforce reductions.
His comments were made during the launch of Yara Ghana Limited’s new product line, “YaraVita Croplift Bio,” where he responded to a farmer who had praised the company for its consistent quality but expressed concern over the high market prices of its products.
Mr. Djorbuah speaking further reiterated Yara Ghana’s commitment to providing high-quality products to Ghanaian farmers but acknowledged the difficulties posed by the current economic climate.
He urged the government to expedite measures aimed at reducing production costs and tax burdens, thereby enabling private companies to thrive and offer more competitively priced products.
In conclusion, Mr. Djorbuah’s appeal underscores a broader concern within Ghana’s private sector regarding the sustainability of current economic policies. His call for strategic governmental intervention highlights the urgent need for a balanced approach to economic management that supports both fiscal stability and business growth.
