The Ghana Union of Traders’ Association (GUTA) has urged the President to withhold assent to the Ghana Shippers Authority Act, 2024 until outstanding concerns raised by stakeholders are addressed.

On Monday, July 29, 2024, the Ghana Shippers’ Authority Bill, 2024, was enacted into law after successfully undergoing its third reading and approval on the Parliament floor.

The new law seeks to oversee and standardize the business practices of shippers, focusing on eliminating excessive and unjust fees that disproportionately affect traders who rely on Ghana’s ports, airports, and land borders for global trade.

GUTA, in a press statement, urged that the bill be put on hold until critical issues with the Act are addressed, ensuring that the interests of all parties involved are protected before it becomes law.

“They [the issues] are as follows: 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; Submission of notice of shipment was also not discussed with stakeholders for their input”.
The Ghana Union of Traders’ Association (GUTA)

The Association also pointed out that stakeholders received the final draft of the Act only after Parliament had already approved the Bill, raising concerns about the lack of transparency and adequate consultation in the legislative process.

GUTA emphasized that several critical issues remain unresolved, including the suspension of registration, renewal of certificates, cancellation of registration, and outright rejection of permits and licenses for importers.

As such, the Association asserted that to ensure a stakeholder-centric approach, these critical issues must be thoroughly addressed and resolved before progress can continue.

GUTA also raised concerns that the Advance Shipment Information System, previously resisted and withdrawn by the Government, is being reintroduced in the Act.

This contentious issue, which has been a point of opposition in the past, needs to be addressed and resolved before moving forward according to the Association.

GUTA Reiterates Opposition To Advance Shipment Information System

Furthermore, the Ghana Union of Traders’ Association (GUTA) reaffirmed its longstanding opposition to the Advance Shipment Information System, emphasizing that its stance on this issue remains unchanged.

Additionally, the Association pointed out that the Ghana Shippers Authority’s (GSA)requested information holds no practical value or significance for their business operations.

“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”.
The Ghana Union of Traders’ Association (GUTA)

GUTA further emphasized that, according to their consultations, Legislative Instruments (LIs) do not have the authority to supersede or override an Act of Parliament.

As such, the Association reiterated its appeal to the President of the Republic to withhold assent to the Act until all outstanding issues have been fully addressed and resolved.

Meanwhile, the Bill passed by Parliament aims to introduce transparency in the determination of port fees and charges, ensuring a more open and fair process.

This, in turn, will promote accountability in the legal movement of international trade cargo across all borders of Ghana, enhancing the overall efficiency and security of trade operations.

Ultimately, the Bill seeks to establish Ghana as a premier transit trade hub for its landlocked neighboring countries, including Burkina Faso, Mali, and Niger, while also boosting the sector’s revenue generation and contribution to the national economy.

The new law will empower the Ghana Shippers’ Authority to effectively respond to emerging trends and complexities in the shipping and logistics industry, ensuring it remains adaptable and responsive to changing circumstances.

With this enhanced capacity, the Authority will be able to robustly protect the interests of shippers and service providers, while strengthening its regulatory oversight to promote a more efficient and secure industry.