Clement Boateng, Vice President of the Ghana Union Traders Association, has disclosed that Ghanaians should prepare themselves for a hike in goods prices.
He said this will happen if shipping lines decision to increase their tariffs and port charges becomes successful. The shipping lines and the Ghana Shippers Authority have been sparring over the 14% increment of port charges from the Ghana Port and Harbours.
This situation has led to the decision by the shipping lines to introduce new tariffs, despite the authority writing to the agents. The agent of the shipping lines insist on the intended introduction and increment.
According to the Association, if the shipping lines blundered, the prices will be passed on to the consumer. Because it will affect their profit margins.
“We are the movers and shakers; we import in this country before our brothers and sisters are able to access those products. Whenever there’s an increment, which will add cost to doing business, it becomes a major blow to us. So, whenever there’s an increase, definitely we will pass it on to the customer and consumer. But to what extent can we be doing that, otherwise prices like this goes up.
“This is the situation that we want to avoid because when it happens like that, it does not augur well for trade facilitation. This increment is also part of trade facilitation, it makes doing business free. If you want to even increase something, there are rules and procedures that you have to go through. The law states that, if you want to come out with things of that nature, you must notify the three months [ahead] so that the regulator will call for a stakeholder engagement, we all sit down and arrive at something.
“But you can’t just wake up one day and say you have increased your tariffs. It doesn’t work that way and this is something they’ve been doing always. This time around, we will not allow them to have their way”.
Clement Boateng
Freight Forwarders demand action against shipping lines
Freight forwarders at the Tema Port on March 2, called on government to take action against some shipping lines. This is because of increased administrative fees and charges on goods, which do not conform to the International Trade Agreement.
President of the Ghana Institute of Freight forwarders, Eddie Akrong said Minister-Designate of Transport must halt the increase. Shipping lines had indicated their intention to start charging the new fees from March 1.
The Ghana Shippers Authority had written to the shipping lines to hold on till further engagements, with freight forwarders. Mr. Akrong requested the trading laws of the country and international transport policy must be applied.
He believes the country has made significant investments in its port, which should guarantee reduction in cost of doing business.
Oheneba Kwasi Afawuah, Chairman of the Concerned Freight forwarders Association, hinted that all affected persons at the port have been directed to resist any attempt by the shipping lines to introduce the new charges since it violates the operating laws.
“This so-called increment has no legal backing, has no authorization and is contrary to Ghana Shippers Authority regulations, 2012 (LI 2190). By this release, we are entreating all exporters, importers, freight forwarders and all our partners within the logistics supply chain to disregard the notices of any increases commencing today”.
