Trade Ministry initiates stakeholder engagement to reverse regulation

To fulfill its dedication to reversing the ban on the importation of salvaged autos in Ghana, the Ministry of Trade, Agribusiness, and Industry has begun partaking stakeholders.

In March 2020, Parliament handed a regulation prohibiting the importation of salvaged autos into Ghana.

The intention behind this regulation was to offer incentives for automotive producers and assemblers registered beneath the Ghana Manufacturing Development Programme.

However, artisans and importers argue that the regulation acts as a disincentive to their companies.

During the 2024 marketing campaign season, John Mahama, the Presidential candidate for the National Democratic Congress, pledged to reverse this regulation.

In line with this proposed modification, the Ministry of Trade, Agribusiness, and Industry is consulting with stakeholders concerning the problem.

Sector Minister, Elizabeth Ofosu-Adjare knowledgeable artisans and importers of the federal government’s dedication to creating an enabling enterprise surroundings to assist their development.

“The promise was to begin the reversal of the law within 120 days of assuming office, but we are nearing the end of that period. The government is actively engaging with artisans and importers to find the best ways to empower the Suame Magazine area to fulfill its role effectively. This area is a one-stop shop for automobiles, and as a country, we need to focus on the people here,” she stated.

Leaders of artisans and importers welcomed the initiative, however they raised a number of essential issues.

Kofi Adu, Chairman of the Suame Magazine spare components sellers, said, “the engagement is refreshing, but we don’t want a situation where the law is reversed, and duties on salvaged vehicles increase to discourage us from importing them.”

Additionally, Anthony Oppong, Chairman of GUTA within the Ashanti Region, stated,  “We are pleased with the decision, but the government must ensure that the imported vehicles meet certain safety standards to protect Ghanaians. We have also informed the Minister about the need to stabilize the local currency against major foreign currencies to strengthen businesses.”

The Ministry believes that with enough assist, the Suame Magazine enclave will considerably contribute to Ghana’s financial development.