GHANA- Friday, July 31, 2020/ https://africanpostonline.com/– The Minority in Parliament has asked the government to review the Customs Amendment Act which bans the importation of cars without border consultations with major stakeholders.
The law which was passed earlier in March this year will be effective November 1, 2020 will prohibit the importation of salvaged vehicles and vehicles older then 10 years. The law seeks to provide incentives for automotive manufacturers and assemblers in the country.
Concerns have however been raised by the Minority that the law will increase the import duty on specific motor vehicles and provide import duty exemptions for security agencies.
Minority Spokesperson on Road and Transport Governs Kwame Agbodza accused the Akufo-Addo-led administration of attempts to collapse the local car dealership business in favour of foreign interests.
According to the Minority in Parliament, the new law is counterproductive and will lead to more job losses than new employments.
He further stressed that, aside granting tax holidays for foreign automobile companies to assemble vehicles locally, the Act also allows importation of already assembled vehicles without paying duties which will put all local dealers out of business.
“We don’t believe the law as it stands now protects lives. By 10th of November, if this law is allowed to stand, what you will see is a lot of people losing their jobs and the new industry that we want to create will not be safe enough to give them any livelihood.”
“That is why we think that the government must tread cautiously. This law as crafted is not the one that will grow the automotive industry in this country,” he said.
This development follows a previous assurance from the President at a meeting with car dealers that their jobs will be protected.
The Communications Minister, Ursula Owusu Ekuful on the other hand disagrees with the Minority member’s stance on the issue, indicating that, the motive of creating a vibrant automotive industry in Ghana that will make Ghana an exporter, will bring in maximum returns including jobs.
“I fail to see how they can come and say that this policy is going to collapse the local automotive industry. It is rather going to complement it and create ancillary job opportunities and grow the industry. If COVID-19 hasn’t taught us anything, it has taught us to be self-reliant and look within and see what we can do for ourselves,” she argued.
I’m Deborah Aba Narkoah. I’m an avid reader, writer and public speaker.