The Chief Executive Officer of the Ghana Chamber of Construction Industry (GhCCI), Emmanuel A. Cherry, has disclosed that the Ghana Standards Authority and the Ministry of Trade and Industry did not consult them before passing the LI seeking to control the prices of cement in the country.
According to him, the proponents of the bill did not consult key stakeholders, including the GhCCI, during its drafting stage.
He said that as a result of this, they are not aware of the LI, which has been laid in parliament.
“I am emphasising that the Ministry of Trade and Industry and the Ghana Standard Authority have not consulted us, so therefore we are not in the know of this late LI of regulation,” he noted.
“They have tried their best in the national interest, but I believe the methodology is the problem, because if the approach was carefully considered, I don’t think we would be having these ups and downs today,” he added.
Mr. Cherry, however, hinted that they are planning to revisit the Trade Ministry, Ghana Standards Authority, and Parliament to sit down with them to iron things out amicably.
“We have heard from one side of the stakeholders involved, which is the manufacturers. We are waiting to engage the Ministry too, and whatever transpires, you will hear because we still have some days to go,” he said.
He also discussed the factors contributing to the high cost of cement in the country and urged the government to assist manufacturers in reducing production costs.
“If you listen to the manufacturers, they are of the view that forex exchange is worrying them.”
“Demurrage is equally disturbing to them. Some of their cargo arrived, and there is no money to offload their goods. When the goods are left sitting there due to a lack of space at the harbour, manufacturers leave them on the cargo for about 5 to a week, and by the time the space is available to clear, they are slapped with demurrage, where they are made to pay huge sums of money before their goods are given to them.”
“Interest rates are high for petroleum products that they use during production, which all threaten their businesses; hence, they also transfer or share part of the burden on users of the products. If the government can absorb some of the costs of these manufacturers, the prices can be made affordable to all.”
Mr. Cherry made this disclosure in Accra on July 11, 2024, when GhCCI engaged with the Cement Manufacturers Association of Ghana over the controversial LI.
He believes the LI does not have a good grounding and therefore cannot be seen as a legislative instrument yet.
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