Day: April 6, 2024

The government of Ghana, in collaboration with stakeholders, has announced a significant increase in the producer price of cocoa for the remainder of the 2023/24 crop year, in a move aimed at enhancing the income of cocoa farmers in the country.

The decision comes amidst a backdrop of rising cocoa prices on the international market, according to the Ghana Cocoa Board (Cocobod).

Effective Friday, April 5, 2024, the producer price of cocoa sees a substantial surge of 58.26 percent, rising from GHS20,928 per tonne to GHS33,120.00 per tonne. This revision compares to GH$2,070 per bag of 64 kg gross weight, signaling a concerted effort by the government to improve the welfare of cocoa farmers.

In a statement issued by Cocobod to announce the development, it explained that the surge in cocoa prices is in line with the vision of the government.

“Since assuming office in 2017, the government has consistently prioritized the wellbeing of cocoa farmers, evidenced by a remarkable 336 percent increase in the producer
price of cocoa from GHS7,600 per tonne in the 2016/17 season to the current unprecedented level”, the statement said.

Furthermore, the government has approved a revision of the buyers’ margin to GHS2,980.00 per tonne for the remainder of the 2023/24 cocoa season. This adjustment aims to mitigate the impact of increased finance costs for Licensed Buying Companies (LBCs) resulting from the rise in the producer price of cocoa.

Additionally, the government has also approved a review of the buyers’ margin to GHS2,980.00 per tonne for the rest of the 2023/24 cocoa season.

This increase is expected to cushion the LBCs against the increase in finance cost due to an increase in the producer price of cocoa.

The Producer Price of cocoa has been increased by 58.26% from GHS20,928 per tonne to GHS33,120.00 per tonne for the rest of the 2023/24 cocoa season.

This figure translates into GHS2,070 per bag of 64 kg gross weight and takes effect from Friday, 5th April 2024. pic.twitter.com/oIXttZVIrN

– Ghana Cocoa Board (
@ghcocobod) April 5, 2024

Source:Ghana Web

The flagbearer of the NPP, Dr. Mahamudu Bawumia and the Ghana Union of Traders’ Association (GUTA) have held discussions in Accra, on the proposed policies and vision of the NPP flagbearer.

The meeting, held in Accra on Friday, April 5, was interactive, open and frank, with representatives of the over 80 traders associations under GUTA present.

GUTA President Dr. Joseph Obeng Darko, opened the forum, before inviting his members to the floor, to share their concerns and also make suggestions about their sector to Dr. Bawumia and his team.

Dr. Bawumia relaxed protocols and allowed many GUTA members, to freely interact with him in a very friendly manner.

The GUTA president started by commending Dr. Bawumia, on behalf of the union, for his proposed tax reforms, which include proposals to grant tax amnesty to businesses and individuals, as a foundation for the new flat tax rate the NPP flagbearer plans to introduce under his presidency in 2025, should he win the presidential election.

“We agree with your flat
tax proposal because it will simplify things for us and our businesses,” said the GUTA president.

“The reason why we like the tax amnesty and flat tax rate policy is that if you give us the amnesty and the flat tax rate, it will help our businesses. It means that we are going to do the right thing, which will be benchmarked against the next 5 years as you have proposed,’ added the GUTA president.

The GUTA President reiterated the concerns of businesses and traders on harassment by tax officials as a result of the present tax system, which Dr. Bawumia has promised to overhaul.

After that, he raised several other concerns, and also made some suggestions to Dr. Bawumia, to consider, as part of his policies for the business community.

Several members of GUTA, from the various regions who got the opportunity to speak, also embraced Dr. Bawumia’s tax reforms, especially the flat rate and the tax amnesty, and also echoed the concerns earlier expressed by their National President

DR. BAWUMIA’S RESPONSE

The NPP
flagbearer responded to every question and suggestion made by GUTA, assuring them that creating a conducive environment for their businesses to thrive is of utmost concern and priority to him, hence his well-thought-through tax reform proposals.

“My major goal is to make Ghana one of the most business-friendly economies in the world,” Dr. Bawumia told the GUTA members.

“My government will be business-centred. I want to move a number of government expenditure to the private sector. When this happens, the government’s expenditure will reduce and the private sector will also thrive. ”

Dr. Bawumia noted that one of the biggest problems Ghanaian businesses face is the present complex tax system, which, he said, businesses don’t understand, and also breeds non-compliance of tax obligations and corruption.

“You find it very difficult to calculate what you owe. You are only told what you owe, without really knowing how it happened,” he said.

“In trying to find a solution to this, I went to Estonia, one of the mo
st business-friendly countries in the world, to study their tax system and I discovered that the key for them is the flat rate tax system they have, which is clear, transparent and with a very high compliant rate.”

“This is what I want to introduce in Ghana, to make Ghana a business-friendly country and one of the most business-friendly nations in the world.”

Dr. Bawumia explained further that the proposed tax amnesty is aimed at giving businesses and individuals who owe tax for some time now, a clean slate before the tax system is introduced.

“Many of these unpaid debts are as a result of legacy problems we have with our existing tax system. We want everyone to start afresh so the tax amnesty will ensure everyone starts on a clean slate in 2025, by the grace of God, and then the flat tax rate will apply.”

Dr. Bawumia also explained other policies he has proposed, which he said are aimed at reducing the cost of doing business in Ghana.

He spoke on reviewing VAT, benchmarking Ghana’s port charges with Tog
o to ensure parity to avoid smuggling, as well as the proposal for flat rate import duties on containers to avoid fluctuations of import charges.

Since his major policy address in February, Dr. Bawumia has been meeting key stakeholders of different sectors to explain his policies to them and also seek their input.

Source:Ghana Web

QNET, a global wellness and lifestyle selling company, has denied involving individuals in fraudulent and illegal activities, including job scams and illegal migration.

This was in response to a recent report from the Western Regional Command of the Ghana Immigration Service (GIS) that about 66 Ivorians who were arrested and repatriated to their home country were living illegally in Ghana.

In the said report, the GIS claimed that the unsuspecting Ivorians, 45 men and 21 women, were recruited under the guise of operating an illegal online business (QNET) at their hide out at Anaji Hills in the Sekondi-Takoradi Metropolis.

However, Biram Fall, Regional Manager for QNET in Sub-Saharan Africa, had firmly denied any involvement in such an incident.

In a statement, he said: ‘We are appalled by the misuse of our brand name in connection with these illegal activities, including job scams and illegal migration.

‘QNET is a law-abiding entity, and those who engage in our direct selling business to promote our produ
cts to others, do not need to travel from one country to another.’

According to the Sub-Saharan Regional Manager for QNET, the company took allegations of illegal and irregular migration or fraudulent activities very seriously and would take strong action against anyone found to be misrepresenting QNET.

He reaffirmed the company’s commitment to upholding ethical business practices, and strongly condemned such deplorable actions.

‘It is important for the public to understand that QNET is not an employment agency and does not make offers of guaranteed income or travel opportunities in exchange for money,’ he added.

Mr Fall, however, said as a legitimate global direct selling company, QNET provided a safe and legitimate business model where Independent Representatives earned an income only by selling its products.

Meanwhile, QNET had taken some significant steps in a bid to clear the misinformation about the company, its business model, and the direct-selling industry in general in the Sub-Saharan Africa re
gion, he said.

‘This includes launching the ‘Say No’ campaign in West Africa, both online and offline, to educate and warn the public about the rise in fraudulent activities conducted under the guise of QNET.’

He said the campaign was part of the company’s ongoing efforts to safeguard the integrity of its brand and protect potential victims from being misled.

The Sub-Saharan Regional Manager for QNET, therefore urged the public to remain vigilant and report any suspicious activities that misrepresented QNET. Individuals could visit www.saynocampaign.org to verify the legitimacy of QNET-related activities or send enquiries to the company’s Compliance Hotline via WhatsApp line +233256630005.

Source:Ghana News Agency

A professor of governance at the University of Witwatersrand, South Africa, Adebayo Olukoshi, has called on African leaders to develop innovative solutions to generate revenue to end the cycle of debt distress on the continent.

According to him, such innovations could only be possible if the leaders build the political will to lift their countries out of the never-ending debt situation.

Speaking at the opening of a conference in Accra yesterday on Africa’s debt crisis and international financial architecture reform, he said, African leaders must desist from the one-way option of accumulating debt even when opportunities exist to generate revenue locally.

Organised by the International Development Economics Associates (IDEAs) in collaboration with the African Forum and Network on Debt and Development (AFRODAD), participants included political scientists, academics, economists, policymakers, and civil society organizations (CSOs).

Citing the 2023 report by the International Monetary Fund (IMF), Prof Olukosh
i said, more than half of Sub-Saharan Africa’s low-income countries were at high risk or already in debt distress.

Currently, he noted that, Ghana, Malawi, Nigeria, Ethiopia, Zambia, and other African countries were implementing various loan-support programmes with the IMF and undergoing a debt restructuring process.

This, he said, had resulted in debt ratios increasing from 30 per cent in 2013 to nearly 60 per cent in 2022

He called for strong political awakening to tackle the debt problem and put the continent on the path of debt sustainability and economic stability.

‘It’s important that we break this cycle, and the starting point is political awakening; an awakening that provides a framework in which leadership vision can then be developed,’ he said.

As the continent with abundant human and natural resources, Prof Olukoshi stated that, it was time take the necessary measures to break the structures of dependence on loans.

He advised African leaders to work towards increasing productivity and regulat
ing the export of human resources and raw materials, which was currently projected at US$60 billion, to the rest of the world.

Mr Charles Abugre, Executive Director of IDEAs, noted that, despite the conclusion of the Multilateral Debt Relief initiative 20 years ago, Ghana and many other African countries were now facing debt crises.

The debt challenges, he said, could be addressed through good political and bureaucratic leadership on the continent.

He stated that, the conference would provide a platform to learn from the past, determine how best to restructure debt to prevent insolvency and develop alternatives to external support programmes on debt sustainability loan.

Source:Ghana Web