Accra: Vision for Accelerated Sustainable Development, Ghana (VAST Ghana), a civil society organisation, has commended the Ministry of Finance for rejecting Accra Brewery Plc's assertion that reforms in the Excise Duty Bill could place 2,000 jobs at risk.
According to Ghana News Agency, VAST Ghana emphasized the importance of evidence-based public policy, particularly in fiscal matters affecting population health. The organisation noted that business contributions are vital but stressed that policy decisions should be based on transparent evidence rather than unsupported projections.
VAST Ghana praised the Ministry for questioning the claim's foundation, pointing out that Accra Brewery did not offer the necessary methodology, base year, price elasticity assumptions, or definitions for the job risk figures.
A statement from Ms Jennifer Maame Ama Owusu, Communication Manager of VAST Ghana, highlighted that claims of employment losses, economic downturn, reduced investment, and threats to local industries are often used to resist public health policies globally. The Ministry's insistence on evidence was applauded as it establishes a standard for scrutinizing commercial claims and evaluating economic projections in Ghana's public policy.
VAST Ghana encouraged the Ministry to apply a similar evidence-based approach to alcohol taxation, assessing fiscal measures against their impact on public health, protection of vulnerable populations, and revenue generation.
The statement suggested that Ghana's future excise policy framework should integrate these considerations, recommending hybrid excise taxation for all alcohol products to ensure fairness and maximize public health benefits. It criticized the current Excise Tax Act 2026 for only targeting wine and spirits consumed by higher-income groups, calling for reforms to include beverages consumed by lower-income groups.
Additionally, VAST Ghana called for the repeal of the 20 percent excise tax cut on fruit juices and a review of the definition of fruit juices to align with global standards, preventing loopholes and supporting public health efforts.
The organisation further urged the Ministry to increase tobacco excise rates, index them to inflation and income growth, and repeal the excise tax on electronic cigarettes to address policy inconsistencies with the Public Health Act 2012.
VAST Ghana stated that these actions are necessary to tackle Ghana's rising non-communicable disease burden, emphasizing that stronger alcohol excise taxation is a public policy measure aimed at reducing harm, protecting vulnerable populations, generating revenue, and balancing health and economic interests.
The statement concluded by urging the Ministry of Finance and other agencies to continue protecting the integrity of the excise tax reform process and align with global best practices and WHO recommendations.