The Akufo-Addo government, has suspended the controversial Legislative Instrument (LI) seeking to restrict the importation of at least 22 items, including rice, gut, bladders, and stomachs of animals, poultry, animal and vegetable oil, margarine, fruit juice, soft drinks and mineral water.
The L.I. (Import Restriction Bill) seeks to compel importers of the 22 restricted items, to seek licences from a committee to be set up by the Trade Minister.
The Minority in Parliament have, on three occasions, blocked the laying of the L.I. because it was not only dangerous but violated international trade practices and could give too much power to the minister, a situation which has the propensity to breed corruption. #
The Trade and Industry Minister, KT Hammond, has been struggling to lay the L.I. after a spirited opposition by the Minority.
According to a highly placed source in government, the decision by the government is that the L.I. will no longer be laid in the immediate to allow for more consultation.
Many business associations and the Trades Union Congress, have all spoken against the promulgation of the law, pointing out what they said were obvious deficiencies, while the government, led by the Trades and Industry Minister, and Finance Minister Ken Ofori-Atta, insisted, it was in the best interest of the nation.
The Ghana Union of Traders Associations (GUTA), the General Agricultural Workers Union (GAWU), and a good number of advocacy groups kicked against the passage of the bill which divided parliament and at one time got Speaker Alban Bagbin and Ablekuma West MP, Ursula Owusu-Ekuful into a discomforting banter.
The L.I. had also targeted Noodles and Pasta, Ceramic Tiles, Corrugated Paper and Paper Board
Mosquito Coil and Insecticides, Soaps and Detergents, Motor Cars, Iron and Steel, Cement, Polymers (Plastics and Plastic Products), Fish, Sugar, Clothing and Apparel, Biscuits and Canned Tomatoes.
The National Democratic Congress (NDC) had vehemently opposed the proposed Export and Import Regulations 2023 Legislation Instrument (LI) put forth by the Akufo-Addo/Bawumia NPP government. The move, which the government had desperately attempted to introduce in Parliament, was said to have significant implications for Ghanaians.
The NDC took a firm stance against the LI, citing concerns about its potential consequences on the nation and its citizens. If passed, the regulations could have far-reaching effects on various aspects of Ghana’s commerce and trade.
The Export and Import Regulations 2023 LI, championed by the Minister of Trade and Industry, will compel importers of the 22 items to seek licenses from a committee to be set up by the Minister of Trade and Industry.
Addressing the media during the party’s ‘Moment of Truth Series’ in Accra, the Minority Leader in Parliament, Dr Cassiel Ato Forson stated that the said LI seeks to give the Minister of Trade and Industry, the sole prerogative and unfettered power to grant licenses to any person desirous of importing into the country.
“Let me make it clear, that in principle, the NDC is not against any legal regime or policy that seeks to protect indigenous businesses by regulating imports. What we are vehemently against, is a law that confers unfettered discretionary power on a single individual, in this case a Minister of Trade, to issue import licenses and to restrict the quantity of certain imports into the country, without any checks and balances”, he explained.
Dr Ato Forson, further pointed out that such laws often breed corruption and cronyism, and can easily be abused to create a monopoly for some few individuals adding that the proposed Regulations seek to grant unchecked discretionary power to the Minister for Trade, to solely determine whether or not, to issue an import license to a person and to restrict the quantity of certain imports into the country, as he deems fit.
Dr Ato Forson emphasized that the regulatory structure suggested by the LI lacks transparency and could result in arbitrary actions leading to exploitation and corruption. Allowing this would create an opportunity for illegal activities.
Furthermore, the proposed Regulations aim to subject potential importers to both application and license renewal fees. This would undoubtedly add to the burden on businesses that are already struggling due to numerous harsh taxation measures and poor policies by the insensitive Akufo-Addo/Bawumia government.
The Minority Leader highlighted that even after fulfilling the requirements and paying applicable fees, the decision to issue or renew an import license ultimately lies with the Minister of Trade. This concentration of power could potentially be used to create obstacles for businesses perceived as political adversaries.
Additionally, according to the proposed regulations, the Minister of Trade and Industry would essentially act as both a judge and a party involved in the matter. They hold the authority to grant, renew, or cancel import licenses and also have the power to unilaterally decide on review applications related to their own decisions. This arrangement contradicts the principles of natural justice.
Dr Ato Forson, therefore called on the clergy, Civil Society Organizations, and key stakeholders to support the NDC to reject the proposed LI seeking to restrict the importation of some selected items into Ghana.
“We also call on the Trades Union Congress (TUC), Civil Society Organisations (CSOs), traditional authorities, the clergy and all progressive forces to speak up and join us to reject these obnoxious import restriction regulations, in the supreme interest of Ghana.” Dr Ato Forson stated.
He also called on the government to withdraw the regulations immediately and broaden its engagement with all key stakeholders.
“Already, importers and the business community have amply demonstrated how these regulations lack broad consultation and consensus. We therefore call on the government to withdraw these regulations immediately and broaden its engagement with all key stakeholders. He said.
The restricted items are Rice, Guts, bladders, stomachs and intestines of animals, Poultry, Frozen cuts and offal of fowl, animal, vegetables, coconut and palm oil, Margarine, and Fruit juices.
The rest are Soft drinks, Mineral water, Ceramic tiles, corrugated paper and paper board, Mosquito coil and insecticides, Soaps and detergents, Motor cars, Iron and steel. Others include Diapers, Polymers (plastic and plastic products), Fish, Sugar, Clothing and apparel, Biscuits, Canned tomatoes and Aluminium products.
