11 January 2019

Ghana: Government Urged to Review Procurement Law

The Abossey Okai Spare Parts Dealers Association has called on the government to review the procurement law and make it more flexible to benefit the small-scale businesses in the informal sector.

"The Procurement law should not be a winner takes all, it should be expanded to cover the small-scale players in the informal sector to enable them to have a place in the demand and supply chain," it said in an interview with the Ghanaian Times in Accra on Monday.

According to the Chairman of the Association, Mr Clement Boateng, the procurement law had created an uneven field for the small-scale players in the private sector in the supply of goods.

He said the small-scale industries did not have the capacity to bid with big players in the informal sector.

Mr Boateng entreated the government to reduce the high import duties and charges to make the spare parts business thrive, stressing that the high import duties and charges were collapsing the spare part businesses.

Mr Boateng indicated the government needed to review the port charges to bring financial relief to spare parts dealers.

The Chairman of the Abossey Okai Spare Part Dealers Association said the depreciation of the cedi last year also dealt a big blow to spare part dealers as the import charges and duties were calculated in dollars.

He urged the government to establish vehicle assembly plants in the country in order to boost the business of spare parts dealers, saying the establishment of a vehicle assembling plant would go a long way to improve the sales of spare part dealers.


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