Rice and chicken imports to be slashed by 40% in the mid-year budget – Report

Importation of rice and chicken is to be restricted by 40% in the 2023 mid-year budget to be presented by the finance minister on July 25, 2023.

The finance minister is expected to provide the details when he presents the budget to parliament.

This will be captured among other new taxes and levies expected to be introduced.

However

Read full articlevarious trade unions have asked the government not to dare to introduce new taxes as citizens are already bearing the brunt of the existing ones.

During the presentation of the 2023 budget statement and economic policy to parliament on Thursday, November 24, 2022, the Minister of Finance said the government will target some specific products for import substitution through support to the private sector.

According to him, this will make up to about 45% of the value of the country’s annual imports, resulting in pressure on the cedi.

“Mr. Speaker, as I have already indicated, Ghana’s heavy dependence on imports places tremendous pressure on the Cedi, creating an unfavourable balance of payments position. On average, Ghana’s import bill exceeds US$10 billion annually and is accounted for by a diverse range of items that include iron, steel, aluminium, sugar, rice, fish, poultry, palm oil, cement, fertilizers, pharmaceuticals, Toilet roll, toothpick, fruit juices, etc.," he said.

Ofori-Atta said the government through partnerships with the private sector will ensure the establishment of various manufacturing plants to produce such products locally.

“We currently have the capacity as a country to locally produce items that account for about 45 percent of the value of our annual imports. These include rice, fish, sugar, poultry, cement, pharmaceuticals, jute bags, computers, etc. To this end, Government will target these products for import substitution by supporting the private sector, through partnerships with existing and prospective businesses to expand, rehabilitate and establish manufacturing plants targeted at producing these selected items,” the minister said.

SSD/NOQ

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