Minority demands permanent withdrawal of GSA $300 vehicle charge

The Minority in Parliament has called on the Ghana Standards Authority (GSA) to permanently withdraw the proposed US$300 Pre-shipment Verification of Conformity (PVoC) charge for imported vehicles. While the implementation of the policy has been suspended, the Minority argues that a mere suspension is insufficient given the potential financial burden on importers and consumers. The demand comes amid concerns over rising costs at the country's ports and the broader economic challenges facing the trading community.

Michael Okyere Baafi, the Ranking Member of the Trade and Industry Committee, emphasized that the US$300 verification charge would significantly inflate the cost of vehicles in a market where over 100,000 units are imported annually. He noted that a large percentage of these imports are used or overage vehicles, making them particularly sensitive to additional fees. According to the Minority, the policy represents an unnecessary layer of bureaucracy that will ultimately be passed on to Ghanaian car buyers.

Furthermore, the Minority has questioned the technical necessity of the new requirement, asserting that existing mechanisms are already capable of verifying the legitimacy and standards of imported vehicles. Mr. Baafi highlighted that adding the PVoC requirement does not provide significant additional value but instead complicates the clearance process for freight forwarders and traders. He urged the government to focus on policies that facilitate trade rather than creating new financial hurdles.

The Minority plans to intensify its advocacy for the immediate and total scrapping of the PVoC policy. They intend to align their opposition with the grievances of other stakeholders, including freight forwarders and port operators, who have also raised alarms about the cumulative effect of various port charges. The group maintains that removing the charge is essential to protecting the livelihoods of those in the automotive trade and ensuring the affordability of transportation for all Ghanaians.