Ghana does not adequately support the garments industry; this must change - Bawumia

As part of his ongoing policy engagements, the flagbearer of the New Patriotic Party (NPP), Dr Mahamudu Bawumia has met with the Association of Garment and Apparel Manufacturers.

The meeting was to discuss the challenges facing the industry and explore ways to make it more competitive internationally.

Dr Bawumia noted that the sector has great potential to create jobs, support local businesses and grow Ghana’s economy.

"We agreed that compared to countries such as Bangladesh and Benin, Ghana does not adequately support the garments industry. This must change going forward.

"I thank the Association for the open discussions and valuable contributions, which will help shape our policies for the sector, he wrote on Facebook after the engagement.

Prior to this meeting, Dr Bawumia had also met with executives and representatives of the Ghana Union of Traders' Associations (GUTA) to discuss issues affecting traders in Ghana.

GUTA officials raised concerns about high import duties and demurrage costs, the increase of VAT for informal sector operators to 20%, the lack of access to EXIM loans, foreigners taking over the retail trade, high cost of rent and Goodwill payment for shops, etc.

The discussions were eye-opening and GUTA also came with proposals to resolve some of these challenges.

"We also discussed the importance of transitioning from just importing to producing these goods in Ghana and the incentives to encourage them to do so. It was a very productive meeting and my thanks to GUTA for this meeting," Dr Bawumia said.