Furniture dealers complain of high price of materials for production

By Quansah Mavis

Tema, Oct. 20, GNA – Furniture retailers are complaining over the exorbitant costs of the foam and leather materials for their goods.

“Ghanaians enjoy purchasing Made in Ghana furniture, but occasionally the cost deters them from doing so, according to furniture dealer Mr. Andrews Appiagyei in an interview with the Ghana News Agency in Tema.

Nevertheless, the dealers are unable to offer the furniture at a reduced cost due to the cost of the materials used to make them, he said.

According to him, a single foam that was sold GH¢20.00 in 2016 was now GH¢80.00, and a foam that was GH¢50.00 for the furniture’s backing is now GH¢180.00.

Mr. Appiagyei continued, saying that although they were making every effort to highlight Ghanaian-made products, neither the government nor the ministry of tourism was providing any assistance.

“White people who visit our stores usually take pictures of our merchandise and tell us that we are doing a great job contributing to Ghana’s tourism industry, but our own tourism industry does not even acknowledge us as a component of Ghanaian tourism,” he said.

Furniture trader Mr. Alex Ahenkrah said that although they paid taxes to the Team Metropolitan Assembly each year, they have never received a response.

“We have to rush to pack everything when it is raining, and sometimes some of it gets wet because we don’t have a shelter to secure our goods.” “We pay tax every year, and when we can’t pay, they can even stop us from operating.”

He therefore requested to the government to give the small-scale employees more thought, as they felt that by hiring some young people, they were contributing to the solution of the unemployment issue.

In a related development, Mr Kwabena Apau, Head of the Excise Unit at the Ghana Revenue Authority (GRA) has reiterated the Authority’s intention to intensify usage of its newly introduced excise tax stamp to regulate the production, promotion and sales of goods in the country.

Mr Apau said the Excise Tax Stamps are to be fixed on goods manufactured in the country and delivered for home consumption as well as goods imported into the country.

He mentioned mineral water, bottled and other packaged water, carbonated soft drinks, malt drink, stout, and beer including cider beer, wines including sparkling wine, spirits, cigarettes and other tobacco products as the specific products affected by the initiative.

It however excludes sachet water.

“All products in the affected categories found without excise tax stamp affixed on them beyond the transition period or affixed with fake, counterfeited or altered stamps shall be seized as prescribed in Sections 124 and 125 of the Customs Act, 2015 (Act 891)”, he said.

Mr Apau said 32.5 per cent of excise is paid by manufacturers on products if raw materials used for production in the beverage industry are highly foreign, however, manufacturers are entitled to pay only 10 per cent if the raw materials used are locally produced, adding that, the step is to encourage usage of local raw materials.

He said bottled potable water attracts excise duty of 17.5 per cent; alcoholic beverages like whisky and brandy attracts an excise duty of 25 per cent; whisky and brandy attract 25 per cent; wine attracts 22.5 per cent; and cigarette and other tobacco products attract 175 per cent.

The Head of the Excise Unit said considerable revenue has been lost through illicit trade over the years and illegal operators within Ghana smuggle tobacco, spirits, and other alcoholic beverages into the country, stressing that, illegal operators indulge in the sale of counterfeited products.

GNA