Secretary-General of the Ghana Federation of Labour (GFL), Abraham Koomson, has called on the government to address excessive taxation and smuggling, warning that the challenges continue to undermine local industries and threaten employment opportunities.
He argues that Ghanaian manufacturers are struggling to compete with imported products because local businesses bear significant production costs and multiple tax obligations, while some imported goods allegedly enter the country without payment of the appropriate duties.
Mr Koomson identified the situation as a major obstacle to industrial recovery, insisting that local manufacturers cannot compete fairly when their imported counterparts enjoy cost advantages through alleged tax evasion and smuggling.
He particularly raised concerns about goods entering Ghana through neighbouring countries, including Togo, without going through approved entry points or meeting the required tax obligations.
According to him, government must strengthen import controls and close loopholes in the tax administration system to ensure that businesses operating in Ghana compete on a level playing field.
Drawing on his experience in the industrial sector since 1971, Mr Koomson recalled a period when factories operated three shifts, with some manufacturing activities running around the clock.
He questioned how the country moved from that level of industrial productivity to a situation where several factories were struggling to survive or had completely collapsed.
He attributed part of the decline to excessive taxation and the influx of smuggled goods, which he said made it increasingly difficult for locally manufactured products to compete.
Mr Koomson also recalled the difficult circumstances workers faced during the decline of the industrial sector, explaining that organised labour had to mobilise workers and demonstrate to draw attention to threats facing their jobs and the survival of factories.
He warned that Ghana must avoid repeating the mistakes that contributed to the collapse of industries, particularly as the government seeks to revive manufacturing through its 24-hour economy initiative.
He maintained that reducing the tax burden on businesses, tackling smuggling and protecting local manufacturers would be critical to rebuilding the industrial sector, attracting investment and creating sustainable employment.
Story by Stephen Kwaku Owusu Mintah