The Food and Beverages Association of Ghana has expressed gratitude to Finance Minister Dr. Cassiel Ato Forson for his decision to abolish the 20% excise duty on locally manufactured fruit juices. This move is seen as a significant step towards supporting local fruit juice producers and making them more competitive in the market. The Association's Chairman, Rev. John Awuni, met with Dr. Forson to commend him on this decision, highlighting its positive impact on the industry.
According to Rev. Awuni, the Association had been campaigning for the removal of the tax for several years, citing the increased production costs and reduced competitiveness of locally manufactured fruit juices due to the 20% duty introduced in 2023. The Chairman thanked Dr. Forson for boldly executing this decision, which demonstrated his responsiveness to industry concerns. The Association believes that this move will provide relief to fruit juice manufacturers and strengthen the local industry.
Dr. Forson announced the planned abolition of the excise duty during the presentation of the 2026 Mid-Year Budget Review, committing the government to removing the duty. The commitment has since been reflected in legislation, with Parliament passing the new Excise Duty Act and the President giving his assent. The policy takes effect on October 1, 2026, marking a significant change in the industry.
The Food and Beverages Association of Ghana believes that the removal of the excise duty will create greater opportunities for the use of locally produced fruits and provide relief to fruit juice manufacturers. This move is expected to have a positive impact on the local industry, enabling it to compete more effectively with imported alternatives. The Association's commendation of Dr. Forson highlights the Minister's willingness to take decisive action to support local businesses.
During the meeting with the Finance Minister, Rev. Awuni and other industry representatives also discussed the issue of food gluts and the need to bring relief to farmers. Dr. Forson urged the Association to work with the government to identify practical ways to address these challenges. This collaboration aims to find solutions to the problems faced by farmers and the industry as a whole.
The abolition of the excise duty on locally manufactured fruit juices is seen as a significant achievement for Dr. Forson and the government. The Finance Minister's decision demonstrates his commitment to supporting local businesses and industries, and his willingness to listen to their concerns. The Food and Beverages Association's commendation of Dr. Forson reflects the positive impact of this decision on the industry.
The implementation of the new Excise Duty Act, which takes effect on October 1, 2026, marks a significant change in the industry. The removal of the 20% excise duty on locally manufactured fruit juices is expected to have a positive impact on the local industry, enabling it to compete more effectively with imported alternatives. This move is seen as a step towards promoting local businesses and industries in Ghana.
Key points
- The Food and Beverages Association of Ghana commends Finance Minister Dr. Cassiel Ato Forson for abolishing the 20% excise duty on locally manufactured fruit juices.
- The removal of the duty is expected to provide relief to fruit juice manufacturers and strengthen the local industry.
- The policy takes effect on October 1, 2026, following Parliament's passage of the new Excise Duty Act and presidential assent.
