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Smuggling Threatens Cement Industry 

By Daily Guide
Business & Finance Dr George Dawson-Ahmoah
NOV 22, 2016 LISTEN
Dr George Dawson-Ahmoah

Local manufacturers of cement have raised concerns about the recent docking of a Chinese vessel (MV GUO TOU 106) carrying a huge cement consignment at the Tema Port.

According to Dr George Dawson-Ahmoah, Strategy & Corporate Affairs Manager of GHACEM, who is also chairman of the Cement Manufacturers Association of Ghana (CMAG), the country's authorities condone such activities at the Tema Port in order to bring players in the local cement industry on their knees.

He said local manufacturers have on numerous occasions raised alarm about the cheap and often fake Chinese cement imports, which have gravely affected production at six production sites belonging to GHACEM, Diamond Cement, Savanna Diamond Cement and Western Diamond.

It would be recalled that a Chinese cargo vessel, MV GUO TOU 106, carrying about 38,798 metric tonnes of goods, had been stopped from discharging cement at the Tema Port by the Customs Division of the Ghana Revenue Authority (GRA) because the importer was unlicensed.

The cargo on board the vessel was scrutinized by the security authorities at the port when declarations of the goods on official documents at Ghana Ports and Harbours Authority berthing meetings were reportedly detected to be inconsistent.

Investigations by this paper revealed that documents used at the berthing meetings showed the vessel – MV GUO TOU 106 – arrived at the anchorage of the Tema Port on November 7, 2016 and declared steel products.

However, on November 14, at the berthing meeting, the Chinese vessel said it was carrying cement and equipment, although the consignee was not licensed to engage in the business of cement importation.

Commenting further, Dr Dawson-Ahmoah, who also doubles as the chairman of the Association of Ghana Industries (AGI), Tema, said the rise in unauthorized cement importation showed the ascendancy of cement smuggling into the country, adding it was an attempt to destablise the operations of manufacturers.

“In spite of the huge taxes, we have been paying to government and the operational costs we incur, if such treatment is meted to us by the powers that be, then this is rather unfortunate.”

The incidents have taken a huge toll on the operations of manufacturers to the extent that some of them, notably Diamond Cement, have announced plans to lay off 500 workers by the end of this month.

The association has therefore charged authorities at the country's ports to guard against the unbridled importation of cement in order to protect the industry.

By Samuel Boadi
[email protected]

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