See the cost of some goods before and after up to 100% in taxes

The Food and Beverages Association of Ghana (FABAG) has decried the high level of taxes that consumers pay on items they purchase.

According to the group, consumers sometimes pay up to 100% in indirect taxes and levies on items, a situation that has become a burden to many.

It added that most low-income earners in the country are unable to afford certain commodities that are regarded as necessities due to price increases.

Elaborating on the situation of high taxes, FABAG presents the table below consisting of basic items and their actual prices before and after tax.

Evaporated Milk (Tin ) 8.5 15.5

Spaghetti 1.9 4

Juice 38 70

Tin tomatoes 7 13

Cement (Bag) 58 90

Beer (Bottle) 5 11

Perfumed Rice (50kg) 410 770

Non perfumed Rice (50kg) 300 650

Sugar (50kg) 490 930

Chicken (imported Kg) 23 40

Chicken (local) – 130

Cooking oil (Box) 170 375

Used Gas Cooker 900 1700

Sardine (Box) 220 460

Car Battery 600 1200

FABAG explained, “The table above indicates that the Ghanaian consumer in some cases pay up to 100% as indirect taxes and levies on the cost of the item. For example the price of a bag of rice which is a staple in the country is currently sold above the monthly salary of most low earned workers such as waiters, cleaners, and drivers.

“This category of workers also has families to take care of besides the rent and utilities they have to pay monthly. This slows down the rate of sales turnover and volumes which in turn impacts on profitability and the growth of business. The current high levels of unemployment especially among the youth depicts the poor performance of the private sector,” parts of its press statement said.

“Every economy thrives on the performance and resilience of its private sector and in the case of Ghana, the private sector is terribly underperforming due to high cost of doing business and lower sales volumes due to over-taxation of the sector,” the group added.

SSD/MA

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