'Take it off the table and engage' - Former GUTA president on AI system at the ports

Former President of the Ghana Union of Traders Association (GUTA), Joseph Obeng, has called on the government to suspend the implementation of the Artificial Intelligence (AI) Publican system at the country’s ports, citing concerns over its legitimacy and impact on businesses.

Speaking on the issue with GhanaWeb Business, Joseph Obeng believes the system should be “taken off the table” to avoid further confusion and disruption within the trading community.

“I didn’t want a clash and I want everything to go very well for them… but what I want the government to do is to take it off the table. That’s the call I’m making,” he said.

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He argued that the AI system is not a credible or acceptable method for determining the value of imports, describing it as “illegitimate” and inconsistent with globally accepted standards.

“As a valuation method, it is not acceptable and should never be considered at all,” he stated.

According to him, the use of AI for customs valuation deviates from established principles under the World Trade Organization (WTO), which emphasise transaction value as the primary basis for assessing duties.

“This is a presumptive method of valuation. We don’t use presumptions for valuation purposes. It shouldn’t be based on discretion or averages of international pricing,” he said.

Obeng further criticised the system for failing to account for variations in product types, quality, and destination-specific pricing, warning that such limitations could lead to unfair and inaccurate duty assessments.

“One product can have different types, economy or premium. How are we going to distinguish all of these?” he questioned.

He also raised concerns about the lack of predictability in the system, noting that traders would struggle to anticipate costs if valuations are generated outside of declared transaction values.

“If AI is generating values and we are not using transaction value, how do you predict?” he asked.

The former GUTA president warned that the system could increase the cost of doing business and disrupt trading activities, adding that some importers are already experiencing higher duties.

“That is why people are calling it extortive because it does not reflect realities,” he said.

Joseph Obeng further argued that the introduction of the AI system mirrors previously criticised benchmark and reference pricing regimes, questioning the need for its reintroduction in a different form.

He maintained that while government has the right to improve revenue collection, the AI system is not the appropriate tool.

“Government has every right to bring in measures to enhance revenue, but AI is not an option. We believe there are more acceptable alternatives,” he said.

He also urged authorities to prioritise broader tax reforms, including the rationalisation of the tax system, before introducing new mechanisms that could increase the burden on businesses.

“If we have not addressed those issues, then it is unfair to introduce a new system that will increase taxes,” he added.

The concerns come amid ongoing debate over the AI-powered Publican system at Ghana’s ports, with stakeholders divided over its potential to improve efficiency and revenue mobilisation versus its impact on trade and cost of imports.

MA