The Food and Beverages Association of Ghana (FABAG) has warned government ahead of the 2026 Budget presentation, demanding an end to what it describes as excessive taxation crippling the industry.
In a statement issued ahead of the budget reading, FABAG said the sector has suffered under “high import duties, rising production costs, unstable exchange rates, inflationary pressures, and excessive taxation.”
The Association said these challenges have placed significant strain on manufacturers, importers, and distributors, threatening jobs and weakening Ghana’s appeal as a business destination.
FABAG is urging the Minister of Finance to use the 2026 Budget to reduce what it calls nuisance taxes, including the COVID-19 levy, excise duties, the Environmental Excise tax, and container fumigation fees.
“The cumulative taxes have increased the cost of doing business, undermined competitiveness, and encouraged smuggling of cheaper products into the country,” the statement said.
FABAG also called for a halt to any new taxes or levies, insisting that the business community is already overburdened.
“The Association expects a firm assurance from government that no new taxes will be introduced in 2026,” it stated.
Instead, the group urged the government to improve revenue collection efficiency and expand the tax net. It also appealed for stronger support for local manufacturing, stable foreign exchange rates, and inflation control.
FABAG further advised the government to streamline overlapping regulatory functions among agencies such as the GRA, FDA, and GSA to reduce bureaucracy and business costs.
The Association reaffirmed its commitment to working with government to build a stable, growth-oriented economy, saying a business-friendly 2026 Budget will “stimulate investment, enhance revenue, and improve the welfare of Ghanaians.”
Source: myjoyonline.com
