Revealed – GUTA, AGI set 60-day window to cut prices

The Ghana Union of Traders Association (GUTA) and the Association of Ghana Industries (AGI) have announced a 60-day period for price reductions. This is in response to the appreciation of the Ghana cedi.

On May 14, Trade and Industry Minister Elizabeth Ofosu-Adjare met with trade unions. They discussed the need for market prices to reflect the stronger cedi. GUTA and AGI noted that current prices remain high due to older stock purchased at higher rates.

Dr. Joseph Obeng, president of GUTA, stated that the government should maintain the cedi's value. He believes this will lead to positive responses from businesses. He emphasized that market forces will ultimately determine prices.

Obeng added that if the dollar rate remains stable, consumers will see benefits within two months. He assured that businesses consider consumer needs essential for survival.

AGI President Dr. Humphrey Ayim-Darke praised the government's efforts. He expressed commitment to adjusting prices based on market conditions. He believes consumers will notice changes in wholesale and retail prices within 60 days.

However, Appiah Kusi Adomako from CUTS International criticized the 60-day adjustment period. Speaking on Citi FM, he said it favors businesses over consumers. Price increases often occur quickly when the cedi falls.

Adomako suggested businesses should gradually lower prices as the cedi appreciates. This would ensure consumers benefit fully by day 60. He acknowledged some businesses may still have old stock but stressed fairness for consumers during this transition.

He concluded that all stakeholders should share in the gains from a stronger cedi against the dollar.