Displaying items by tag: Chamber of Cement Manufacturers Ghana

Ghana: The Chamber of Cement Manufacturers (COCMAG) has lobbied against the government’s decision to reduce the benchmark value to 30% from 50%. It says that a reduction in discounts on selected imports will result in higher production costs that could be passed on to the price of cement, according to the Business and Financial Times newspaper. Local limestone producers are also reported to be trying to increase their prices by over 60%, which could also put up prices. COCMAG has cited growing clinker, transport and fuel input costs as a potential source of higher production costs as well as negative currency exchange effects. COCMAG wants the government to maintain the benchmark value at 50% for input materials for cement production

The benchmark system was introduced in 2019 as a way of discounting the price of certain imports. Under the policy, certain commodities were benchmarked to world prices as a risk management tool.

Ghana: The Ministry of Health has responded to criticism from the Chamber of Cement Manufacturers (COCMAG) about disinfection measures being used at ports. It said that it was being used to on the exterior of imported goods and cargo to control or kill infectious agents. It added that the procedure was being implemented on any vehicle that crossed designated biosecurity zones without exception.

“It is obvious that COCMAG, of which you are the executive secretary, does not have much information about the disinfection health service, its applications and the benefits of such a service,” said the ministry in a statement in response to comments in the local press by COCMAG’s leader George Dawson-Ahmoah. It added that the fee for the service was to protect the local economy from the effects of diseases such as Ebola and Covid-19 and that sea ports were, “one of the most infected areas in the country.”

COCMAG has lobbied the government to scrap the disinfection or fumigation levy on cement imports at the country’s ports. It argues that such measures are unnecessary for dry cargo such as clinker, limestone, and other cement raw materials, according to the Ghana News Agency. The levy adds a reported US$0.50/t of cement.

Ghana: George Dawson-Amoah, the executive secretary of the Chamber of Cement Manufacturers Ghana, has warned that mounting clinker costs are negatively affecting the cement industry. He said that the cost of clinker grew by 55% in the first half of 2021 and it is expected to nearly double, according to GhanaWeb. Cement prices have risen subsequently. Dawson-Amoah added that congestion at local ports is also adding to clinker import costs as importers potentially face demurrage fines.