Ghana’s Smuggling Crisis: A Looming Disaster -FABAG President
Food and Beverages Association of Ghana (FABAG) has sounded a distress call to the government, warning of an escalating smuggling crisis that’s costing the nation billions of cedis in revenue daily. According to FABAG President, Reverend John Awuni, the situation has reached alarming levels, with smugglers operating freely and flooding the market with untaxed and often substandard goods.
The Devastating Impact
The illicit trade is not only undermining local industries but also depriving the government of vital tax revenue, hampering national development. Legitimate businesses are struggling to cope with rising operational costs and heavy taxation, while smugglers thrive unchecked. FABAG estimates that Ghana is losing hundreds of millions of cedis every week due to unmonitored smuggling activities.
A Call to Action
FABAG is urging the government to take immediate and decisive action to address the situation. The association is calling on the Ministry of Finance and relevant authorities to intensify enforcement efforts, deploy advanced surveillance technology, and foster stronger collaboration with border communities. Reverend Awuni emphasizes that the government cannot afford to continue losing such significant revenue while burdening ordinary Ghanaians and businesses with additional electricity and water tariffs.
Reform is Urgently Needed
As the Ministry of Finance prepares to present the 2026 budget statement, FABAG is urging a thorough review of the current import tax regime. High import duties and complex port procedures have been identified as major drivers of smuggling, and reform is urgently needed to protect local industries and secure the future of legitimate businesses.
A Matter of National Security
The smuggling crisis is not just an economic issue; it’s a matter of national security and survival. FABAG warns that if swift action is not taken, Ghana’s industrial base and tax system are at grave risk of collapse. The government must implement urgent reforms to protect the country’s borders, bolster local industries, and secure the future of legitimate businesses before it’s too late.
