General News of Thursday, 16 September 2010

Source: Food Security Ghana

Rice Smuggling: Government Exposed

In a revealing telephonic interview with Anas Aremeyaw Anas on Paul Adom Otchere¹s Metro TV show the massive rice smuggling from the Ivory Coast into Ghana was once again confirmed.

The show on Metro TV explored the topic of local rice production and the issue of rice smuggling into Ghana. Dr. Dapaah and Mr. John Awuni, a member of the Food and Beverages Association of Ghana (FABAG) were the panelists on what Paul Adom Otchere described as a discussion in the interest of the Ghanaian consumer.

On a question about the extent of the smuggling Dr. Dapaah said that CEPS queried the claims by FABAG that the smuggling is causing losses of USD 40 million to the government annually.

However, when Anas asked him if he questioned the validity of his underground investigations Dr. Dapaah turned around and confirmed that it does take place and that the ³menace² must be fought by all means.

Anas Aremeyaw Anas became famous when he exposed the smuggling of rice on Ghana¹s Western border of at least 100,000 metric ton in May 2009. He subsequently exposed massive cocoa smuggling on the Eastern border and very recently exposed the maltreatment of children at the Osu Children¹s Home.

In the interview on Metro TV Anas described how twenty trucks arrives at a border post between the Ivory Coast and Ghana at a time. After having paid some bribe money to a CEPS official and duties on one truck, the convoy will then enter Ghana with approximately 7,600 ³duty free² bags of rice.

A recent article by George Koomson posed the question on what has happened since the exposures by Anas. He made the following observation:

In the wake of the report, the Deputy Minister of Finance Fiifi Kwetey, has told the New Crusading Guide that government of Ghana had instructed the Customs Excise and Preventive Service (CEPS) to investigate the smuggling scandal at Kofi Badu Krom in the Western Region of Ghana and its surrounding border towns.

He said further that his Ministry expected CEPS to outline the series of measures it would take to investigate the activities of these officials stationed at the borders. In response to another question, the Minister said that if his Ministry was dissatisfied with the CEPS investigation, it would call for a bigger probe. This interview took place in early May, 2010. We are now in September.

During Paul Adom Otchere¹s show on Metro TV last night Mr. John Awuni once again emphasized that one of the reasons or incentives for the smuggling of rice is the huge disparity between the import duties of Ghana (37 percent) and the Ivory Coast (12.5 percent) leaving smugglers with a potential 24.5 percent to ³play² with in the market. This, he said, not only distorts the market but it is harming both local rice producers and legitimate importers of rice.

The interview exposed an old problem with seemingly no solution in sight, and very little to show from the government in terms of action. The problem can only be resolved if a multi-sector task force is put together with a clear instruction and mandate to resolve the issue once and for all. However, every time this problem re-surfaces all eyes are turned to CEPS only.

The truth is that the corruption may go much deeper that just a few CEPS officials. The issue may also have serious implications on food security in Ghana, and it is therefore essential that the Ministry of Food and Agriculture be involved in such a task force. It is further clear that we have a situation of well-entrenched organized crime and the fraud and police services should also be involved.

Another way to tackle this problem is to look at existing legislation to see if the penalties for these acts are severe enough to act as deterrent ­ the Legislature should therefore be part of the process to find lasting solutions.

What is clear is that the old problem of rice smuggling is still with Ghana 16 months after it was exposed with no or little action on the part of the government. As Haile Selassie put it:

³Throughout history, it has been the inaction of those who could have acted; the indifference of those who should have known better; the silence of the voice of justice when it mattered most; that has made it possible for evil to triumph.²

Is the continuing smuggling on Ghana¹s borders a case of inaction, indifference and silence of a government who has forgotten that it is not their right but their duty to act, care and speak out on a matter as serious as this?

Food Security Ghana http://foodsecurityghana.org 15 September 2010