The Ghana Union of Traders' Associations (GUTA) has opposed the recent imposition of a 5% excise tax on plastic manufacturing companies.

The association has urged the government to withdraw this tax to prevent the collapse of these businesses.

In a press statement, GUTA expressed its dismay at the government's decision, highlighting the adverse timing of this tax imposition.

The statement emphasized that the current economic climate, characterized by the instability of the local currency, increasing utility tariffs, and multiple existing taxes, has already strained the business community to its limits.

"We do not want to believe that the government is being insensitive to the plights of the business community and Ghanaians as well by imposing such a tax on plastic manufacturers in the country, especially at this time of instability of the local currency," the statement read.

GUTA argued that imposing this tax undermines efforts to support local businesses, which are already struggling with high operational costs.

"What economic sense does it make at this time, when the government is said to be driving its industrialization agenda, calling for the need for import substitution and at the same time imposing such obnoxious tax on local manufacturing companies to collapse businesses," the statement added.

The association made an appeal to the government, urging a reversal of the tax to alleviate the hardship faced by businesses.

"The business community can no longer accept any additional layer of cost to doing business in the country, so we appeal to the government to, as a matter of urgency, stop the implementation of the 5% excise tax to alleviate hardship in the country," GUTA declared.



AM/EK

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