The Ghana International Trade Commission (GITC) has announced an imposition of a 65 per cent quota on cutlass imports into the country.

The move, which takes effect from March 30, 2024, will cover 24 months and is subject to further review.

The Commission’s decision follows a petition filed by Crocodile Machete Ghana Limited, a local manufacturing firm, which raised concerns about the influx of imported cutlasses that were impacting operational costs and impeding competitiveness.

The petition filed by the firm on September 29, 2021, outlined measures that include “requesting for remedial measures for unfair trade practices relating to dumping, subsidization, and increasing quantities of imported machetes, which happened to be counterfeited and substandard machetes.”

In another petition filed in October 2023, Crocodile Machete expressed grave concerns about the rise in machete imports, which was significantly affecting market sales.

However, on February 13, 2024, the Ghana International Trade Commission announced the quota, seeking to restrict imports from countries such as China and Colombia, which constitute 74.68% and 17.93% of machete imports, respectively, between 2021 and July 2023.

In the ruling, the chairman of the Commission, Dr. Adu Gyamfi, noted that the decision is to enable “Crocodile Matchet to be competitive and restore its market share.”

“The Commission, having regard to the GITC Act 2016, Act 926, and the GITC (Safeguard Measures) Regulations, 2020 (LI 2426), therefore hereby recommends a safeguard measure of 65% quota on all imports of machetes beginning March 30 2024 to last for 24 months subject to review,” the ruling said.

“The 65% quota translates into a total of 1534.4 metric tonnes as against the current 2,365.85 metric tonnes of machetes imported annually. The remaining shortfall of 831.45 metric tonnes of machete is what is expected to be compensated by Crocodile Machete to enable it to be competitive and restore its market share,” it added.

MA/NOQ

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