GUTA, AGI Set 60-Day Deadline for Price Cut as Cedi Strengthens
The Ghana Union of Traders Association (GUTA) and the Association of Ghana Industries (AGI) have issued a joint ultimatum, granting businesses a 60-day window to recalibrate their prices in response to the Ghanaian cedi’s remarkable surge against the US dollar.
This decisive move follows a high-level parley with the Minister for Trade and Industry, Elizabeth Ofosu-Adjare, on May 14.
The meeting was convened against the backdrop of mounting public pressure for market prices to mirror the cedi’s impressive performance, which has seen it trade at a notable GH₵12.40 to the dollar. While prices of goods remain relatively static, GUTA and AGI attributed this inertia to the inherent lag between exchange rate fluctuations and price adjustments, citing existing stock acquired at previous, higher rates.
GUTA President, Dr. Joseph Obeng, urged the government to sustain the cedi’s current stability, assuring that traders would adjust prices as new stock arrives. “The government should continue to build on its momentum by maintaining the cedi’s appreciation, and we will do our part. We will respond positively. Market forces will dictate prices, and they will adjust accordingly,” he stated.
Dr. Obeng further underscored the symbiotic relationship between businesses and consumers, emphasizing, “All we need is for the government to maintain the dollar rate, and within two months, the entire nation will witness the business community’s consideration for the consuming public. Our survival depends on them, so we will inevitably pass on any gains to them.”
AGI President, Dr. Humphrey Ayim-Darke, echoed similar sentiments, pledging that manufacturers are poised to reflect the gains in their pricing.
“We commend the government and reiterate our commitment to mirroring these gains in our pricing. Prices are ultimately determined by supply and demand dynamics. We are confident that within the 60-day period, the impact of the stronger cedi will be evident in wholesale and retail prices.”
The Ministry of Trade expressed optimism about the cedi’s performance sustainability and reiterated this News administration unflinching dedication to fostering a stable economic environment.