A former Chairman of Parliament’s Finance Committee says Ghana must get up to the realities of over-reliance on the Africa Progress and Alternative Act (AGOA).
Patrick Yaw Boamah warned that whereas useful, it can’t be a everlasting crutch.
The Okaikwei Central MP, talking on Pleasure Information’ PM Specific Enterprise Version on Thursday, Might 1, mentioned AGOA has supported key sectors like clothes and textiles, however the nation should now flip its focus inward.
“There are corporations that purposely set as much as profit from AGOA. Madam Salma’s firm on the UTC, some on the free zones enclave—if we don’t push for an extension, it is going to result in a whole lot of job losses and income shortfalls for presidency,” he mentioned.
However the greater concern, Mr Yaw Boamah warned, is long-term dependence.
“We can’t sit and be spoon-fed for a very long time. We have to wean ourselves from a few of these insurance policies,” he harassed.
“AGOA has been in place for shut to twenty years. You might want to ask your self, what have you ever been capable of do within the space of AGOA to increase your export potential, to rake within the Foreign exchange that’s alleged to help the expansion of your economic system?”
He added that whereas Ghana ought to foyer for an extension of AGOA, it should not count on indefinite generosity.
“An extension of AGOA is sweet, but it surely shouldn’t be in perpetuity. Now we have to construct the sort of native business that we require.”
Mr Yaw Boamah threw his weight behind industrial insurance policies that goal to create a stronger native manufacturing base.
“That’s the reason I used to be a agency believer within the One District, One Manufacturing unit program, whatever the challenges and the abuse of a few of the entities,” he mentioned.
“If we don’t take steps as a rustic to construct native capability in business, the anticipated job creation that we’ve been speaking about shall be an phantasm.”
He cited pharmaceutical corporations like Tobinco, Ernest Chemist, and Kinapharma as strategic gamers that want extra authorities help.
“They have to be inspired to supply inside the native market to keep away from the importation of medicine. We should have a look at strategic areas in textile export, prescribed drugs, import substitution, agro-based industries,” he emphasised.
Boamah expressed concern over budgetary help for these sectors.
“I’m joyful authorities is speaking about agribusiness, however should you have a look at the finances traces for the Ministry of Commerce and Ministry of Agriculture, very inadequate,” he mentioned.
“If you wish to hit the massive market with a few of the focused crops, it’s important to put in some huge cash to help their development.”
The legislator’s message was clear: AGOA helped open the door, but it surely received’t keep open without end. Ghana should now construct the home.
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