The Ghana Standards Authority (GSA) is preparing to shut several cement manufacturing companies that produce low-quality products.
The move is part of a bigger effort to combat defective cement manufacturing throughout the country and safeguard customers under the Ghana Standards Authority Act 2022.
Currently, only 14 approved cement companies operate in the nation.
However, speaking with JoyNews, the Authority’s Director General, Prof. Alex Dodoo, stated that certain firms use low-quality materials to make their items.
He considers the development intolerable.
“The Standard Authority has done a research and we have noticed that some particular players believe that the only way to compete is to reduce the quality of cement.
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“We have closed up three of them and I can assure you that in the coming days a lot more will be closed down because if there is one thing we will not compromise on, that is quality,” he stressed.
Prof Dodoo, who also serves as head of the Cement Manufacturing Development Committee, which is entrusted with developing a framework to control product pricing, noted that the newly proposed legislation seeks to maintain industry openness.
“Indeed, all participants have agreed, and we are aware of the cost buildup; clinker is critical, as is energy, and the currency rate.
“I believe that the whole purpose of the legislation is to promote openness and transparency in cement prices and cement manufacturers have indicated that there are some taxes that must be reviewed.”
Dr. Dawson Amoah, Chief Executive Officer of the Cement Manufacturers Association, stated that the association’s members are willing to engage in discourse.
“I am a consumer myself and it is not out of fun that manufactures get up and increase prices. Anytime there is price increase, it is really with reluctance because they feel the effect.
“But they don’t have any other option but to do so.. so rather, I will reiterate that whatever efforts the minister wants to put in regulating the prices, be put on hold and I will rather suggest that there should be a dialogue to see how we can stabilize cement prices.”