The Food and Beverages Association of Ghana (FABAG) is calling on government to use the 2026 Budget to provide relief for struggling businesses by scrapping nuisance taxes and stabilising the cedi.
In a statement ahead of the budget presentation, FABAG said the sector has been hit hard by rising import duties, unstable exchange rates, inflation, and excessive taxation. The Association said these challenges have made manufacturing and trade increasingly uncompetitive, threatening jobs and investment.
“The cumulative taxes have increased the cost of doing business, undermined competitiveness, and encouraged smuggling of cheaper products into the country,” the statement said.
FABAG is urging the Finance Minister to rationalise and review levies such as the COVID-19 levy, excise duties, the Environmental Excise tax, container fumigation fees, and regulatory charges.
The group also wants targeted tax reliefs for local producers, especially small and medium enterprises, to encourage investment and job creation.
“The depreciation of the cedi and the general instability continue to hurt local businesses by raising import and production costs,” the Association said, calling for pragmatic fiscal and monetary measures to ensure exchange rate stability and price predictability.
FABAG also warned against introducing new taxes in 2026, stressing that businesses are already overburdened. “Efforts should be directed towards improving revenue collection efficiency and expanding the tax net,” it said.
The group further called for stronger support for local manufacturing, including affordable credit, lower energy costs, and better infrastructure to enhance productivity and export capacity.
On regulation, FABAG wants overlapping functions among agencies such as the GRA, FDA, and GSA streamlined to reduce bureaucratic costs.
It also urged incentives for companies adopting eco-friendly technologies instead of imposing environmental taxes.
“The budget must clearly outline measures to attract both local and foreign investment into agro-processing and manufacturing, ensuring value addition, technology transfer, and the creation of decent jobs for Ghanaians,” the statement added.
FABAG reaffirmed its commitment to partnering government in building a stable, business-friendly economy, stressing that a growth-oriented budget will stimulate investment, increase production, and improve the welfare of Ghanaians.