The Chamber of Cement Manufacturers has presented a petition to parliament registering their outright rejection of the proposed Legislative Instrument seeking to regulate cement prices in the country.
In a letter to Parliament, COCMAG called on the house to decline the proposal explaining that it was presented without any prior consultation with the key stakeholders in the cement industry, including the manufacturers.
Presenting the proposal without the needed consultations undermines the principles of fairness, transparency, and inclusive decision-making, they indicated.
“We firmly believe that the issues leading to the escalation of cement prices are complex and multifaceted, primarily driven by the rapid and consistent depreciation of the Ghanaian cedi against the US dollar.
“Addressing these challenges requires a comprehensive understanding and collaborative effort from all relevant parties, including the Ministry of Trade and Industry, cement manufacturers, and other stakeholders.”
“The unilateral attempt by the Hon. Minister to introduce this proposal to Parliament without engaging with us is not only unfair but also detrimental to the spirit of partnership and mutual respect that should guide our collective efforts to stabilize and grow the industry,” the letter read.
COCMAG called on Parliament to foster a discussion with relevant stakeholders and the Minister of Trade to proffer solutions addressing the underlying causes of the price escalation.
They noted that taking this collaborative will ensure effective and sustainable solutions, that consider the interests of all parties involved, are developed.
This, COCMAG said is vital for the effective governance and regulation of the industry.
“We trust that you will consider our petition to ensure that the voices of the primary stakeholders in the cement industry are heard and respected, they added.
In May 2024, the Minister for Trade and Industry, K.T. Hammond instructed the Cement Manufacturing Development Committee (CMDC) to direct cement manufacturing companies in Ghana to immediately reverse the hike in price increase.
However, the Cement Manufacturers Association (CMA) rejected this directive citing production costs and the principles of a free market economy, stating that the directive is “without basis and justification” and has refused to comply.
On June 25, the Minister’s effort to gain legal backing also faced fierce opposition in Parliament.
The NDC MPs are demanding that the legislative instrument (LI) go through pre-laying procedures before being formally laid on the floor.
Read COCMAG’s letter below: