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General News of Monday, 8 February 1999

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Reform Movement calls for an overhaul of the agric sector

Accra (Greater Accra), 8 Feb, '99 -

The Reform Movement (RM) has called for a complete overhaul of the agricultural sector to make way for the adoption of modern production, distribution and marketing practices.

In a 12-point resolution adopted at the end of their two-day congress at the University of Ghana, Legon last Friday, the RM said there is the need to integrate agriculture with industry by the adoption of polices that will lead to the manufacturing of implements to support the agricultural base as well as the production of materials to feed industry.

The RM asked that the youth should be encouraged to adopt agriculture as a sustainable livelihood, especially, in cash crops for export, and the development of rural transportation to make access between the farm gate and the market easier.

Sustained improvement and innovation in the payment system for agricultural produce through the requisite bank support system as well as Central and local government encouragement of the private sector to enter agriculture.

The resolution called for the control of government expenditure by self-imposed discipline on financial operation through the reduction, elimination of waste and theft. The practice of patronage payments which inflate contracts and procurement prices must cease.

The RM said there must be an improved mobilisation and management mechanism by spreading the tax net, lowering direct taxation rates, and improving income tax systems. Attention must be directed to developing and implementing an efficient collection system for VAT while public education on it is sustained.

A policy of selective incentives for industry and agriculture, to enhance Ghana's competitiveness on the world market. There must be a vigorous investment drive in human resources for which a percentage of the district assembly common fund must be set aside.

The RM welcomed relations between government and international financial organisations but described as 'insensitive,' the cuts in expenditure for health and education dictated by the World Bank and the International Monetary Fund.

It said the over-emphasis of the IMF on macro-economic adjustment often at the expense of promoting productive activity in agriculture and industry is not helpful to the national cause.

The resolution said the RM is committed to deepening its analysis of the Ghanaian economy through discussions and consultations with communities, NGOs, trade unions and all stakeholders with a view to finding a lasting solution to them.