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Business News of Friday, 16 March 2007

Source: GNA

Participants call for high tariffs

Sunyani (B/A), March 16, GNA - Participants drawn from Burkina Faso and Ghana at a workshop on Thursday called for the imposition of high tariffs on imported poultry, preserved tomatoes and rice into both countries to help sustain and promote local production. They said such products, particularly from the European Commission (EC) and other Africa, Caribbean and Pacific (ACP) countries and heavily subsidized, flooded the ECOWAS market duty free to compete with local ones.

The two-day workshop organized by the Ghana Trade and Livelihood Coalition (GTLC) in Sunyani was aimed at galvanizing collective efforts in fighting for trade justice in the sub-region. The participants called for mass mobilization to put pressure on government as a matter of urgency to stop the Economic Partnership Agreement negotiations that would deprive small-scale farmers and producers of their local market.

The agreement is a free trade one that will require the ACP countries to open their economies to competition from highly subsidized imports from the EU.

Mr. Sylvester Bagooro, Programme Officer of the Integrated Social Development Centre (ISODEC), said ECOWAS countries had recognized the dominant position of women in agriculture in reducing poverty and enhancing food security.

Mr. Bagooro said trade liberalization was good when industries had the capacity to produce and compete and that the EPA negotiations would serve the interest of the EC since companies in the Community had developed to a stage that the cost of production per unit was low as compared to industries in the developing countries.

"In the case of Ghana, revenue that the government derives from duties imposed on goods will be lost and this will put pressure on government to focus on indirect taxation or borrowing from external donors with their unhealthy conditionalities", he said. Ms. Frieda Billa, Gender and Training Officer of the Ghana Market Access Promotion Network, suggested that trade advocacy and negotiations needed to incorporate gender issues with employers and government. She said lack of market for local poultry was due to influx of cheap imports and that this was collapsing local industries. Ms. Billa emphasized the need for ECOWAS to formulate, harmonize, coordinate and establish appropriate policies and mechanisms for the enhancement of economic, social and cultural conditions of women. She expressed regret that women were relegated to the background in the formulation of policies and programmes that would promote the pace of their development. Mr. Ibrahim Akalbila, National Coordinator of GTLC, said the agricultural sector constituted an important component of the economy of West Africa since it represented wealth, employment and food security within the region. He stressed the need to avoid trade policies that would adversely affect the growth and development of the sector. Mr. Akalbila said low tariffs on imported rice and poultry discouraged the local industries in production, "since Ghanaian rice and poultry cannot compete on the market where cheap imported rice and poultry rule". 17 March 07