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Business News of Friday, 7 February 2020

Source: Kasapa FM

Gov’t to regulate importation of ‘second-hand’ and ‘accident’ vehicles

Government has initiated processes to ban the importation of over aged and accident vehicles.

The customs amendment bill which is currently in parliament when passed will regulate importation of vehicles.

Currently over aged vehicles are allowed into the country after payment of penalty.

But speaking during a media encounter in parliament, Majority Leader Osei Kyei-Mensah Bonsu explained decision by many automobile companies to establish outlet in the country and that has informed amendments to Ghana’s laws on over aged vehicles.

“The customs amendment bill, I’m just giving you what these bills are meant to achieve. You will know that prior to the economic environment that we have now, it is almost good to mention the political stability that we have at the country. The sojourning of the President is yielding positive result in the sense we have many auto manufacturing companies that want to come and begin assembling automobile in the country… Nissan has given indication, Toyota has given indication and Synotrack has given indication and also from France, Rhino and if they want to come, we need to clean up the environment, you cannot have them to come and begin the production of new vehicles when you allow unfretted importation of second-hand vehicles. So we have to regulate the importation of second-hand vehicles.”

According to him, “for a start, maybe we may begin by banning the importation of vehicles that are older than 10 years and then also prevent the import of salvaged vehicles (Salvage vehicles are those that have been involved in an accident), vehicles that are flooded–people claim them and bring them here, they are the reasons why we have so many accidents on our roads, so it is intended to amend the laws to suit the circumstances to draw down the curtails which will not happened overnight.”

He added “We will suggest to ourselves once the vehicle assembly plants is rolling out, we may give ourselves a period of about six mounts and we say that six mounts after theystart production, then the law could be activated. Of course the second hand imported vehicles are also very expensive.”

“If you can have the new vehicle from the factory selling at let say the equivalent of $10,000 dollars , why would you by a second-hand vehicles, and sometimes third-hand vehicles because some of these vehicles are sometimes 15 years old and on daily basis they are getting involved in an accident when they have been written off in those countries, then they come here and we pride ourselves with second vehicles , so we need to relates to these matters,” the Majority Leader, explained.

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