Business News of Saturday, 3 January 2015
The Ghana Union of Traders Association (GUTA) says the 10 percent reduction in fuel prices announced by the National Petroleum Authority (NPA) will not amount to any reduction in prices goods and services on the market.
Since the reduction was announced on Wednesday, pressure has been mounting on transport operators and traders to reduce their wares and fares in line with the NPA’s announcement.
However, GUTA in an interview with Citi News, said its members will not reduce the prices of their products since the cost of transacting business has not changed.
The President of GUTA, George Ofori said: “I am saying no [to reduction in prices of goods] because people use the cost of old price in determining the kind of transaction done.”
He said a similar situation that occurred in relation with the depreciation of the cedi affected the Association’s operations, saying, “it is the same thing that is happening to the US dollars to the cedi, where we had a lot of depreciation that affected us…”
Government on Wednesday announced a 10 percent reduction in fuel prices after incessant pressure from various political and pressure groups; but government’s decision to reduce fuel prices by only 10 percent has angered various groups.
Pressure Group, OccupyGhana, is asking the NPA to publish how it arrived at a ten percent reduction on the petroleum products.
The group is insisting the explanation by the NPA is not enough.