Ban on salvaged cars will grow our economy – GRA

Business News of Saturday, 15 August 2020

Source: Happy 98.9FM

The law banning the importation of salvaged vehicles into Ghana takes effect on November 1 The law banning the importation of salvaged vehicles into Ghana takes effect on November 1

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Chief Revenue Officer of the Ghana Revenue Authority (GRA), Richard Quainoo has said that he foresees the long term benefits of banning the importation of accident and salvaged motor vehicles while welcoming the establishment of a vehicle assembly plant in the country.

According to him, this move by the Government may, in the long run, increase Ghana’s revenue from neighbouring countries while promoting the use of new quality cars in the country.

In an interview with Samuel Eshun on the Happy Morning Show, he stated, “We might not see the benefit of the ban of overaged cars. For example, now that Volkswagen (VW), Toyota and others have made Ghana a manufacturing hub, you will see that our neighbouring countries will be patronizing the cars made here rather than going abroad to get the same cars. If it happens that all these countries purchase cars from Ghana and then we also do not export cars from abroad, we will be benefiting. Compare the many salvaged cars on the road; some even cause accidents”.

Earlier this year, parliament passed the Customs (Amendment) Bill, 2020 that bans the importation of accident and salvaged motor vehicles into the country.

The banned vehicles comprise wrecked, destroyed or those physically damaged by collision, fire, water or other occurrences, as well as specified motor vehicles that are over 10 years of age.

Some car dealers, however, expressed their displeasure at provisions in the Customs (Amendment) Act, 2020. Meanwhile, three automobile companies have signed agreements with the government to establish vehicle assembly plants in the country.

The first phase of local assembling of Volkswagen cars started in Accra between March and April 2020.

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