The Minister of Food and Agriculture Dr. Owusu Afriyie Akoto says it is prudent that the Electronic Levy introduced by government as part of the 2022 budget gets accepted since it will help government to raise revenue.
Speaking on fertilizer subsidization by government he noted that there will be no revenue to subsidize fertilizers if the E-Levy isn’t accepted by Parliament.
Mr. Akoto went on to say that the prices of fertilizers on the global market is high due to global shortage but the government plans on subsidizing the fertilizers but will struggle if the E-Levy is rejected.
”Now with the increase of prices on the global market, we have to look at the fertilizer situation again. There are two markets in Ghana, the subsidized fertilizer market which is the planting for food and job which is meant for smallholder farmers and we have the commercial for the open market for people who can buy to go and buy. These two markets have existed side by side. But because the subsidized market was so big, there was little left for the open market”.
”Now with the prices increase on the world market, we are also facing revenue collection in Ghana and everywhere else because International Trade has also shrunk. We get most of our revenues from International Trade, Import and Export. That is why it has become necessary for this government to look for alternative sources of revenue to close the gap hence the electronic levy”.
”The opposition is making the E-Levy a big issue. What they don’t realize is that it’s affecting other areas. So if we are to remove the levy, where are we going to find the money to give subsidies to the farmers? There will be nothing. Now prices have gone up three times”, he told some farmers in the Upper East Region.
The Agric Minister made this comment when he met some farmers in the Upper East Region of Ghana as a part of his tour in parts of Ghana.