CUTS protests over GH¢12 surcharge by Chamber of Cement Manufacturers

The Chamber of Cement Manufacturers of Ghana (COCMAG) has introduced a uniform GH¢12 per bag clinker demurrage surcharge, sparking competition and antitrust concerns according to CUTS International. CUTS believes collective agreement among competing firms on a common surcharge is indicative of cartel conduct. While acknowledging the serious cost pressures facing cement manufacturers due to congestion at the Tema Port, CUTS argues that each manufacturer should determine its own costs and independently set prices for consumers.

The think tank cites airline fuel surcharges as an example of how competition should work, where airlines independently determine their surcharges based on differing aircraft, fuel consumption, and commercial strategies. CUTS questions why manufacturers with different cost structures and demurrage exposure would all charge the same GH¢12 surcharge.

The organization urges COCMAG to clarify whether the surcharge is a collective decision or recommendation for its members and to ensure each manufacturer remains free to set its own price. CUTS advocates for urgent action to address transportation constraints creating excessive demurrage costs, which ultimately impact businesses, construction costs, and consumers.