FABAG commends Ato Forson’s over removal of 20% excise duty on locally manufactured fruit juices

The Food and Beverages Association of Ghana (FABAG) has expressed its admiration for Finance Minister Dr. Cassiel Ato Forson's decision to eliminate the 20% excise duty on locally produced fruit juices. The Association highlighted that this move showcased the Minister's sensitivity to industry issues and his commitment to bolstering the nation's fruit juice producers.

During a meeting with Dr. Forson, Rev. John Awuni, the Association's Chairman, praised the Minister for his bold action in tackling a matter that the industry had persistently highlighted under the previous government. Awuni expressed sincere gratitude to Dr. Forson on behalf of the Association, acknowledging the industry's efforts for over a decade to push for the duty's removal.

Fruit juice manufacturers have argued that the 20% duty, implemented in 2023, elevated production costs and rendered locally made fruit juices less competitive compared to imported alternatives. Dr. Forson confirmed the planned removal of the duty during the presentation of the 2026 Mid-Year Budget Review, pledging the government's dedication to the abolition of the tax. This commitment was subsequently incorporated into legislation.

The Association stated that the removal of the duty would offer relief to fruit juice manufacturers, bolster the local industry, and generate more opportunities for the utilization of locally produced fruits. The Finance Minister also encouraged the Association to collaborate with the government in finding practical methods to address food surpluses and offer respite to farmers. The policy is set to commence on October 1, 2026, after the passage of the new Excise Duty Act by Parliament and presidential approval.