Key industry associations back GSA law amidst GUTA concerns

Key industry associations back GSA law amidst GUTA concerns

Three associations have joined the Ghana Shippers’ Authority (GSA) to mount a strong defense for the newly passed Shippers’ Authority law, which some industry stakeholders, led by the Ghana Union of Traders Association (GUTA), fear could negatively impact the commercial business sector.
The Association of Ghana Industries (AGI), the Trader Advocacy Group Ghana (TAGG), and the Importers and Exporters Association of Ghana (IEAG) have all backed the law and urged the president to sign it.
The GSA has committed to continuing discussions with stakeholders and ensuring that the Legislative Instrument (L.I.)—which will operationalize the law—takes into account any issues that may hinder its intended benefits.
One of the primary concerns raised by GUTA is the mandatory registration of shippers and shipping service providers, which GUTA strongly opposes.
However, the GSA clarified that this registration process should not be interpreted as a licensing requirement, as GUTA has suggested.
The Authority emphasized that the registration is intended solely for identification purposes and to facilitate quicker processing of shipments, which is crucial for the timely operations of shippers.
Responding to criticisms that the final draft of the law was only shared with stakeholders aftery Parliament had approved it, the GSA explained that this perception reflects a misunderstanding of the parliamentary process involved in passing bills.
The GSA also addressed concerns about the suspension, renewal, or cancellation of registration, emphasizing that these measures pertain only to permits and licenses for importers and should not be seen as part of a licensing regime.
The Authority reiterated that the registration process is in the best interest of shippers, as it enhances efficiency in shipment processing, thereby saving time—a critical factor in the shipping industry.
Regarding opposition to the Advance Shipment Information (ASI) System, the GSA pointed out that this system is not new, as it is already included in L.I. 2190 (2012), which is currently in force.
The new law will continue to operationalize the ASI through an upcoming L.I., and the GSA is actively consulting with stakeholders to gather input for this L.I.
The purpose of the ASI, according to the GSA, is to assist shippers in pre-arrival clearance processes at ports, which will help prevent avoidable costs such as demurrage.
Addressing GUTA’s assertion that L.I.s cannot override an Act, the GSA assured stakeholders that the new L.I. will provide better clarity on provisions that may seem to hinder profitable commercial shipping in Ghana.
The GSA emphasized that its efforts are focused on aligning Ghana with global shipping standards, ensuring that the country remains a competitive route for international trade.
The GSA reiterated its commitment to constructive collaboration and engagement with all stakeholders in the commercial shipping sector.
The Authority assured the public that the new law is designed to enable, rather than inhibit, profitable commercial shipping, as GUTA has acknowledged since its passage.
The GSA called on all stakeholders to remain engaged in discussions as inputs for the forthcoming L.I. are collected and considered by the relevant law drafters and makers.

AGI backs new GSA law
The Association of Ghana Industries (AGI) called on President Nana Addo Dankwa Akufo-Addo to promptly assent to the newly passed Ghana Shippers Authority (GSA) law.
AGI believes that the law will significantly benefit players in the shipping and logistics industry and has urged the President to sign it into effect without delay.
In a press statement, AGI emphasized that the GSA Act would serve the interests of all stakeholders within the industry.
The Association highlighted that the law would greatly reduce, if not completely eliminate, arbitrary clearing charges at the ports, thereby empowering the GSA to hold all industry players accountable.
Mr. Humphrey Ayim Darke, President of AGI, said the new law would make those who engage in unfair business practices that abuse the rights of shippers accountable for their actions, which negatively impact consumers in the long run.
AGI also called on other trade groups to support the law, advocating for dialogue to address any concerns or issues that stakeholders might have regarding the new regulations.
“Such an approach is necessary to make Ghana an attractive and competitive trading destination and transit route for international trade, and will guarantee beneficial progress for the commercial trading sector,” the statement added.

IEAG dismisses opposition
The Importers and Exporters Association of Ghana (IEAG) labeled as unfounded the calls from some stakeholders in the commercial shipping industry urging President Nana Akufo-Addo to withhold assent to the Ghana Shippers’ Authority Law 2024.
Mr. Sampson Asaki Awingobit, President of the IEAG, stated that the law, in its current form, promotes accountability and responsible behavior among all stakeholders in the commercial shipping value chain.
He emphasized that the law creates a more structured and regulated trade environment, ensuring the interests of both importers and exporters are safeguarded.
The IEAG believes the new legislation is crucial for enhancing transparency and efficiency in the shipping and logistics industry.
Mr. Awingobit acknowledged the importance of continued dialogue but insisted that halting the assent of the law is unnecessary.
He expressed confidence in the GSA’s willingness to engage with all stakeholders and urged the Authority to provide clear guidelines and support to help businesses adapt to the new regulations.
Mr. Awingobit stressed that the law should serve as a facilitator of smoother and more efficient operations within Ghana’s trade sector rather than a barrier.

TAGG defends Law
The Trader Advocacy Group Ghana (TAGG) urged President Nana Addo-Dankwa Akufo-Addo to expedite action on assenting to the Ghana Shippers’ Authority (GSA) law.
It said the law by all standards would reposition Ghana in the global commercial shipping scene.
A statement signed by Mr. David Kwadwo Amoateng, President of TAGG, said the GSA had continuously opened its doors for consultation and engagement on the portions of the law that the business community expressed concern about, and had remained open and collaborative on that front.
It said the new law was in the interest of the multiple stakeholders of the shipping and logistics sector, and that any attempt to stifle it would only be in the interest of a few who may not necessarily have the interest of traders or the general citizenry of Ghana at heart.
TAGG assured the public that the law would enable better fortunes for shippers and all those in the commercial shipping business, as rightly espoused by GUTA.
The new GSA law aims to regulate the commercial activities of shippers, primarily addressing the issue of unfair and excessive charges that burden traders using Ghana’s sea and air ports, as well as land borders.
Additionally, the law seeks to introduce transparency in the determination of port fees and charges, ensuring accountability in the legal movement of international trade cargo across all of Ghana’s borders.

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