A consumer protection advocate, Lawyer Appiah Kusi Adomako, has rejected the 60-day period agreement brokered by the Ghana Union of Traders Association (GUTA), the Association of Ghana Industries (AGI), and the Ministry of Trade, Industry & Agreement.
The West African Regional Director of CUTS International describes the timeframe as excessively long and inadequate to protect consumers in the face of the appreciating cedi.
Speaking in an interview with Accra-based JoyNews, Lawyer Appiah Adomako said while the government may not have the legal authority to dictate prices in a liberalized market, it is important that it actively engages and monitors business behavior, especially when market conditions improve significantly in favor of consumers.
“The government cannot force businesses to reduce their prices. Neither can the government give them prices at which they should sell their products. And we know that this is a free market,” he stated.
However, he believes that relying on a blanket 60-day window only opens the door for traders and businesses to delay action, undermining the gains consumers ought to get from the improved economic environment.
“The 60 days is such a long time, because some of the businesses may decide to wait till the last day, the 59th day, and then reduce their prices. Just conform to what they agreed. I think that there should be continuous monitoring of prices on a weekly basis,” he proposed.
Mr. Adomako is instead advocating for a more proactive and responsive mechanism, such as using moral suasion through trade associations to pressure businesses into adjusting prices more swiftly
“We can use moral suasion to cause them to reduce their prices,” he noted.
His remarks resonate with the widespread public frustration over the slow pace of price adjustments, despite recent improvements in the exchange rate and reductions in fuel prices.
While GUTA and AGI members have agreed to reduce prices within 60 days, many economists and civil society actors say that’s too long, and risks dampening the impact of the cedi’s recovery.
