The President of the Ghana Union of Traders’ Associations (GUTA), Clement Boateng, has accused some traders of deliberately refusing to lower prices despite a significant drop in input costs and the sustained appreciation of the cedi.
In an interview on Joy News’ PM Express on Monday, Mr Boateng said the cedi’s gains have benefited the business community and insisted that those advantages should be passed on to consumers through reduced prices.
“I see the action of not wanting to reduce prices as a deliberate issue,” he said, citing the example of bakers who have not lowered the price of bread even though the cost of raw materials has decreased.
He described the reluctance as an unfortunate attitude among some Ghanaians.
“I see that as an attitude of some of Ghanaians that irrespective of whatever situation that we find ourselves, we will not let our compatriots also enjoy the gains that we have made,” he said.
Mr Boateng emphasised that the cedi has appreciated consistently over a period of time, delivering clear benefits to businesses.
“It is an undeniable fact that the cedi has appreciated for quite some time. And the business community has made some gains,” he said.
He argued that traders have a moral and economic responsibility to share these gains with the public.
“So definitely, the gains that we have made, we are supposed to also pass it on to the consumer, for the consumer to also enjoy a bit of what has happened in the marketplace,” he said.
When asked if price reductions were actually taking place, the GUTA President acknowledged that they were widespread but pointed out that some traders remained unwilling to adjust.
“It has happened across board. Yes, across board,” he said.
“But you see, as we say, we have bad nuts in every community. People have made up their mind that they will not reduce their prices.”
He warned that such stubbornness could backfire in Ghana’s highly competitive market environment.
“The market that we are in is a very, very competitive market,” he said.
Mr Boateng explained that most businesses depend on high turnover rather than holding onto stock for long periods.
“Businesses thrive on turnover,” he said.
“So if you sit behind your goods and you will say you will not reduce it for the consumer to also enjoy some benefit, you do so at your own expense.”
He added that consumers would simply patronise other sellers who offer lower prices, leaving non-compliant traders with unsold stock.
“Your neighbour will sell fast and then bring in more goods to make the turnover that he wants, and his business will thrive, and then you will sit beside your goods and will not make any sales,” he said.
The GUTA leader noted that price reductions are already visible across the market and are helping to ease inflationary pressures.
“So I can tell you for a fact that generally, prices have gone down,” he said.
“And that is why inflation also seems to be going down.”
He offered a simple explanation of inflation, describing it as the purchasing power of money in relation to goods and services.
“What does inflation mean? Inflation simply means having a purchasing value of your money on either goods or services,” he said.
Mr Boateng concluded by reaffirming that prices have broadly declined and urged traders not to deny consumers the benefits of the recent economic improvements.
“And I can tell you clearly that, if you want to talk about prices of goods… prices of goods have generally come down,” he said.