The National Executive Committee (NEC) of the National Association of Sachet and Packaged Water Producers (NASPAWAP), has announced that the prices of sachet and bottled water will go up from Monday December, 27, December 2021.
The Association in statement explained that the increase in prices was a result of growing cost in packaging, high cost of spare parts, fuel among others.
According to the Association, Ghana has the highest taxes on locally produced and packaged goods in the world adding that the importation of bottled water is also killing the local producers.
“It is recommended that the 500ml bottled water be retailed at GHC1.50, and the 750ml or medium size bottled water be retailed at GHC2.00. The 1.5L or large bottled water is to be retailed at GHS3.50. Iced sachet water will be retailed at 40peswas. A bag of sachet water, 500ml by 30pcs, will now sell at GHC4.50 from the retail trucks. Mini shops will now retail a bag of sachet at GHC6 per bag minimum.
“Regrettably, fuel price reviews attract a lot of public outcry anytime the government imposes the slightest tax on it. However, the public turns a blind eye to taxes on bottled water, which account for the high prices consumers have to bear,” the Association’s National President, Magnus Nunoo disclosed.
The President also pointed out taxes on the imported materials for local production of water are huge, “it is becoming increasingly unsustainable for the local water industry.”
“It has become necessary that some of these indirect taxes, production, and distribution costs, be passed on to the consumer. It is important for consumers to know that any bottled water they purchase has a fixed levy of 23.5% besides VAT/NHIL.
“The fixed levies are made up of 17.5% excise tax plus additional 6% levy before VAT/NHIL,” he added.
Source: Starr Fm