The National Democratic Congress (NDC), the biggest opposition party, has reacted sharply to President J. A. Kufuor’s intervention in the rising cost of fuel and food on the world and local markets.
In a press statement signed by the party’s General Secretary, Mr Johnson Asiedu Nketia, the NDC said a better approach in a difficult and challenging period such as this would have been for the government to seek broad consultation with all stakeholders, including all political parties, with a view to pooling ideas and forging a consensus on the way forward.
Had such a consultation taken place, it said, the NDC would have advised the Kufuor administration on the need for measures to cut down the fuel consumption of the large coterie of government officials to help conserve the much-needed foreign exchange.
"The NDC would have asked President Kufuor to lead by example by reducing the size of his own convoy. Indeed, we urge the NPP government to take steps to cut down the unbridled fuel consumption by government officials."
The statement said that should come alongside measures to reduce the excessive expenditures of the executive arm of government, including putting a freeze projects which have no bearing on the welfare of Ghanaians.
"In the view of the NDC, the NPP government could even consider deferring the proposed purchase of its two new presidential jets costing well over 100 million dollars," it said and added that such huge resources would be better spent on simple but effective energy efficiency promoting programmes.
The statement expressed shock that Ghana’s import of rice now exceeds 500,000 tonnes with a value of almost 400 million dollars, while the NPP’s budget statement of 2001 promised to reduce rice importation by 30 per cent in value from the approximately 100 million dollars spent annually.
It said at the time of establishing the Aveyime Rice project in 2000, domestic production of rice accounted for 45 per cent of the national requirements.
Three months into assumption of office of the Kufuor administration, it said, the project was abandoned and this opened the floodgates for massive importation of rice.
It said within a period of two years, local production of rice reduced by half to account for only 21 per cent of national requirement.
The statement said it was the considered view of the NDC that abolishing duties on rice, yellow corn, wheat and vegetable oil will not immediately lead to lowering of prices of those items.
The NDC reaction follows government’s decision to subsidise some petroleum products and key food items as part of measures to stem the escalating cost of living in the face of global food hikes.
On May 22, President Kufuor in a nationwide address, announced the removal of excise duty on premix fuel and the reduction of excise duty and debt recovery levies on gas oil, kerosene and marine gas oil.
Additionally, the import duties on rice, wheat, yellow corn and vegetable oil were also removed.
Source: The Ghanaian Times
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