Business

GIFF urges government to address Publican AI concerns to safeguard business operations

Freight forwarders warn that anomalies in the Publican AI customs valuation system are leading to excessive duty charges, urging government to engage stakeholders and resolve the challenges to prevent disruptions in the import sector.

The Ghana Institute of Freight Forwarders (GIFF) has called on government to urgently address growing concerns among industry stakeholders following the implementation of the Publican AI customs valuation system at the country’s ports.

According to the Institute, resolving these issues is critical to ensuring smooth business operations and preventing disruptions within the import and logistics sector.

Speaking on the Big Mike Breakfast Show on Monday, April 13, Wenawome Duriyem Aborah Chairman of the Paga District Chapter of GIFF, warned that failure to tackle the challenges associated with the system could have serious economic consequences.

“If you deploy a system that overcharges people three times or more than the normal duty, it becomes a major problem.” He said.

He cited instances where importers who previously paid duties of about GH¢160,000 are now being charged as high as GH¢1,000,000 under the new system.

“Do you think that is normal?” he questioned.

Aborah noted that although the Ministry of Finance had assured stakeholders of mechanisms to address concerns arising from the system, no effective platform currently exists for redress.

He further highlighted what he described as anomalies in the valuation and costing processes under the Publican AI system. Traditionally, customs officers assessed and classified goods to determine applicable duties.

However, he explained that the new system appears to override this process without adequately accounting for critical factors such as depreciation.

“How can an AI system accurately determine the level of depreciation of an item?” he asked.

Despite these concerns, Aborah clarified that stakeholders, including GIFF, are not opposed to the use of technology or policies aimed at boosting government revenue.

“We do not have an issue with government implementing policies to generate revenue for national development. However, this must be done in a way that creates a conducive environment for businesses.” He stated.

He therefore appealed to government to consider suspending the system temporarily and engage stakeholders more extensively to address the identified challenges.

Aborah cautioned that if the issues remain unresolved, businesses may be forced to pass on the increased costs to consumers, a situation he warned could have adverse effects on the broader economy.

Mike 105.3FM | Navrongo | David Adapuna

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