The Food and Beverages Association of Ghana (FABAG) has advocated for a 2026 fiscal policy framework that encourages business growth and industrial resilience.
The Association’s expectations centre on seven priorities—chief among them, the reduction of distortionary taxes, the stabilisation of macroeconomic indicators such as inflation and exchange rates, and the introduction of targeted support measures for domestic manufacturing and value-added production.
John Awuni, Executive Chairman of the Food and Beverages Association of Ghana (FABAG), observed in a statement that persistent structural and fiscal challenges continue to constrain investment and employment within the sector.
He argued that effective tax rationalisation and sustained macroeconomic stability are critical preconditions for competitiveness and sustainable industrial expansion.
FABAG proposes seven key expectations from the 2026 budget:
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Reduction in Nuisance Taxes:
FABAG called for a review of multiple levies including the COVID-19 levy, excise duties, the Environmental Excise (Producer Responsibility) tax, container fumigation fees, and other regulatory charges. The Association urged targeted tax reliefs for local producers and SMEs to spur investment and job creation. -
Foreign Exchange Stability and Inflation Management:
FABAG emphasised that exchange rate stability and inflation control are essential to keeping production costs predictable and restoring investor confidence. -
Support for Local Manufacturing and Value Addition:
The group wants the budget to include clear incentives, affordable credit and energy cost reductions for manufacturers, to boost productivity and exports. -
Halt on New Taxes and Levies:
FABAG warned against introducing new taxes in 2026, arguing that the business community is already overburdened. Instead, it urged improved revenue collection efficiency and a wider tax net. -
Streamlined Regulation:
The Association called for better coordination among regulatory agencies such as the GRA, FDA, and GSA to eliminate duplication and reduce bureaucratic costs. -
Incentives for Sustainable Practices:
FABAG encouraged the introduction of tax rebates or grants for companies adopting eco-friendly packaging and production methods, rather than imposing new environmental taxes. -
Promotion of Investment and Job Creation:
The group called for measures to attract local and foreign investment into agro-processing and manufacturing, drive value addition and create decent employment opportunities.
The Association maintains that a pragmatic and growth-oriented national budget has the potential to stimulate investment, expand industrial capacity, and reinforce Ghana’s role as a key manufacturing and trading centre within the West African subregion.
