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Interim EPA saved Ghana €400m in Export taxes - Trade Ministry

July 26, 2016, 11:26 a.m.

The Ministry of Trade and Industry has defended the country's decision to initial the Interim Economic Partnership Agreements (IEPA), explaining that the move saved the country a total of €400 million in export taxes to the European Union.

The amount is taxes and duties that would have been paid on Ghana’s exports to the European Union but was removed following the signing of the IEPA.

The IEPA, just like the EPA itself allows Ghana unrestricted and tax free access to the EU market.

In return, selected goods from the union also get access to the Ghanaian economy.

Mr Anthony Nyame-Baafi, Director of Regional and Bilateral Trade at the Ministry said this at the Graphic Business/STANBIC Bank Breakfast meeting in Accra on Tuesday morning.

He explained that Ghana opted to sign the IEPA to help save its exports from being taxed.

Allowing them to be taxed, he said would've reduced the quantum of exports while costing exports.

The EU is one of the country's biggest export destination, with cocoa and related products, vegetables and other agriculture related products being the most preferred.

He said Ghana was to lobby Nigeria, Gambia and Mauritania to sign EPA and that, "if Ghana hadn't signed, we would've been in the mess by now," Mr Baafi said.