The timely intervention of the Deputy Upper West Regional Minister averted what would have been a 100-percent increase in the price of sachet water.

Producers and suppliers hiked their prices after it was announced the ad valorem would be imposed.

The tax was expected to take effect from 1 March 2010 but the Finance Ministry announced its cancellation.

Although sachet water is not included in items attracting ad valorem, producers in the region went ahead to increase their prices, a situation which forced retailers to increase their prices.

A bag which used to cost GHp90 now cost GH¢1.80, correspondents say.

Consumers in the region are said to have expressed concern over the increases but the Secretary of the Sachet Water Producers Association, Justice Alondo, justifies it.

According to him, producers in the region fixed their prices as per those producers in Accra had planned on charging.

But the deputy regional minister Mr. Kale Caesar said “We are in a region where Guinea worm is supposedly endemic and to fight Guinea worm we need to encourage more people to be taking sachet water to be able to reduce the menace.”

The association has now reverted to the previous GHp90 but retailers have yet to comply.


Myjoyonline.com/Ghana