Members of the Northern Regional Cement Distributors’ Association
The Cement Distributors’ Association in the Northern Region has threatened to increase prices of cement in the Northern, Upper East and Upper West Regions as a result of a new levy imposed by the Buipe Traditional Authority.
The association indicated that it was invited by the Buipe-Wura to inform it of a GH¢0.25 levy on every bag of cement to be brought from the Diamond Cement Factory at Buipe.
Information gathered by this paper revealed that some distributors had begun abandoning the Diamond Cement and traveling down south to place orders for other brands.
According to members of the association, the Buipe-Wura, Abdulai Jinapor, threatened to prevent them from transporting cement from Buipe if they were not ready to pay the new levy.
The cement distributors have petitioned the Northern Regional Minister, Salifu Saeed, to intervene in the challenge facing them.
The chairman of the association, Abdul Razak Yahaya, told DAILY GUIDE that until the establishment of the cement factory at Buipe, most of them had been involved in cement distribution from the southern sector of the country to the north and that no such levy had ever been imposed on them.
He explained that the cement factories pay royalties to the Traditional Authorities and the local government (district assemblies) which are indirectly levied on their goods.
“We consider the imposition of local levy as double taxation which has the potential of increasing the price of cement by GH¢0.25 on each bag of cement,” he pointed out.
Mr. Abdul Razak Yahaya therefore appealed to the Buipe-Wura to rescind his decision for a continuous free and fair cement business in his kingdom.
Buipe-Wura Abdulai Jinapor told DAILY GUIDE that a Buipe Development Fund was created by the development committee to build toilet and a place for drivers to rest.
He indicated that some truck drivers liter the town and also indulge in other activities that affect the area, which prompted the traditional authorities to impose the levy.
According to him, the levy is imposed on the truck drivers and not the distributors, adding that the amount is GH¢0.20 and not GH¢0.25.
The Bupie-wura admitted that the Diamond Factory had supported the town with schools, water and other social amenities.
FROM Eric Kombat, Tamale