AGI backs regulation of cement industry

The Association of Ghana Industries (AGI) has expressed its support for the government’s efforts to regulate the cement industry, emphasizing the importance of compliance and reasonable standards for the sector’s sustainability and growth.

AGI’s Chief Executive Officer, Mr. Seth Twum Akwaboah, highlighted the necessity of regulation for the benefit of both the country and the industry. He noted that regulations are not intended to harm businesses, revoke licenses, or collapse the industry. “We all appreciate that the essence of some of these regulations is not to cripple any business, withdraw the licenses of businesses, and collapse the industry,” Mr. Akwaboah stated.

He argued that it is not in the government’s interest to collapse an industry that employs people, contributes to economic output and innovation, and pays taxes. Mr. Akwaboah emphasized that the government is actively seeking investors through the Ghana Investment Promotion Centre (GIPC), and it would be counterproductive to drive away investors by withdrawing their licenses shortly after their arrival. “I don’t think that’s the essence of it. I think it’s simply the fact that there must be some compliance, and I think every country has some level of standards that you must meet. So if you are meeting the standards, what should be the problem?” he asked.

Mr. Akwaboah highlighted the long-standing operations of companies like Ghacem as evidence of the industry’s stability and compliance. He stressed the importance of reasonable regulations and the right of industry players to challenge any regulations they find unreasonable. “What is important is that, what are the regulations that you must comply with? Are they reasonable? If they are not reasonable, industry has every right to raise it, and I think that’s what we will be doing as industry players. If the regulation is requiring us to do something that we think is unreasonable, then we will raise it,” he concluded.

The AGI’s support for government regulation underscores the collaborative approach needed to ensure the cement industry’s continued contribution to Ghana’s economy while maintaining high standards of compliance and innovation.