The AGI Automotive, Transport and Logistics Sector discussed the renewal of the tax exemption on locally assembled vehicles, citing the continued delay in the renewal as a growing concern for industry players.
The call was made at the sector’s first annual meeting held on Thursday, August 31, 2026, at the AGI Secretariat in Accra. The meeting focused on key challenges affecting the sector and actionable measures to address them.
Opening the meeting, AGI CEO, Mr Seth Twum-Akwaboah, reiterated AGI’s role as the voice of the private sector and highlighted the Association’s continuous engagement with government on policies and concerns affecting businesses.
He encouraged sector members to actively participate in AGI meetings and bring forward their concerns, noting that:
“When members present their concerns, it gives AGI the information we need to effectively advocate on their behalf before the relevant ministries and decision-making bodies.”
Sector Chair, Mr Abdul Samad A. Musa, noted that the 15% tax exemption was due for renewal last year but no renewal schedule had yet been announced.
“This uncertainty is a major concern for industry players who have invested in local vehicle assembly.” He stressed.
Members also discussed the need to develop a well-documented, evidence-based position paper demonstrating the economic benefits of government incentives for local vehicle assembly. The paper is expected to provide aggregate data on the benefits sustained through existing exemptions and strengthen the sector’s advocacy for continued support.
Another major issue raised during the deliberations was the implementation of dealership regulations. Members noted that, unlike in some jurisdictions where dealership arrangements help regulate vehicle and automotive parts imports, Ghana’s current system allows individuals to independently purchase and import vehicles and parts, presenting challenges for established dealerships and regulatory oversight.
The meeting reaffirmed the importance of strong industry-government engagement, evidence-based advocacy and effective regulation in creating a predictable and competitive environment for Ghana’s automotive, transport and logistics sector.
