Local printers, paper converters  demand legislation to boost industry
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Local printers, paper converters demand legislation to boost industry

The Ghana Printers and Paper Converters Association (GPPCA) has called on the government to legislate the use of local factories for the supply of all printed materials to state institutions. 

The printed materials include textbooks, exercise books, stationery, skillets, calendars and other printed matter.

In addition, the association charged the government to cancel all exemptions for companies that imported finished printed materials such as jackets, boxes or packaging materials.

"Hence, they must pay import duties and Value Added Tax (VAT). That government will create a favourable environment to help local printers and converters to grow, employ more people, pay more taxes and create wealth," a statement signed by the President of the GPPCA, James Appiah-Berko, in response to the government's decision to make local printers and packaging firms undertake printing of textbooks in the country, said.

Commendation

The association commended President John Dramani Mahama on his recent announcement and policy directive aimed at transforming the country's education sector.

President Mahama’s initiative, it said, sought to introduce the Education Revolution to end the textbook shortage crisis due to the failure to provide textbooks after changing the curriculum in recent years.

The GPPCA recounted the President's statement: "This no-textbook phenomenon will end this year … that these textbooks are going to be printed by Ghanaian printers so that money stays here in Ghana".

It said the President's comment was in sync with a study commissioned by GPPCA in 2014 on the local investors and some selected counterparts abroad in the industry, their needs and their interests.

The study, it said, highlighted a clear understanding of the local market for printing and paper converting, including regulations, demand, competition, challenges and potential investors.

Recommendations

To that end, it said the GPPCA was determined to pursue the report’s recommendations, including a complete removal of all pre-production tariffs to enable local printing firms to compete fairly with their foreign counterparts.

The other, it said, was the adoption of the UNESCO Convention that made provisions for governments to suspend or set aside any agreement, "if as a result of the implementation of the agreement, more books are imported into a country to cause dislocation in the local printing industry".

Moreover, it indicated that the government should take advantage of that provision to impose some levies on imported books and create stability within the local printing industry.

"With the government sector forming up to 70 per cent of total demand of the printing industry in Ghana, it is important that government fully implements the Textbook Policy (2005) by ensuring that 100 per cent of printing contracts are awarded to local printing firms,” it added.

Capacity

"The local printing industry has already shown what it’s capable of. During the last two book seasons (2014 and 2018), only six out of many capable local printers managed to produce and deliver the entire consignment, proving technical competence, operational readiness, and national commitment," it said.

It said the benefits included utilising the local print and packaging industry vis-à-vis the 24-hour Economy Concept of the government.

Significantly, the GPPCA said the 24-hour Economy concept was manifested in the printing and paper conversion or packaging sectors, given that printers could work in the envisaged three-eight-hour shift system since most printing and packaging production companies were under-utilising their capacity, with machines lying idle for want of printing and packaging job contracts.

"Ideally, the industry could increase employment rates by about 40 per cent if they were awarded significant volumes of printing contracts that exist in the Ghanaian economy but which currently are sourced from abroad, despite the availability of local capacity," it said.

It mentioned other benefits of investing in the printing and paper converting industry to include market demand, profitability and tax mobilisation.

Others, he said, were the potential for growth, job creation amid societal impact and contribution to the local economy.

"These are the compelling reasons for government intervention in reviewing the policy and taxation framework as regards the import of raw materials for the manufacture of books and other printed materials.

"Furthermore, the prospects of further investment in the local printing and paper converting industry are enormous and signify the potential stretch of Ghanaian producers to capture the West African paper print and packaging market," it said.

Converters

Paper converters, commonly referred to as print, packaging and labelling manufacturers, transform paper and polymer-based raw materials into safe, durable and aesthetically pleasing containers and receptacles.

Although the statement said the industry played a crucial role across multiple sectors, its vast economic and developmental potential remained largely underutilised in the country.

Encouragingly, it said there were growing indications of governmental recognition and support.

"We therefore call for more proactive policy measures and strategic investment to unlock the full potential of this vital industry.

"GPPCA is committed to building strong relationships with key stakeholders, particularly the Ministry of Finance, Ministry of Education, and other industry partners, to effectively advocate for and sustain trust and support for the effective implementation of the President’s revolutionary drive; indeed, a home-grown solution to provide adequate textbooks, among other logistics, for the effective and efficient running of the education sector.

"We once again appreciate the new direction of hope from the presidency and are available to engage further by paying the necessary attention to the initiative,” it stressed.

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