Sachet water prices to remain unchanged — Manufacturers assure government at emergency meeting

Leadership of the Ghana Plastic Manufacturers Association (GPMA) and the National Association of Sachet and Packaged Water Producers (NASPAWAP) have assured the government that the intended increase in sachet water prices has been suspended with immediate effect.

The groups stated that despite a sharp rise in production costs, they have agreed to absorb the additional expenses and maintain current prices for at least a couple of months, even though this means operating at a loss.

They further framed the decision as a demonstration of patriotism and confidence in the country’s economic direction, urging stakeholders and citizens to support efforts aimed at strengthening the economy.

The leaders also urged all producers, retailers and distributors to revert to the old pricing structure, effectively canceling the previously announced increases.

However, they expressed hope that the government will acknowledge their sacrifice and provide some form of relief or support to help cushion the financial impact on manufacturers.

Related Article: Sachet water price hikes suspended after government intervention

Event

This was revealed at an emergency meeting conveyed by the Ministry of Trade, Agribusines and Industry to address the underlying challenges facing the sector last Wednesday in Accra.

The over four-hour meeting, chaired by the Minister of Trade, Agribusiness and Industry, Elizabeth Ofosu-Adjare, ultimately yielded a positive outcome.

In attendance were President of GPMA, Ebo Botwe, President of NASPAWAP, Magnus Nunoo, Director, West African Regional Centre, Appiah Kusi Adomako, Chairman of Sintex Group, Manoj Budhrani, Director of Finepack Industries Ltd, Rahul S. and Chairman of Mohinani Group, Ashok Ramchand Mohinani.

Assurance

President of GPMA, Ebo Botwe explained that the cost of polymers — key raw materials used in producing sachet packaging—has risen dramatically, jumping from about $920 per ton to roughly $2,100 per ton. 

This surge, he said partly linked to global tensions and market disruptions preceding the US-Israel-Iran conflict, placed significant financial pressure on manufacturers.

He added that due to these rising costs, plastic manufacturers had initially considered increasing prices, which would have likely led sachet water producers to follow suit. 

However, he said after the invitation by the sector minister for discussions, the association reconsidered its position.

"After listening to madam and considering the fact that sachet water is a basic necessity for over 33 million Ghanaians, yes, we are losing money if we go back to the old price. But then, for the fact that we love Ghana and Ghana must thrive, we've decided to absorb the shock," he said. 

"Yes, we are going to lose money, but then, we are going to absorb the shock and keep the old prices for at least a month or two. And we expect that it will trickle down to the sachet water producers as well," he added.  

Unprecedented

President of NASPAWAP, Magnus Nunoo described the development as unprecedented in the association’s 30-year history, noting that price increases are typically accepted without resistance. 

He said the decisive intervention by the Trade Minister led to a different outcome.

He also credited her persistence and resilience for securing favorable conditions for both producers and consumers.

Mr Nunoo expressed deep appreciation for the minister’s determination and proactive approach, emphasizing her refusal to accept the situation as inevitable. 

"We came out with the best statements on the new price and I use this forum to announce that the new price has been officially reversed to the old price. Sachet water produces, the retailers and everyone who sells water at a new price reverses to the old one." 

"And this is the outcome of a resilient economy. Very strong economy. The figures are there and we must support it. We must be patriotic as citizens to get this economy going the way it is going," he said.

Acknowledgement

Responding, the Trade Minister, Elizabeth Ofosu-Adjare acknowledged the concerns of manufacturers regarding rising costs but mentioned that the country’s economy has enjoyed relative stability over the past 14 months, which has helped cushion industry players.

In light of this stability, she appealed to manufacturers to, in turn, support Ghanaians by absorbing short-term losses. 

The minister emphasized that economic cycles involve both gains and losses, and expressed optimism that conditions would soon normalize, allowing businesses to recover and continue earning returns on their investments. 

Mrs Ofosu-Adjare commended the industry players for responding positively, agreeing to maintain current prices for the next few months to sustain affordability and economic balance.

She reaffirmed the government’s commitment to fostering a strong business environment where both industries and the broader economy can thrive.

Concluding her remarks, she reassured retailers, wholesalers, and consumers that sachet water prices will remain the same for now, describing the decision as a temporary but important measure to sustain economic stability.

"Don't worry, this is temporary. I think that this economy is resilient enough to bounce back quickly so that you make the returns on your investment." 

"So on that note, distinguished ladies and gentlemen, sachet water sellers, retailers, wholesalers, the prices remain the same," she said.