Ghana cement price hike sparks port dispute and cartel concerns

The Ghana Ports & Harbours Authority (GPHA) has disputed claims by the Chamber of Cement Manufacturers Ghana (COCMAG) that port congestion at Tema is the sole driver behind a GH₵12 increase in the price of cement bags.

GPHA stated that the explanation provided by manufacturers lacks critical context. The authority highlighted that operational constraints, such as the necessity of separating cement and clinker from food products like rice and wheat for hygiene and safety, influence berth availability. GPHA also noted that specific berths are shared among multiple companies, preventing exclusive access for any single importer.

Separately, CUTS International has raised concerns regarding the uniform nature of the GH₵12 surcharge. Appiah Adomako Kusi, the West African Regional Director for CUTS International, suggested that the industry-wide agreement on a single surcharge amount could indicate anti-competitive or cartel-like behavior. Kusi argued that because each manufacturer has a unique cost structure and level of operational efficiency, they should decide independently how much of their increased costs to pass on to consumers.