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IEAG Alleges Mafia-Style Illegal Auctions at Ghana’s Ports

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Executive Secretary of IEAG Samson Asaki Awingobit raising concerns about illegal port auctions in Ghana.

The Importers and Exporters Association of Ghana (IEAG) has expressed deep concern over what it describes as a “mafia” system of illegal auctions being carried out at the country’s ports.

The Association accuses politically connected cartels of taking advantage of foreign exchange scarcity to dispossess genuine traders of their goods.

In a statement signed by its Executive Secretary, Samson Asaki Awingobit, the IEAG noted that the shortage of foreign exchange has made it extremely difficult for importers to clear consignments, especially perishable goods such as frozen foods. Instead of being supported, the Association says its members are subjected to a predatory cycle where their investments are seized and sold off under questionable circumstances.

The statement explained that goods are increasingly pushed onto the Undercleared Cargo List (UCL) because of delays in securing forex. Worryingly, the statutory 60-day grace period before auctioning has allegedly been cut down to just 21 days, creating an opportunity for politically connected businessmen to acquire the goods through dubious processes.

According to the IEAG, these auctions often ignore proper gazetting and other legal requirements, leaving affected importers to suffer heavy financial losses.

More disturbing, the Association alleged, is that traders whose goods are confiscated are still forced to pay demurrage charges, while politically connected buyers avoid such costs and instead pay shipping line service charges ranging from GH¢6,000 to GH¢10,000.

The Association stressed that this fraudulent system not only strips importers of their capital but also deprives the state of much-needed revenue at a time when Ghana is facing severe economic pressures.

It described the practice as “predatory and heartless,” warning that it undermines investor confidence and contradicts the government’s call for local business growth and inclusiveness.

The IEAG questioned how the government could encourage business development while allowing such hostile practices to persist.

It demanded the immediate restoration of the 60-day UCL grace period, the introduction of a first-time clearance option where importers can pay penalties rather than lose their goods, a thorough investigation into the alleged cartels behind the auctions, and swift intervention by the Bank of Ghana to provide forex at fair and predictable rates.

Concluding its statement, the Association warned that if urgent steps are not taken, the situation could cripple local businesses and destabilize the economy further.

It added that it would not remain passive while its members suffer exploitation, stressing that it is prepared to pursue every legal and legitimate measure, including mass action, should authorities fail to act swiftly.

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