Dealers in vehicular spare parts at Suame Magazine in Kumasi say transportation, taxes, and import duties are major factors compelling them to maintain old and high prices.

They tell motorists the prices of old stock are maintained to reflect the previous hikes in fuel prices and high dollar rates.

The dealers however suggest a reduction in duty fees and import taxes to inform new prices.

The Ghanaian economy is expected to expand by 2.8% in 2023, according to Finance Minister, Ken Ofori-Atta.

This is compelling the Ghana business community to make adjustments to trading activities to reflect in the pockets of buyers.

According to the World Bank, crude oil prices have fallen by about one-third from their June highs.

The cedi has also recorded marginal appreciation in recent weeks.

But these conditions are yet to affect price reduction in the spare parts sector at the Suame automotive hub.

Car engines, tires, bonnets, and others remain highly-priced.

A car engine dealer at the Suame Magazine, James Old Papa, tells LuvFm it would be unfair if the dealers reduce prices, whilst import expenses remain constant.

“Commodities have been reduced including the dollar rate as expected, but the old stocks are still the old stocks. Transportation, duties and taxes are still high. Although people do not buy due to high prices, we cannot reduce the prices of goods we bought at Gh15 per dollar to any other amount. That would be unfair.

“Our colleagues from Abossei Okai have reduced theirs, but for us in Kumasi, 40 feet containers pass through Takoradi. We are charged Ghc 5,000 for it, whilst they pay GH 2,500. Now let's calculate their profit range and ours,” he said.

George Akwasi Gyamfi adds that the apparent reduction would occur in the future and not sooner.

“We would like to decrease the price, but we can't do that to the lowest price. It would be a small amount that will be slashed off from it. So that I don't lose much. Goods from the port take at least 3 to 6 months to clear. That is to say, if we can buy at a low dollar cost now and sell it low in the next 3 to 6 months. And this is why reducing pricing would be a difficult thing,” he said.

Drivers are worried about the situation.

Kwaku Tawiah has over 15 years of experience as a driver at Atonsu Station, and he describes the situation as “cheating”.

“They [Spare parts dealers] are cheating us drivers. Tires that were first sold at GH450 moved to GH1000 and remain that to date. The same price of a car battery at GH 550 remains at GH 1000. Oil, and brake fluid inclusive. Yet the public compelled us to reduce our prices. We don’t run the transport with only the fuel. Its reduction has little effect now on our expenses,” he lamented.

Agyekoo Abrantie, station master for the Atonsu Minibus station, wants the government to intervene.

“Market prices of good remains, when we challenge the prices, they tell us to buy only when we can afford. Leaders have to step up, and help us so that all things will be reduced to make freedom so that it won’t be that some will gain profit and others will lose,” he said.