VW has started building its assembling plant at the north industrial area in Accra and is due to start production by the end of April, President Nana Addo Danquah Akufo-Addo has said.
Speaking in Parliament Thursday during the State of the Nation, President Akufo-Addo said, Sinotruk has also begun assembling its trucks in the country.
He added “Toyota is scheduled to start assembly of vehicles in Tema in the last quarter of this year. We have high hopes for this new industry, which has come to join our own Kantaka”
Cabinet last year, approved the much talked about Automobile Bill to officially give a legal framework for the assembling of vehicles in the country.
Launching the Automobile Bill, Trade Minister, Alan Kyeremanteng detailed the policy framework for the bill explaining that the move is to – in the long run – reduce the import of vehicles which amount to 85,000 each year costing over 1 billion dollars. What this also means is that all investors venturing into the establishment of vehicle assembly plants will enjoy corporate tax holidays.
According to Mr Kyeremanteng, “The initial scope of the Ghana Automotive Development Policy is to provide the necessary framework to establish assembly and manufacturing capacity in Ghana. Fiscal incentives on new vehicles for registered assemblers will include a corporate tax holiday of 5 years for enhanced SKD Registered Assemblers”.