Ekumfi fruit and juices factory commissioning

20% juice tax puts 127,000 jobs at risk – Agribusiness Chamber warns

Story By: Will Agyapong

The Chamber of Agribusiness Ghana (CAG) has raised concerns that the 20 percent excise duty on natural fruit juices is having serious unintended consequences for jobs, farmers, and the wider economy.

In a statement issued on Wednesday, February 4, 2026, CAG said the tax introduced as a public health measure is instead hurting the agribusiness value chain, putting as many as 127,000 jobs at risk and weakening Ghana’s prospects of earning up to $1 billion annually from juice exports.

According to the Chamber, the duty has forced many juice processing factories to operate at only 30 to 45 percent of their capacity, far below the optimal range of 70 to 85 percent.

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This slowdown has reduced demand for locally grown fruits such as pineapples, oranges, and mangoes, leaving rural farmers without dependable buyers.

CAG Chief Executive Officer, Anthony Morrison, said the impact goes beyond processors to farming households across the country.

He explained that thousands of farmers are facing falling prices, losing significant portions of their harvest to spoilage, and missing out on the stability that contract farming once provided.

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The Chamber noted that women farmers who account for between 55 and 60 percent of fruit producers are particularly affected.

Lower factory activity is also threatening jobs for young people in processing plants and contributing to economic decline in key fruit-growing regions, including the Eastern, Volta, and Central regions.

CAG further cautioned that the excise duty is making Ghanaian juice products less competitive on the international market, undermining long-term growth in the sector.

“Global demand for natural and functional beverages is growing at 6-8% annually. Ghana is uniquely positioned to capture $700 million to $1 billion in exports, but the current tax undermines our competitiveness,” Morrison noted.

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The Chamber is urging the government to exempt 100% natural fruit juices from the excise duty immediately, warning that failure to act could erode jobs, farmer incomes, and Ghana’s position in the global juice market.

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