Civil society organisation Vision for Accelerated Sustainable Development, Ghana (VAST Ghana), has called on the Ministry of Finance to extend Ghana’s revised excise tax regime to all alcoholic beverages, arguing that a broader approach would deliver greater public health and revenue benefits.
The organisation made the call while commending the Ministry for rejecting a claim by Accra Brewery Plc that proposed reforms under the Excise Duty Bill could put about 2,000 jobs at risk.
According to VAST Ghana, claims of massive job losses and economic disruption must be supported by verifiable evidence before they are used to influence fiscal policy.
In a statement issued by its Communication Manager, Jennifer Maame Ama Owusu, the organisation said Accra Brewery had not provided the methodology, base year, price elasticity assumptions or definition used to arrive at the estimate of 2,000 jobs at risk.
It said the Ministry’s decision to demand evidence from the company represented an important standard for Ghana’s public policy process.
“Commercial claims should be examined, economic projections should be tested, and public health evidence should be given appropriate weight,” the statement said.
VAST Ghana urged the Finance Ministry to use the ongoing preparations for the 2027 Budget Statement to introduce a more comprehensive excise taxation framework for alcohol.
It specifically called for hybrid excise taxation to be applied to all categories of alcoholic beverages, rather than limiting the current reforms to wine and spirits.
The organisation argued that wine and spirits were largely consumed by higher-income groups, whose purchasing power was less affected by tax increases, while alcoholic beverages more commonly consumed by lower-income groups remained subject to comparatively lower excise rates.
It said extending the hybrid system across all alcohol categories would improve equity and maximise the potential public health impact of taxation.
VAST Ghana also called for the reversal of the 20 per cent excise tax reduction on fruit juices, together with a review of the legal definition of fruit juice.
It said the existing definition did not conform to global best practices and could create loopholes that undermine the intended health objectives of the government’s fiscal reforms.
The organisation further urged the government to increase tobacco excise rates and link them to inflation and income growth to preserve their real value and strengthen domestic health financing.
On electronic cigarettes, VAST Ghana called for the repeal of the excise tax, arguing that the measure was inconsistent with provisions of the Public Health Act, 2012.
It said removing the tax would help create greater policy coherence and provide clearer regulatory treatment for novel nicotine products.
The organisation maintained that stronger excise taxation on alcohol should not be viewed as an attack on businesses or workers.
Rather, it said, taxation was an evidence-based public health intervention capable of reducing preventable harm, protecting young people and other vulnerable groups, generating domestic revenue and reducing the long-term economic burden associated with alcohol consumption.
VAST Ghana therefore urged the Ministry of Finance and other relevant agencies to remain committed to evidence-based policymaking and strengthen Ghana’s excise tax regime in line with global best practices and World Health Organisation recommendations.
