Traders within the bustling Makola and Okaishie markets in Accra are pushing back against calls for immediate price reductions, despite the Ghanaian cedi’s recent gains against the US dollar and other major foreign currencies.
While the local currency has seen a significant recovery in recent weeks, reversing a prolonged period of depreciation, traders argue that their current stock was purchased at much higher exchange rates, making it financially challenging to lower prices right away.
Rebecca Ofosuwaa, a household consumables retailer, explained the dilemma: “We bought our goods when the dollar was around 16 cedis. Now that the cedi is stabilising, it doesn’t automatically reflect in the current prices because our old stock is still priced at the old, higher rates. If the cedi remains stable, we may see some reductions by August.”
Similarly, Maame Efua, who sells grains and cereals, noted that most traders are still working through old inventory, which was imported at much higher costs.
“We can only reduce prices when we restock with the new, lower rates,” she said, highlighting the delayed impact of currency stabilization on retail pricing.
As of Monday, forex bureaus were selling the US dollar at around 13 cedis 50 pesewas, down from recent highs.
While the Food and Beverage Association of Ghana has reported some price reductions, such as a bag of sugar dropping from GHS 740 to GHS 640, traders insist that these cuts are minimal and unlikely to offset their previous losses in the short term.
The traders maintain that a sustained period of cedi stability is needed before consumers can expect significant price relief at the markets.
