Government abolishes excise duty on locally made fruit juice from October

Pinned summary · as of 15:55

The government will stop charging excise duty on fruit juice made in Ghana starting October 1, the Finance Minister confirmed in September. The Food and Beverages Association hailed the decision as a response to years of appeals from juice manufacturers struggling with high production costs.

What we know

• Finance Minister Dr. Cassiel Ato Forson announced during the 2026 Mid-Year Budget Review that the government would remove the excise tax from locally produced fruit juice, a commitment now embodied in legislation.
• The tax, set at 20%, was introduced in 2023 and will be scrapped on October 1, 2026, once Parliament passes the new Excise Duty Act and the President approves it.
• The Food and Beverages Association of Ghana welcomed the abolition. Rev. John Awuni, the Association's Chairman, said members had repeatedly raised the concern with the previous administration.
• Juice producers had argued that the 20% levy raised their costs and put their products at a disadvantage against imported competitors.

Why it matters for Ghana

Juice makers across Ghana struggling with higher production expenses should face lower costs once the tax vanishes, potentially allowing them to cut prices in markets in Accra, Kumasi and other cities. The removal may also boost demand for locally grown fruit as manufacturers expand output, benefiting farmers who grow oranges, pineapples and other crops used in juice production. The change tests whether the government follows through on pledges to back domestic manufacturing.