The Abossey Okai Spare Parts Dealers Association has denied allegations that a proposed 20 percent increase in transport charges by commercial transport operators starting on June 2 is due in part to increased spare parts pricing.
In contrast to claims made by the Ghana Private Road Transport Union (GPRTU) and other transport operators that rising operational expenses support the planned tariff adjustment, the Association claims that spare parts prices have stayed steady in recent months.
Takyi Addo, the Association’s Head of Communications, emphasised in an interview with Citi Business News that there hasn’t been an increase in costs for spare parts.
“Spare parts prices have not been increased at all. There is 100% stability in the spare parts business. In fact, the stability of the cedi against the dollar has rather helped to keep prices stable,” he stated.
Claims of widespread price rises for spare parts, according to Mr. Addo, are false because recent gains in the local currency and relative stability in the foreign exchange market have relieved pressure on importers and traders.
“We disagree with the transport operators. They should not say they are increasing fares by 20 percent because spare parts prices have gone up. That is simply not true. Traders are happy with the current trend in the market,” he said.
The Association also praised the government’s handling of the economy and exchange rate, pointing out that business operations in the spare parts industry have benefited from the cedi’s relative stability over the past month.
Takyi Addo stated that although traders are still pushing for lower taxes and other expenses that have an impact on the sector, the state of the market does not justify accusations of large price hikes.
“If you ask me as the Head of Communications for the Association, there is no increment in spare parts prices. We have stability in the market and everything is okay now compared to previous periods,” he emphasised.
Additionally, he advised transport companies to speak with the government directly about any issues pertaining to operating expenses rather than blaming planned rate hikes on the cost of spare parts.
The remarks coincide with proposals by certain commercial transport operators to raise rates by 20% starting on June 2 due to growing operating costs, such as fuel and vehicle maintenance.
Source: newsthemegh.com