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CUTS Warns Against Cartel Conduct As Cement Producers Agree On Uniform GH¢12 Surcharge
September 5, 2026
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CUTS Warns Against Cartel Conduct As Cement Producers Agree On Uniform GH¢12 Surcharge

Money
Policy
Growth

Key Points

  • CUTS International has raised competition concerns over the Chamber of Cement Manufacturers, Ghana (COCMAG)'s uniform GH¢12-per-bag clinker demurrage surcharge, labeling it as potential cartel conduct.
  • COCMAG justified the surcharge due to severe congestion at Tema Port, leading to vessel waiting times of 30-40 days and estimated industry-wide demurrage costs of US$45-50 million in the first eight months of 2026.
  • CUTS argues that while manufacturers have a right to recover costs, competing firms with differing cost structures should independently determine their prices or surcharges, not collectively agree on a uniform amount.
  • The think tank cited the airline industry's independent fuel surcharges as a comparative example, emphasizing that a common industry problem does not necessitate a common industry price.
  • CUTS called for urgent government intervention to address port operational constraints and stressed the critical need for Ghana to pass its Competition and Fair-Trade Practices legislation and establish an effective national competition authority.

Why This Matters

This situation directly impacts the cost of cement, a fundamental material for Ghana's construction sector, which is crucial for housing, infrastructure, and overall economic development. Potential cartel behavior could lead to artificial price hikes, burdening consumers and hindering growth. It also underscores a critical regulatory gap in Ghana due to the absence of a comprehensive domestic competition law, which could leave consumers and businesses vulnerable to anti-competitive practices.

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