Parliament has granted a US$28, 251, 258 tax waiver to Kasapreko Company Limited (KCL), a local distilling company.
Dr Mark Assibey-Yeboah, Chairman of the Finance Committee of Parliament, who disclosed this Parliamentary Press Corps said the tax incentive would cover import duties of equipment and raw materials procured by the Company under the government’s One District, One Factory (1D1F).
He added that the company would also enjoy free import duty on National Health Insurance Levy (NHIL), GETFund Levy, VAT and EXIM Levy on any expenditure of its subsidiaries under 1D1F.
Dr. Assibey-Yeboah said the incentive would help the KCL to increase its production capacity to meet growing demands from local and foreign markets.
He said the company has acquired and renovated the defunct Paramount Distilleries Factory, previously known as GIHOC at Tanoso in Kumasi to expand its operations.
Kasapreko Company Limited (KCL) is one of the leading and most successful beverage product manufacturers in Ghana. It produces carbonated and non-carbonated soft drinks, water, bitters, whiskey, gin, liqueur, brandy, wine and also engages in general farming activities.
Dr. Assibey-Yeboah noted that the establishment of the factory at Tanoso in Kumasi would provide 300 direct jobs for factory hands, administrative staff, sales executives and drivers within a five-year period to boost the local economy.
“It is also envisaged to provide a potential of an estimated 1800 indirect jobs for distributors, retailers and small businesses who will sell the products across the country and for individuals such as food vendors, rental house owners and commercial drivers who will provide services to the workers of the company,” he added.
He said the government would continue to help any company that would want to expand is operations under the 1D1F initiative to boost the local economy and provide job opportunities for the people in the country.
In order to guard against the misapplication of the tax incentives, he said, the Finance Committee has directed the Ministry of Finance and the Ghana Revenue Authority to effectively monitor the company so that it does not misapply the tax incentives.
Minority Leader of Parliament, Haruna Iddrisu, urged the committee to monitor the activities of KCL to ensure that it works within remits given by Parliament.
Eva Frempon-Ntiamoah, ISD
