VAST Ghana raises alarm over 20% excise tax exemption on fruit juices

Vision for Accelerated Sustainable Development Ghana (VAST Ghana) has urged the Ministry of Finance to reconsider the 20 per cent excise tax exemption for locally produced fruit juices, warning that the measure could undermine efforts to curb non-communicable diseases (NCDs). The organisation says exempting locally manufactured fruit juices from the tax under the Excise Tax Act, 2026, without adequately considering their sugar content could encourage the consumption of beverages associated with obesity, type 2 diabetes and other diet-related health conditions. In a statement dated October 26, 2026, VAST Ghana also called on the Ministry of Health to raise concerns about the exemption, saying its potential implications should be assessed alongside government efforts to improve healthcare access and strengthen disease prevention.

These include the Ghana Medical Trust Fund (GMTF) and the Free Primary Health Care (FPHC) Policy, which the organisation says could be affected by the broader consequences of rising diet-related illnesses. Tax policy and public health VAST Ghana acknowledged the government’s intention to support local industries, increase domestic production and make locally manufactured products more competitive. However, it argued that industrial support should not come at the expense of public health, particularly when the products receiving tax relief may contain substantial quantities of sugar. The organisation said fruit juices should not automatically be considered healthier than other sugar-sweetened beverages, as their nutritional composition varies according to their ingredients and processing. Some products may contain significant amounts of free sugars, including sugars concentrated during production, it said. According to VAST Ghana, excessive…