GHANA WEATHER

Parliament’s Trade Committee visits Rana Motors to tackle challenges in Ghana’s auto industry

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By Sarah Baafi

The Parliamentary Select Committee on Trade, Industry, and Tourism has visited Rana Motors’ state-of-the-art vehicle assembly plant at Amasaman to assess the operations and challenges of high-performing industrial companies and explore ways to support their growth.

Mr. Kassem M. Odaymat, Chief Operating Officer of Rana Motors and President of the Ghana Automobile Distributors Association, welcomed the Committee and expressed gratitude for their recognition of the company’s efforts. He highlighted key challenges facing the automotive assembly industry, particularly issues with policy implementation.

Mr. Odaymat noted that while new vehicle importers and assemblers comply with vehicle homologation requirements set by the Ghana Standards Authority (GSA), the policy is not fully enforced for used vehicle imports, creating an imbalance. He explained, “Used vehicles, which should be closely examined, are not being adequately inspected, creating unnecessary hurdles and slowing the industry’s growth.”

Regarding production capacity, Mr. Odaymat said, “Moving from SKD (Semi Knocked Down) to ESKD (Enhanced Semi Knocked Down) is manageable, but transitioning to CKD (Completely Knocked Down) requires significant development.”

The Chairman of the Committee, Hon. Alexander Roosevelt Hottordze, commended Rana Motors for their achievements but encouraged them to showcase more products for wider reach. He also urged compliance with laws and tax obligations, assuring, “We know where the loopholes are, and we are ready to fill them.”

He added that the Committee’s findings and recommendations would be presented on the floor of Parliament for consideration.

Rana Motors, which inaugurated West Africa’s largest vehicle assembly plant in 2023, currently has an operational capacity of 30,000 vehicles annually, with plans to increase to 70,000 units. The plant plays a key role in Ghana’s industrial transformation and automotive development policy, offering potential for export to neighboring countries.

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