Producing beer is cheaper than sachet water in Ghana

Producing beer is cheaper than sachet water in Ghana

The National Association of Sachet and Packaged Water Producers (NASPWP) has revealed that it is cheaper to produce alcohol than to produce water.

According to the association the recent tariff increase in water  has made the production and operation of the bottled water business more expensive; this they believe will lead to alcohol consumption more than water.

NASPWP at a press conference to announce new prices for their products said, “while they are being charged GH¢51 for the production of bottled water, beer producers are being charged GH¢10”, adding the profitability of both sectors are at huge variance to the advantage of alcohol producers.

The packaged water producers explained that the cost of operation for  sachet water has been increased by 195 per cent moving from Gh¢3.8 to Gh¢11.21 while bottled water has also been increased by 400 percent moving from Gh¢10.07 to Gh¢50.76.

READ ALSO: Government to revise position on high taxes and utility tariffs

This latest development has led to an increase in the price of sachet water from 20 pesewas to 30, effeve February 1, 2016.

The Public Utility and Regulatory Commission (PURC) in December last year increased electricity and water tariffs by 59.2% and 67.2 % respectively, while a 27 percent tax was slapped on petroleum products.

 

Related news

Ghanaians are tensely awaiting Charlotte Osei to declare results as many believe Nana Addo has won

Ghanaians are tensely awaiting Charlotte Osei to declare results as many believe Nana Addo has won

Ghanaians are tensely awaiting Charlotte Osei to declare results as many believe Nana Addo has won