Misconception about gold export: Chamber of Bullion Traders clarifies issues
The Chief Executive Officer (CEO) of the Chamber of Bullion Traders Ghana (CBTG), Mr Daniel Krampah, has denied reports about the smuggling of gold from Ghana to foreign refineries, particularly,the United Arab Emirates (UAE).
He explained that given the rigid regimes for gold exports, it would be “administratively impossible for any registered gold company to engage in gold smuggling in the country and overseas”.
Advertisement
Media reports
Recent media reports have it that gold worth $5billion exported from Ghana to the United Arab Emirates has not been accounted for and is linked to the activities of gold exporters who allegedly smuggled the commodity out of the country.
However, Mr Krampah said, the Customs regimes in both Ghana and UAE were so rigid that it was impossible to ‘beat’ the systems and carry out that unlawful act.
Explaining the regime, he said before gold was exported from the Kotoka International Airport (KIA), the exporting company had to assay the gold at the Precious Minerals Marketing Company laboratory at the airport to determine its quantity, quality and value.
He noted that an assessment certificate and other documents would be issued on the gold to be exported after the payment of the necessary taxes, fees and charges.
Certification by Customs
“The gold is certified by the Customs Division of the GRA and handed over to the airline which also certifies itself that the right documentations have been issued on the export. At the destination point, further verifications are done to determine the origin of the gold, the quantity, quality and value per the documents accompanying the gold,” he stated.
According to Mr Krampah, any discrepancies with the documentation would lead to the gold being impounded or repatriated to the country of origin.
He further explained that members of the CBTG were mindful of international rules governing the gold trade.
“Members deal with certified refineries and thus, operate according to OECD guidelines some of which require refineries to purchase minerals from only legitimate entities and no refinery will accept gold not accompanied by customs documentation from country of origin” he said.
The CEO proposed that to check any leakages in the gold export chain, the government should review the withholding tax rate on unprocessed precious minerals from three to one per cent to conform with what pertained in neighbouring countries.
Reconcile export figures
Additionally, he said, Customs could also reconcile export figures from the UNIPASS system and exchange data with importing countries periodically to ascertain actual gold exports from Ghana.
Mr Krampah announced that currently, the CBTG was in talks with the government on the reduction of the withholding tax.
