GUTA says Chinese-owned malls now take 60% of Ghana's retail market
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The Ghana Union of Traders' Associations says Chinese-owned shopping malls are capturing an estimated 60 per cent of retail trade and wants authorities to examine their operations.
The Ghana Union of Traders' Associations (GUTA) has raised concerns over the rapid expansion of Chinese-owned shopping malls in Ghana, claiming they now account for an estimated 60 per cent of the retail market and are putting pressure on Ghanaian traders.
GUTA president Clement Boateng said the malls, including those operating inside established trading centres, are creating a difficult environment for domestic businesses. He spoke on Joy News' PM Express programme on Thursday, 5 November.
Boateng said the wider business environment had shown signs of improvement, with key macroeconomic indicators pointing in a positive direction, but argued that the growth of the malls was undercutting local operators. "These Chinese shopping malls are springing up, and these shopping malls are taking about 60 per cent of our market share, and we think it is having a very negative impact as far as local businesses are concerned," he said.
He also flagged the repatriation of profits earned by the malls, arguing that stronger local businesses would keep more of the earnings from commercial activity in Ghana. "These Chinese malls will repatriate their profits away. But if businesses, local businesses are doing well, definitely all the monies will remain here," he said.
GUTA is calling on the authorities to investigate the trend, although Boateng did not set out specific regulatory measures he wants the government to introduce. The concerns add to the association's broader complaints about competitive pressure on local traders as foreign-owned retail outlets expand in Ghana's shopping-centre market.