Chamber of Mines calls for VAT elimination to boost mineral exploration

The Ghana Chamber of Mines is calling for the elimination of Value Added Tax (VAT) on mineral exploration activities, arguing the current tax policy is discouraging critical investment in discovering new mineral deposits.

Speaking at the Chamber’s 97th Annual General Meeting, President Michael Edem Akafia emphasized exploration’s vital role in maintaining the mining sector’s future. “Exploration is the most important activity that guarantees continued mineral production. Its significance in developing viable projects cannot be overstated,” Mr. Akafia stated.

The Chamber warns that taxing exploration expenses threatens Ghana’s ability to replenish mineral reserves and maintain its status as a top African mining destination. Akafia noted competitor nations like South Africa and Morocco are attracting more exploration funding due to favorable tax policies, while Ghana risks falling behind.

The Ghana Chamber of Mines (GCM) is the main minerals industry association in Ghana. The Chamber is a voluntary private sector employers association representing companies and organizations engaged in the minerals and mining industry. It was founded in 1928 and has its members accounting for over 90 percent of all of the country’s mineral production