The Sekondi-Takoradi Zonal Association of Sachet Water Producers has agreed to sell a bag at GH¢8 instead of the announced GH¢10.
The Association says the measure is to ensure that there is no buyer apathy but that their customers are able to continue to purchase in high volumes.
The decision was arrived at after a crunch meeting on Tuesday, November 1 ahead of the implementation of the new price of GH¢10.
The producers of Sachet Water on Monday closed down their factories as they prepare for new prices.
The new price of GH¢10 a bag, as announced by the National Association, is to take effect November 1.
But the Association was skeptical about any increase as according to members, any overpricing could lead to their customers not being able to purchase in high volumes.
“We have agreed to sell the product at GH¢8 within Sekondi-Takoradi and its environs. We took so many things into consideration as we are all aware that things are hard for all of us. At this time if you ask the ordinary Ghanaian to buy a bag of sachet water at GH¢10, we think that will be too much to bear.
“So, at the meeting, we asked our accountants to do the maths and see at what level we can sell and break even without necessarily making a profit. They arrived at GH¢8. At this particular moment, we don’t want to talk about profit. All that is needed is for the business to stay afloat and be sustainable,” Zonal Chairman of the Association Samuel Borlu said.
He, however, stated the GH¢8 price could change depending on how the market will react to any new changes in the price of their production materials.
“When we started this year, a kilo of the roll we use was being sold at GH¢17. But as we speak, it is now GH¢36. What we are observing is the market. If the price remains the same, then we will stay the price at GH¢8. But if it goes up, then we may be forced to sell even beyond the announced GH¢10.”
Mr. Borlu expressed confidence that there will not be any confusion on the market as all major producers in Sekondi-Takoradi have consented to sell at GH¢8.
But some sellers of sachet water in the metropolis are still not convinced that the agreed selling price will be helpful considering other costs they have to incur to enable them to sell the water refrigerated.
“Because of the prepaid cost, selling has not been easy. Due to the high cost of prepaid, we are not able to keep the freezer on for a long time to refrigerate the water well. So, if the price remains at GH¢6, it will help us sell at GHp30. But if it is increased to GH¢8, it will be a challenge, especially for us who do not have a freezer but buy from outside. We then will have to buy the refrigerated product at either GH¢10 or GH¢11. That means we have to sell at GHp50. Even with the GHp40, people are struggling to buy.”