Mr Prince Akwaaba, Chief Executive Officer (CEO) of Community Agric Development Ghana (CAD Ghana), has called on the Government to subsidise raw and packaging materials to help cushion Small Scale and Medium Enterprises (SMEs).

"Taxes on raw and packaging materials have become a burden on small scale industries, it increases spontaneously without notice, it is really collapsing many small companies, making many people leave the business."

Speaking to the Ghana News Agemcy in an interview, the entrepreneur reiterated the fact that small scale industries have to buy raw and packaging materials in bulk which was not favourable because they had limited financial resources.

He said not being able to buy in bulk would as well increase the cost of materials and in turn, raise the cost of production.

Mr Akwaaba said SMEs could not convince their clients to pay extra charges on their orders irrespective of the high cost of production materials and that affect most businesses, especially the SMEs who nay end up in debt.

He said the cost of production was heightening the burden on producers because they want to keep their businesses operating.

CAD Ghana is a local cosmetic production company that produces Premier natural shear butter plus noni cream, cocoa plus noni soap, pocket-size shear butter, Travellers bag pack which contains soap, sponge and a shear buttercream, for travellers and students.

The company currently have four permanent workers and 16 casual workers who support production.