Deputy Trade Minister, Herbert Krapa (second from right) interacting with staff at Golden Exotics Limited
Ghana, like many other African countries, is at the bottom when it comes to global trade. The situation is equally worse when it comes to intra-continental trade, thus other continents like Europe, America and Asia Trade more among themselves than how Africa trades among itself.
To this end, the Deputy Minister of Trade and Industry (MITI), Herbert Krapa has urged export businesses and other investors to take advantage of the Africa Continental Free Trade Area (AfCFTA) to vigorously increase trade (imports and exports) with other African countries.
He said this will not only create jobs in Ghana and the continent but also build adequate infrastructure and systems to strengthen intra-Africa trade routes, trade value chain and increase nontraditional exports.
The Deputy Minister made the call when he toured a-1700-hectare plantation of a leading Banana exporter, Golden Exotics Limited (GEL) at Kasunya near Asutuare in the Eastern Region.
He said although Ghana was making some foreign exchange, the trade figures of Ghana and the African continent showed that the growth potential was limitless.
For instance, in 2018, Ghana managed 15 per cent of exports and 11 per cent of imports with other African countries (Intra-Africa trade) at a value of US$2.5billion and US$1.2billion respectively.
At the continental level, total trade from Africa to the rest of the world averaged US$760million in current prices for the period 2015-2017 as against US$481billion from Oceania; US$4.1trillion from Europe; US$5.1trillion from America and US$6.8trillion from Asia, says the United Nations Conference on Trade and Development (UNCTAD).
While intra-Africa exports stood at 16.6 per cent of total exports in 2017 intra-Europe trade stood at 68.1 per cent; 59.4 per cent in Asia and 55 per cent in America. Experts say the formidable level of trade in the developed continents is evident in the seamless interconnectivity, well-developed transport and trade routes as well as the robust nature of their economies.
Lawyer Krapa said with the implementation of AfCFTA and the Trade Policy and Trade Facilitation Agenda under the Boosting Intra-Africa Trade (BIAT) the industrialization and economic transformation of Ghana and Africa is on course.
He, therefore, urged Golden Exotic to take advantage of the AfCFTA to increase the export of its final products from Ghana to other African countries from the current 19 per cent.
He assured that the government will provide a conducive business environment and necessary incentives for the company and others alike, particularly those in Agric and other non-traditional exports to create jobs for the teaming youth.
The Deputy Minister also visited a 5.9 million euros housing project under the EU-Ghana Banana Accompanying Measure (BAM) programme of which Golden Exotic is a beneficiary.
The project which is being financed by the European Union is providing 224 housing units for banana farmers as well as amenities like water, electricity, health and education facilities. Mr Krapa assured that the government will work closely with the board of the EU housing project to ensure its success.
Mr Olivier CHASSANG, an official of Golden Exotic’s mother company, Compagnie Fruitiere commended the Deputy Minister for the visit and endorsed Ghana’s democratic and economic credentials. He said that with the continuous support of the government and a conducive business environment, the company is ready to expand its operations to employ more people.
From Duodu, Ho (k.duodu@yahoo.com)