Stakeholders in Ghana’s and Africa’s export sector are urged to focus their efforts on adding value to their products and services to maximize revenue generation.
Officials from the Ghana Export Promotion Authority emphasize the importance of value-added products over raw materials.
Dr. Martin Akogti, Head of Research at GEPA, highlighted that out of the $3.94 billion generated from Non-Traditional Exports in 2023, $3.35 billion stemmed from the manufacturing sector, constituting 85% of Ghana’s NTEs for that year. The manufacturing sub-sector experienced an average annual growth rate of 14% in Non-Traditional Exports.
“Basically manufacturers are driving the Non- Traditional Exports. The reason is simple – when you add value to a product, the gains are higher than when you export the raw materials,” he expressed.
“If you take cocoa, chocolate alone is about a 120-billion-dollar-industry. In Ghana when we do the export of only the cocoa beans, the gains are small. But when you add value you earn more,” he added.
He cited numerous examples of other product lines, including shea, gold, oils, and more.
According to the Head of Research at GEPA, iron rods, plastic articles, and cocoa derivatives from Ghana are performing exceptionally well in the Sahel and other African countries. This success has been fueled by the operationalization of the ECOWAS Trade Liberalization Scheme (ETLS). He emphasized that the ETLS and AfCFTA offer an incredible opportunity for African traders, urging all stakeholders to seize this chance, identify market demands, industrialize, and engage in free trade.
Recognizing this opportunity, the Export Promotion Authority is committed to facilitating financial support for key manufacturers to enhance their production capacities. Dr. Akogti mentioned the Ghana Export-Import Bank (GEXIM) as a major institution that has provided assistance in this regard.
Chris Amponsah Sackey, Head of Public Relations at GEPA, joined Dr. Akogti for the latest episode of the Eye on Port TV program with Solomon Anderson.
Mr. Sackey discussed GEPA’s efforts to boost the contribution of Ghana’s Industrial Arts and Crafts Sector, which only accounted for 2.43% of non-traditional exports in 2023. Despite this, there is optimism for the industry, which is experiencing an average growth rate of 17.85%. Mr. Sackey noted improvements in the performance of ceramics and tiles.
“A lot of factories have been set up who produce tiles and when you go to Côte d’Ivoire, Burkina Faso, tiles are doing so well there in exports and that’s what is contributing to the surge in its contribution.”
He mentioned that basket-ware, paintings, textiles, and fabrics produced in Ghana are experiencing growing interest in the international market, and GEPA is committed to providing assistance to further boost their presence.
“Recently we had the Adinkra International Arts and Crafts Show, this is part of the programs being specially designed to ensure that we boost that sector. We had over 200 exhibitors displaying their products in Aburi. It was amazing and we are very optimistic that a lot of business will come out of that because we engaged international buyers who bought some samples and we believe a lot of orders will follow.”
He mentioned that GEPA is facilitating training, capacity building, and capital injection for these craftsmen to enhance their efficiencies.
An exemplary case, he stated, is the Bauxite Beads Production facility in Abompe, located in the Fanteakwa South District of the Eastern Region.
Another initiative he highlighted was “Sound Out,” an Art Exhibition aimed at promoting artists’ works to enhance their trade both locally and internationally.
“The 1-year old boy who recently got his name in the Guinness Book of Records had his artwork displayed there and it was purchased and that contributed heavily to the successes he has chalked,” he revealed.
This and many more initiatives, he said, are being undertaken by his outfit to boost the potential of the industrial arts and crafts sector.