Ghana: Gateway to West Africa's export market

GHANA stands out as one of Africa's highly coveted business locations, thanks to a variety of factors, including its growing economy, legal framework to support trade and strategic geographical positioning.

Ghana has been receiving increasing attention as a trading partner for Trinidad and Tobago, and will be of particular interest to local businesses that wish to explore opportunities to expand their portfolio of exports beyond the region.

With this in mind, the Trinidad and Tobago Chamber, in collaboration with the TTMA and exporTT Ltd, is set to embark on a trade mission to Ghana from March 10-17.

The mission is aligned with the Trade and Industry Ministry's mandate to create new external market opportunities for enterprises in TT.

It is intended that the business-to-business (B2B) discussions that will be undertaken during this mission will create new distribution links within Ghana as well as neighbouring territories in West Africa.

In the interest of reciprocity, the mission will also facilitate Ghanaian business interests who may want to establish a commercial footprint in Trinidad and Tobago, specifically for local distributors seeking expanded access to raw-material suppliers as inputs to production.

In August 2023, a Ghanaian delegation visited Trinidad and Tobago to establish diplomatic and economic ties between the countries.

As part of the visiting delegation’s itinerary, the chamber met with representatives from the Ghana Investment Promotion Centre (GIPC) and the Ghana Export Promotion Authority (GEPA) to explore strategic collaboration to foster mutually beneficial relationships. After this initial exchange, the chamber facilitated a "doing business in Ghana" session in December to stimulate additional interest in the market.

The success of these preliminary undertakings, coupled with the impending trade mission, has led the chamber to take a deeper dive into the market opportunities that exist for its members who are looking for untapped markets outside the Caribbean region.

Market Overview

Ghana’s attractiveness as an export market for Trinidad and Tobago is bolstered by:

– A sound macroeconomic environment.

– Key economic, commercial and cultural similarities – both GIPC and GEPA emphasised this during and after the visit to Trinidad and Tobago.

– Export-free zones where goods traded with other countries are exempt from customs duties and some laws. Additionally, 100 per cent foreign ownership of enterprises is permitted.

– Ease of immediate access to all markets of the economic community of West African States (ECOWAS), effectively allowing Ghana to serve as a commercial gateway.

– The size and demographics of the market (as highlighted earlier).

– Availability of trained, highly skilled labour.

Ghana is at the heart of Africa’s transformative regional integration and is a great place to launch your business strategy for the African continent.

Sectors of focus

The services sector is the largest contributor to Ghana’s GDP – it constituted 49 per cent of GDP in 2021 because of growth in the education, health and ICT service industries, among others.

This is followed by the industrial sector, which contributes 30 per cent of GDP, followed by the agricultural sector at roughly 21 per cent.

Agriculture employs about 45 per cent of Ghana’s workforce, mainly consisting of small landholders.

A brief value proposition for Ghana’s key economic sectors:

ICT/fintech: Ghana focuses on enhancing digital infrastructure and leveraging technology for development.

Transport and logistics: Ghana offers access to a market of over 375 million people. Major ports like the port of Tema and port of Takoradi facilitate efficient import-export activities and serveas vital hubs for regional trade.

Professional services: Professional services offer a burgeoning opportunity thanks to the country's expanding economy and growing demand for specialised expertise in legal, financial and consulting services.

Agriculture: As one of the major sectors of the Ghanaian economy, agriculture remains a priority, including cocoa, cashew and other cash crops, alongside fisheries and livestock farming.

Manufacturing: The manufacturing sector, including food processing, textiles, pharmaceuticals and light manufacturing, is a priority for Ghana.

Beverages: Companies can tap into the Ghanaian market by exporting products and establishing partnerships with local distributors.

The collaborative efforts of the TT Chamber, TTMA and exporTT in spearheading this trade mission is a testament to the goodwill that has been established between our respective countries and the importance of opening this economic gateway to West Africa.

This article was developed by the Trade and Business Development Unit of the TT Chamber of Industry and Commerce.