Ghana: AGI urges stronger policies to leverage local industry potential and promote fair trade

By InstinctBusiness Aug 15, 20240

Seth Twum-Akwaboah, CEO of the Association of Ghana Industries (AGI), has voiced concerns over the underutilization of local production capacities and is advocating for stronger enforcement of trade policies to level the playing field for domestic manufacturers.

In an interview, Mr. Twum-Akwaboah pointed out that while Ghana has the capacity to produce items like cables, diapers, and oils, the country still relies heavily on imports for these products.

He underscored the need for more effective measures to enhance local production, which is vital for job creation and economic growth.

“We have adequate installed capacity to produce several products locally, and in many cases we even have excess capacity. Yet we continue to import these products, which undermines our local industries.

“Our concern as AGI is how to address this situation, because producing locally allows us to expand our economy and create jobs,” he told media during an AGI engagement with finance minister Dr. Mohammed Amin Adam.

The AGI CEO pointed out that while the country has some good policies in place, the challenge lies in their enforcement; hence calling for a stronger surveillance system and establishment of a task force to ensure compliance with trade regulations.

“If we can create a level playing field, our companies can compete effectively despite the macroeconomic challenges they face – such as high capital costs, inflation and energy prices,” he noted.

He further underscored the importance of collaboration between industry players and government to develop policies that support local production and economic growth. He emphasised that fairness in trade is crucial for the survival and development of local industries.

“We are not asking for outright bans on imports; we want fairness in trade. If there’s fairness in trade, and if we work on reducing production costs, our industries will be able to compete effectively,” Mr. Twum-Akwaboah stated.