Ghana exporters warn lengthy approvals could cost Ghana China market opportunity
Ghanaian exporters say lengthy registration and certification processes could prevent local businesses from cashing in on China’s newly expanded market access, and are demanding a one-month deadline for approvals.
Ghanaian exporters have warned that the country's opportunity to expand sales in China could be undermined by lengthy product registration and certification procedures involving multiple government agencies.
The Importers and Exporters Association of Ghana is calling for businesses seeking to export to be able to complete the required registration, certification and approval processes within one month.
The association says access to China's market will mean little if Ghanaian businesses remain burdened by administrative delays and have to move from one government office to another before their products can be exported.
Its Executive Secretary, Sampson Asaki Awingobit, said government should urgently introduce a single digital platform through which exporters can submit one application and have all relevant agencies process their requirements simultaneously.
“Going to government agencies to do registration of a product should not take you more than one month. We should not be moving from one office to another office,” he said.
Mr Awingobit was speaking on the sidelines of a High-Level Ghana-China Zero Tariff Policy Roundtable.
Market opportunity
The association says China's decision to grant Ghana 100% market access presents a major opportunity for local businesses to increase exports and diversify the country's sources of foreign exchange.
But it says Ghana must remove domestic barriers that could prevent businesses from taking advantage of that opportunity.
Depending on the product, an exporter may have to deal with institutions including the Ghana Export Promotion Authority (GEPA), Food and Drugs Authority (FDA), Ghana Standards Authority and Plant Quarantine Division.
The association argues that requiring businesses to navigate each institution separately creates unnecessary delays.
Under its proposed system, an exporter would submit one application through a central platform. The relevant government agencies would then process the necessary approvals, certificates and permits concurrently, with the completed documentation returned to the business through the same system.
Mr Awingobit cited Nigeria as an example of a country where such a single-platform approach has been adopted.
He said Ghanaian businesses need a similar system if the country is to turn access to China's huge consumer market into actual exports.
“The market is there. It’s not that the market is not there. The population is there. They really need products from us. But registration, approval, certification, moving from one office to another, it doesn’t motivate,” he said.
Financing remains a challenge
The association says regulatory bureaucracy is only one of the problems facing prospective exporters.
Mr Awingobit also highlighted access to finance, particularly for young entrepreneurs who want to develop products for export.
He called on banks to develop financing arrangements that recognise the potential of export-oriented businesses and reduce the risks associated with new export ventures.
One proposal is for banks to work with exporters and their overseas buyers to reduce financing risks.
He also urged the government to introduce targeted incentives to encourage more young people to enter export businesses and increase Ghana's non-traditional exports.
“We need to encourage our youth. We need to motivate our youth. We need to give them certain incentives,” he said.
From market access to actual exports
For Ghana, the challenge is no longer simply finding overseas markets, according to the association.
It says the country must ensure that local businesses have the systems, financing and regulatory support needed to enter those markets.
The call for a one-month registration limit therefore comes as part of a broader demand for government to make exporting easier for Ghanaian businesses.
The association believes reducing administrative delays could encourage more companies, particularly young businesses, to enter international trade and help Ghana diversify beyond traditional export commodities.
But the proposed one-month limit is currently a demand from the association, rather than an announced government policy. The information available does not indicate that government has formally adopted the proposal or committed to establishing the suggested single digital platform.
For exporters, the immediate concern is whether Ghana can move quickly enough to ensure that the new access to China translates into products leaving Ghana for Chinese consumers.
As Mr Awingobit put it, the opportunity exists but businesses need a system that allows them to reach it.