Ghana calls for fairness in trade relations
Market index opens the week stronger
Ghana calls for fairness in trade relations
Accra (Greater Accra), 10th August 99
Ghana on Monday underscored the need for fairness, equity and justice in international trade relations to justify the reforms taking place in the economy.
She also kicked against established institutions, such as the World Trade Organisation and major trade partners, creating tariff and non-tariff barriers that do not only stifle emerging economies but end up crippling them completely.
These were some of the sentiments expressed by Ghanaian participants at a roundtable discussion between members of the United Kingdom (UK) Branch of the Commonwealth Parliamentary Association (CPA), and the Ministry of Trade and Industry and its umbrella bodies.
Mr Dan Abodakpi, Deputy Minister of Trade and Industry, led the Ghanaian delegation, while Ms Diane Abbott, Labour MP in the British Parliament led the UK team.
Those present were from Ghana Export Promotion Council and Ghana Investment Promotions Centre, Private Enterprise Foundation and National Board for Small Scale Industries.
It came out during the meeting that Ghana did not have a reliable data on trade statistics and has serious problems entering the European Union market with her finished products.
For example, neither the UK nor the EU markets have Ghana's award-winning range of chocolates.
Whereas raw materials from Ghana and other African countries enter the EU market free they attract more than 200 per cent tax each time value is added.
Briefing the delegation on the current trends in the trade and industrial sectors of the economy, Mr Abodakpi noted that the UK is Ghana's largest and strongest trading partner as well as the single largest investor in the Ghanaian economy.
This makes it imperative to develop ideas that would lead to the expansion of available markets open to them.
Mr Abodakpi said Ghana has over the years undergone some painful and drastic reforms "under which we are still struggling and hope that through this partnership we can share ideas on how to progress."
"But recent developments on the international market have proved quite worrying to some of us. The continued decline in cocoa and gold price, our major exports, have proved to be more hurting than our efforts can sustain.
"Indeed the gold sales and fall in other commodity prices put our efforts in real jeopardy."
Mr Abodakpi told the delegation that reforms in the sector over the last three years, aimed at propelling Ghana into a middle income country by 2020, are underway.
He cited the gateway and free zone projects, port reforms, divestiture and the overall liberalisation of the economy as means to make the nation's dream to become a reality.
Mr Abodakpi explained that the Gateway Project has an area that looks at investor initiatives and another that looks at facilitating the free zone area for effective utilisation by investors.
"The idea is to make Ghana more accessible and convenient for the international investor."
He said Ghana is interested in the Lome IV Convention, but stressed that agreements signed should not be discarded by the big, rich countries to the detriment of the smaller ones within the ACP community.
"Like the WTO, the whole thing is now becoming like a club of rich nations, where the practice is 'you say what is on your mind, but we will do what we want'".
The energy, manufacturing, tourism, mining and the services sectors were some of the areas that attracted the UK delegation most.
Ms Abbott said they would articulate the sentiments expressed on the floor of the House of Commons.
The delegation expressed its preparedness to help in the development of Ghana's economy and democracy to facilitate increased trade.
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Market index opens the week stronger
Accra (Greater Accra), 10th August 99,
The market index on Monday opened stronger gaining 12.98 points mainly on the strength of a 115-cedi hike in the share price of Ghana Commercial Bank (GCB).
The All-Share Index of the Accra bourse closed trading up at 781.79 points from 768.81 points. It lost by nearly 25 points on Friday.
Total shares traded finished the day at 1.2 million while 1.3 million shares were on demand.
However, only shares of five equities were sold with the British-American Tobacco Company selling the majority of 1,206,500.
It was followed by GCB with 63,300 shares and Guinness Ghana Limited (GGL) with 8,500 shares. There was also trading in Home Finance Company Limited (HFC) and Standard Chartered Bank (SCB) shares.
Total shares traded and bids closed last weekend at 73,300 and 110,600 respectively.
Shares on offer went up slightly to 3.7 million from Friday's 3.4 million.
Market capitalisation was higher at 3,270.18 billion cedis as against 3,249.70 billion cedis.
In the broader market, there were three price changes, all gains.
GCB gained 115 cedis to begin the week at 895 cedis while GGL made five cedis to close trading at 1,015 cedis. HFC gained 15 cedis to finish trading at 750 cedis.
The following are the last prices of listed equities in cedis:
ABL 450
AGC 18,700
ALW 2,600
BAT 410
CFAO 45
EIC 1,990
FML 1,250
GBL 1,600
GCB 895 +115
GGL 1,015 +5
HFC 750 +15
MGL 220
MLC 190
MOGL 16,000
PAF 290
PZ 840
SCB 20,550
SPPC 180
SSB 1,980
UNIL 1,800
UTC-E 125
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