Accra (Greater Accra) 29 July 2002- Ghana and Nigeria on Friday agreed to eliminate all forms of impediments to trade between them to accelerate the process of free trade. Ministers of Economic Planning and Co-operation from the two countries signed a 10-point communiqué to this effect in Accra with a commitment to encourage their governments to effect the necessary amendments to fiscal programmes for the next budget in 2003.
Dr. Paa Kwesi Nduom, Minister of Economic Planning and Regional Co-operation, signed the communiqué for Ghana while Chief (Dr) Bimbola Ogunkele, Minister of Co-operation and Integration in Africa, signed on behalf of Nigeria.
The communiqué was adopted after experts in trade from Ghana and Nigeria brainstormed for one week in a bid to fast track trade programmes under the ECOWAS Free Trade Area programme.
The initiative to adopt this approach to facilitate and increase free trade between the two countries was derived from the Fast Track Approach to trade and economic integration under the ECOWAS Free Trade Area programme adopted in Abuja, Nigeria in March 2000.
The Ministers said the meeting was called as a result of their concern over the slow implementation of the free trade area programme and were determined not only to put the programme back on fast track but also to accelerate the process of bilateral co-operation. The ECOWAS protocol on regional integration makes room for any two countries in the region to agree and implement any of the programmes adopted in Abuja.
The Ministers said in the communiqué: "To this effect, we commit ourselves to the elimination of all forms of impediments of trade between our two countries and undertake to advise and encourage our two countries to carry on necessary amendments to our fiscal regimes in our 2003 budgets".
The communiqué said Ghana and Nigeria resolved to sign a memorandum of understanding on mutual recognition of common certificate as soon as possible for the two countries to harmonise their standards. It said the two countries have also agreed to establish an institutional framework for the implementation of the Free Trade Area (FTA) on a sustainable basis.
The institution would be made up of a regional council of ministers comprising ministers responsible for the integration of FTA matters, a regional committee of officials of the ministries, departments and agencies and a technical group, which would meet on monthly, quarterly and bi-monthly basis in that order to assess progress.
The week's meeting, among other issues, considered the ECOWAS Free Trade Area, the ECOWAS Trade Liberalisation Scheme, harmonisation of tariff regimes of Ghana and Nigeria and operate a common external tariff, harmonisation of standards, infrastructure and investment promotion among the lot and resolved to take steps to implement the full protocol.
The communiqué said both countries would study the report by the ECOWAS secretariat on the adoption of a common external tariff with the view for their fiscal departments to examine similarities and differences to each other's tariff regime.
The process would enable the two countries to harmonise their tariff regimes and take a position on a common tariff. They would also set up task forces at the borders and charge them with surveillance and enforcement provisions of the protocol on free movement of persons, goods and services.
The communiqué said: "appropriate sanctions should be enforced for breach of the protocol, whilst necessary incentives and a conducive environment are provided for the operatives". Ghana and Nigeria, in the communiqué urged partner countries to support the realisation of the ECOWAS gas project and pledged to encourage and support increased private sector involvement in ECOWAS integration process.
Dr. Nduom observed that it was necessary to adopt this approach for the development of economies of the two countries due to the slow pace with which the apex body, ECOWAS, approached issues.
He said the collective performance of countries in the region, especially the seven countries including, Togo, Benin and Niger, who signed the fast track protocol in Abuja was not encouraging. Ghana and Nigeria therefore, agreed to try and find elements of the protocol that exists, test and implement them for their common good.
Dr. Ogunkele said nationals of Ghana and Nigeria had gone ahead of both governments to develop themselves through investment. He said the amount of trade that exist between the two countries was enormous but only 10 per cent of intra-trade investment has been realised.
He expressed the hope that efforts to fast track trade initiatives under the Free Trade Area programme would ensure that about 40 to 50 per cent intra-trade investments was achieved to improve the standard of living of citizens.
Both Dr. Nduom and Dr. Ogunkele noted that it was necessary for their close border francophone neighbours, especially, Togo and Benin, to support them in the bid to develop their economies.
Present at the meeting to adopt the communique were Dr. Kofi Konadu Apraku, Minister of Trade and Industry, Mrs Grace Coleman, a Deputy Minister of Finance, Mr Kwamina Bartels, Minister of Private Sector, Alhaji Mustapha Ali Idris, Deputy Minister of Foreign Affairs and Mr. Owusu Afram, Deputy Minister of the Interior.
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Kumasi (Ashanti Region) 29 July 2002-Ghanaian manufacturers and exporters have been cautioned to be mindful of how they label their products and the names they give to them before exporting them to the US market.
Mr Josh Glover-Tay, Agribusiness Advisor to Amex International Incorporated, who gave the caution, said items whose names were unusual to consumers and those whose labels did not show the ingredients used for their preparation would be detained.
He named some items exported from Ghana and which had been detained for these reasons as Cream of Palm Soup, Banku Mix Corn-flour, Zubes Elixir, Nestle Cerebel Infant Milk and others.
Mr Glover-Tay was speaking on "Understanding the US market - Opportunities, challenges, strategies for effective penetration or access by Ghanaian exporters," at a day's market development capacity-building seminar in Kumasi.
It was organised by the Ghana Export Promotion Council in collaboration with Amex International Incorporated and the Ashanti Regional Co-ordinating Council for traditional craftsmen, garment manufacturers and people in the agro industry.
The seminar was designed to sensitise them on exporting to the US market under the African Growth and Opportunity Act (AGOA) and also to clear the minds of people on misconceptions about AGOA, as well as explain strategies for exporting to the US market and the requirements of the market.
Mr Glover-Tay cautioned the participants that there were a lot of pot-holes and that the US market was a battlefield, which required market penetration and survival strategies, adding, "you either will succeed or be buried".
He said manufacturers and exporters must know what the US consumer wanted at competitive price and outlined three stages for access and sustainability into the US market, which were preparation, selling and fulfilments.
Mr David Esch, Chief of Party of Amex International Incorporated, said the problem with Ghanaian manufacturers was that they saw themselves as competitors to the US market.
He therefore advised that rather than see themselves as competitors, they should take advantage offered by AGOA and come together and export, pointing out that the US and world markets were very large for which small companies could not meet the requirements.
Mr Stephen Banahene, Zonal Officer of the Ghana Exports Promotion Council, in an address said the seminar held one of the major keys to boost exports for Ghana particularly to the US market.
He noted that extensive studies had consistently shown that export growth was linked to economic growth and that improved trade performance was closely linked to increased employment opportunities and increased earning potential for the nation.
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Kuntanase (Ashanti Region) 29 July 2002- The Ghana Export Promotion Council (GEPC) has targeted that Ghana would earn 500 million dollars in foreign exchange from the exportation of non-traditional products this year, Mr Peter Obeng, Senior Export Development Officer of the Council said on Thursday.
He said that to attain the goal, the Council had developed strategies of working with district assemblies, which had the potential of producing local crops in larger quantities for export. Mr Obeng was speaking at a farmers' forum organised by the Bosomtwe-Atwima-Kwanwoma District Assembly and the Member of Parliament (MP) for Bosomtwe, Mr Adu Gyamfi Poku at Kuntanase in Ashanti.
The forum was to enable the participants to identify export-crops suitable for production in the area and how farmers could be organised to meet this objective.
Mr Obeng said currently, the Council was working with five districts assemblies: Offinso, Bongo, South Tong, Ketu North and Juabiso-Bia to produce yams, cashew, black pepper, birds eye pepper, Kente, fish and handicraft among other things.
He said export development committees were formed in these districts to ensure smooth implementation of the GEPC programme and the marketing of the products to exporters. Mr Obeng said the Council was exploring for new traditional products that could be exported and increase the production of existing ones to meet external demands.
The Council had also embarked on marketing development activities to open up the market for Ghanaian products. The farmers identified pepper especially the birds' eye type, as a major crop in the area and said they would form co-operative unions to enable them to cultivate it in larger quantities.
The MP observed that the time had come for the country to shift its attention to the production of non-traditional crops since foreign exchange earnings from the traditional exports kept dwindling every year.
Mr Poku said the programme would open up the district and create employment for the youth thereby improving the living conditions of the people in the area. He advised the people to embrace the programme and appealed to the chiefs to release land for the project.
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