Ghana must adopt a deliberate export-led economic strategy and provide targeted incentives to local industries if it is to maximise the benefits of the African Continental Free Trade Area (AfCFTA), the Sustainability Manager at Miniplast Ltd, Dr Paa Kwesi Eduaful Abaidoo, has said.
He argued that the country’s ability to compete effectively in the African market would depend on a sustained policy commitment to expanding domestic production, strengthening local businesses and increasing exports.
Dr Abaidoo said Ghana could not fully exploit the opportunities offered by the continental free trade agreement if its economy remained heavily dependent on imports rather than the production of goods for export.
Speaking on the Citi Breakfast Show on Wednesday, October 21, he stressed the need for a comprehensive policy framework to guide government decisions and create incentives for businesses to expand their production capacity and target markets across Africa.
According to him, a clear national strategy to reduce imports and increase exports would enable the government, financial institutions, local industries and the AfCFTA Secretariat to coordinate their efforts towards a common economic objective.
He explained that such a framework would help businesses move beyond producing primarily for the domestic market and encourage them to develop the capacity to serve consumers across the continent.
Policy direction and incentives needed
Dr Abaidoo emphasised that the success of Ghana’s participation in the AfCFTA would require more than the removal of trade barriers, arguing that local businesses needed deliberate government support to take advantage of the expanded continental market.
He said policies should be designed to encourage industries to increase production, improve their competitiveness and explore export opportunities rather than concentrate mainly on meeting domestic demand.
“The whole thing is about having a long-term framework where we are turning from an import-dependent economy to an export-driven economy,” he said.
He added that a clearly defined policy direction would provide the foundation for introducing structural incentives to encourage businesses to align their production and investment decisions with the country’s broader economic ambitions.
Dr Abaidoo noted that when government establishes a clear objective to increase exports relative to imports, the necessary financial and policy measures must follow to achieve that goal.
He maintained that businesses would be better positioned to make long-term investment decisions if they understood the government’s economic priorities and the incentives available to support their expansion.
Coordinated approach to continental trade
The Miniplast sustainability manager further called for closer coordination among government agencies, financial institutions, local industries and the AfCFTA Secretariat to ensure that the country’s trade ambitions translate into tangible economic gains.
He said a national commitment to reducing import dependence by a defined volume or percentage would require coordinated interventions across the financial and policy sectors.
“When the government policy and intention is clear to reduce importation by a certain volume or percentage, it will simply mean that forces will have to pull together from both the financial side and the policy side and even the AfCFTA Secretariat and all that,” he stated.
Dr Abaidoo’s proposal centres on positioning Ghanaian businesses to become stronger suppliers of goods to other African countries, rather than allowing the country to remain primarily a destination for imported products.
His comments highlight the importance of aligning domestic industrial development with the opportunities presented by the AfCFTA, which seeks to expand trade among African countries.
He maintained that a sustained policy framework, backed by practical incentives and coordinated implementation, would be essential to helping Ghanaian industries increase production, access new markets and contribute to a more export-oriented economy.
