In the wake of the United States imposing a 10% tariff on Ghanaian exports, the Minority in Parliament has called on the government to shift its focus towards the African Continental Free Trade Area (AfCFTA) as a strategic response to mitigate the impact on Ghana’s economy.
The new tariff, announced by US President Donald Trump on April 2, is part of a wider set of trade measures targeting several global economies, including China and EU member states. Ghana’s inclusion in this list has raised alarms about its growing vulnerability to the US market, particularly concerning key exports like textiles and cocoa.
In response, the Minority issued a statement through Michael Okyere Baafi, Ranking Member on the Committee on Trade, Industry, and Tourism. The statement emphasized the importance of accelerating the implementation of AfCFTA to reduce Ghana’s dependence on Western trade partners and expand intra-African trade.
“To protect Ghana’s economic interests, the government must fast-track the implementation of AfCFTA, which will open new avenues for trade within Africa,” Baafi said. “Expanding our exports to other African countries will help cushion the blow of these punitive tariffs and diversify our markets.”
The Minority also called for urgent support for exporters impacted by the tariff. They recommended introducing targeted programs, including financial aid, market intelligence, and specialized training, to help businesses navigate the evolving trade landscape.
Additionally, the Minority proposed intensifying diplomatic efforts to secure alternative trade agreements and safeguard Ghana’s interests. Specifically, they called for renewed efforts to extend or replace the African Growth and Opportunity Act (AGOA), which has provided preferential trade access to the US for several African countries, including Ghana.
In sum, the Minority’s call for the government to prioritize AfCFTA is a move to safeguard Ghana’s economic future, ensure a more resilient export market, and reduce over-reliance on the volatile US trade environment.
