The Ghana Ports and Harbours Authority (GPHA) has urged the government to remove COVID-19 taxes and VAT levies on transit cargo to enhance Ghana’s competitiveness as a major transit hub in West Africa.
Speaking during a familiarization tour by the Minister for Transport, the Acting Director-General of GPHA, Brigadier-General Paul Seidu Tanye-Kulono emphasized that the transit market is highly competitive, with countries such as Togo and Côte d’Ivoire providing alternative routes for cargo.
He warned that Ghana risks losing business if urgent steps are not taken to ease financial burdens on transit goods.
“We believe that, since the cargo is not destined for Ghana, it would be beneficial for the government to consider removing these VAT levies to encourage more businesses and generate additional employment opportunities,” he stated.
Regional Study to Enhance Competitiveness
To better understand how rival ports operate, GPHA has deployed a joint team of Customs and GPHA officials to Lomé to study their transit system. This follows an earlier visit to Abidjan, where Ghanaian officials examined port operations and tax structures. The findings from these visits will help shape policies to make Ghana’s ports more attractive to transit traders.
Potential Economic Gains
The removal of these levies, GPHA argues, will not only increase transit traffic but also boost port revenues, create jobs, and strengthen Ghana’s position as a leading maritime hub. The Authority remains committed to working with the Ministry of Transport to modernize operations, streamline processes, and enhance the competitiveness of Ghana’s ports.
With competition heating up across West African ports, stakeholders are hopeful that the government will act swiftly to review tax policies on transit cargo to prevent the diversion of business to Lomé and Abidjan.
The Minister for Transport, Joseph Bukari Nikpe expressed government and the ministry’s determination to help GPHA improve upon its services, describing GPHA as a strategic partner in the reset agenda.