An International Trade Consultant, Mr Louis Yaw Afful, has warned that the rapid expansion of digital and e-commerce trade in Ghana could undermine local manufacturing and weaken Africa’s export competitiveness under the African Continental Free Trade Area (AfCFTA).
Mr Afful, who also serves as an AfCFTA and Investment Promotion Consultant, said that although digital platforms had widened market access, nearly 70 percent of products traded online in Ghana were imported from outside the continent, mainly from Asia.
Speaking at a media forum organised by the Ghana Ports and Harbours Authority (GPHA), he explained that the inflow of cheaper foreign goods through digital channels was crowding out locally manufactured products, including items for which Ghana had adequate raw material capacity.
He was speaking on the topic, “Investment Outlook in Ghana Under AfCFTA.”
Mr Afful cautioned that the erosion of domestic manufacturing capacity could weaken Ghana’s ability to compete effectively under AfCFTA and pose risks to foreign exchange stability.
He therefore called for stronger import substitution measures, stricter enforcement of digital taxation, and targeted support for local producers to safeguard Ghana’s industrial base.
Touching on Ghana’s overall AfCFTA performance, Mr Afful said the country was currently importing more goods under the agreement than it was exporting, a trend he described as worrying for Ghana’s trade balance within the bloc.
He noted that available AfCFTA trade data showed Ghana accounted for more than 40 per cent of imports under the preferential trading system, while its export contribution remained relatively low.
“If you look at the AfCFTA import and export data, we have been at the receiving end, meaning others are exporting more to Ghana. South Africa, for instance, accounts for about 50 per cent on the export side,” he said.
