Ghana’s export sector could gain a competitive edge on the global market following a sharp slowdown in producer price inflation (PPI), which fell to 18.6% in July 2025, down from 24.2% in June, according to new data from the Ghana Statistical Service.
The disinflation was driven largely by easing costs in mining and quarrying, where PPI fell from 25.8% to 17.2%, and in manufacturing, which moderated to 20.1%. Together, these two sectors account for over 90% of Ghana’s exports. Analysts say the trend could make Ghanaian goods, especially gold, processed cocoa, and aluminum products, more price-competitive in international markets.
Lower input costs in mining and manufacturing suggest exporters may be able to offer goods at more competitive prices, particularly at a time when Ghana is seeking to expand its trade footprint under the African Continental Free Trade Area (AfCFTA).
The moderation in producer prices aligns with recent macroeconomic gains, including a stabilizing cedi and falling consumer inflation, which President John Mahama has cited as signs of Ghana’s economic rebound. Together, these factors may encourage exporters to scale up production while attracting new investment into value-added industries.
Despite the slowdown, utilities inflation remained unchanged at 10.4%, representing persistent cost pressures for energy-intensive industries. Manufacturers in steel, cement, and food processing could see smaller benefits compared to exporters in gold mining and cocoa processing.
The Bank of Ghana may also view the easing PPI as a positive indicator for inflationary pressures in the economy, potentially shaping its monetary policy decisions in the months ahead.
If sustained, the declining PPI could strengthen Ghana’s position as a regional export hub, particularly under AfCFTA’s duty-free framework, which opens a 1.4 billion–person continental market to Ghanaian producers.
