Enhancing Growth through Regional Agricultural Input Systems (Engrais) Project for West Africa; Tema
| Jurisdiction: | Tema | |
| Date of acession | 2024-08-23T08:39:06Z | |
| Date of availability | 2024-08-23T08:39:06Z | |
| Date of issue | 2019-08 | |
| Abstract | Although smaller than neighboring ports and focused on Ghana’s foreign trade, the port of Tema has experienced strong growth in recent years and occupies an increasingly large position in the transit of goods to and from Burkina Faso and, to a lesser extent, Mali and Niger. Disadvantaged by the language barrier, the port of Tema has long been neglected by hinterland exporters, importers, and carriers. However, as a result of the Ivorian crisis of 2011-2012, several hundred thousand tons of Burkinabe products and products destined for Burkina Faso have begun to transit through this port recently. Thus, in 2017, Burkina Faso’s fertilizer imports transiting through the port of Tema exceeded those through the port of Abidjan. Moreover, Yara, which previously based its logistics in the port of Abidjan, opened a new fertilizer import terminal and blending plant in the port of Tema in February 2019. Generally, the port of Tema has experienced a rapid growth in port traffic volume over the last decade (on average +5% per year over 10 years), with a strong acceleration over the last five years (+8.5% per year). Over the last five years, the volume of goods transiting through the port has also increased noticeably. Fertilizer imports through the port of Tema are closely linked to fertilizer subsidies of the cocoa and cereal sectors (maize and rice) since the cotton sector is not that important in Ghana. The first strength of the Tema port is its cost. According to our surveys, it is the cheapest port in the sub-region. In addition to the savings on port fees, the port of Tema’s geographical location gives it a comparative advantage over land transport to Ouagadougou and, more generally, to Central and Eastern Burkina Faso. The main weakness of the port of Tema is due to Ghana’s non-participation in the West African Economic and Monetary Union (WAEMU), which does not allow it to benefit from the stability of the franc CFA; this can lead to additional costs and exchange risks during import transit. The procedures for importing fertilizer via the port of Tema and recommendations are also provided. | |
| URL | https://hub.ifdc.org/handle/20.500.14297/3163 | |
| Language | en | |
| Title | Enhancing Growth through Regional Agricultural Input Systems (Engrais) Project for West Africa; Tema |