NTE dips 2.87% in 2024

By Ernest Bako WUBONTO

Non-Traditional Exports (NTEs) Statistics Report 2024 indicate a 2.87 percent drop in the sector’s export value compared to the previous year’s figure.

The report highlighted that NTEs earnings amounted to US$3.83 billion, representing a 2.87 percent dip from 2023’s performance of US$3.94 billion.

However, products from the country reached about 152 countries across 609 product lines, and involved over 1,500 exporting firms, a significant increase in reach.

The marginal dip is primarily linked to reduced exports in iron and steel products such as circles, rods, sheets and billets to the ECOWAS region due to challenges in Burkina Faso, as well as election year uncertainties, which recur every four years.

Nonetheless, NTEs also registered encouraging gains in several other sectors. For instance, the manufacturing and semi-processed sectors remain the backbone of exports, contributing over 83 percent to total earnings.

The sub-sector in 2024 generated US$3.19 billion, a decrease from US$3.35 billion in 2023, reflecting a 4.86 percent decline.

Cocoa continued to be the star player in the sector, with cocoa paste recording significant gains, growing by 35. 54 percent.

This was driven by robust demand from Europe and North America, further highlighting Ghana’s competitive edge in value-added cocoa products.

The agricultural sector in general increased its contribution to 13.48 percent. It saw a marginal improvement from the 12.53 percent it recorded in 2023.

Agricultural export earnings grew from US$494.12 million in 2023 to US$515.42 million in 2024, reflecting a 4.31 percent increase.

Cashew nuts saw modest growth of 2.54 percent, reflecting steady demand in international markets.

The industrial arts and crafts sector also recorded significant growth of nearly 23 percent, a powerful reminder of the global appetite for Ghana’s creative and cultural exports.

Chief Executive Officer (CEO), Ghana Export Promotion Authority (GEPA), Francis Kojo Kwarteng, emphasised that, irrespective of the dip, the NTE sector has built a strong foundation for the sector to thrive going forward.

“The NTEs sector represents one of the most promising avenues for Ghana’s sustainable economic transformation. Our exporters are our heroes, and today’s report provides the data to guide our collective actions,” he said.

Touching on the reasons for his optimism about growth this year, he said: “Indications are that this year, we are doing better in the first quarter, compared to the past two years. And usually, NTE exports are higher in the last quarter of the year, therefore, the GEPA is optimistic of a better performance end of year 2025.”

NTEs Performance in AfCFTA

Ghana’s reach in the African Continental Free Trade Area (AfCFTA) market continues to see progress, but largely only in West Africa.

The report shows that Africa accounted for 45 percent of all NTEs in the year under review, with the ECOWAS region making up over 94 percent of Ghana’s exports to the AfCFTA market.

“This affirms our strategy to deepen regional trade and leverage trade protocols and regimes like the ECOWAS Trade Liberalisation Scheme and AfCFTA,” said the GEPA CEO.

Looking ahead, he stressed that GEPA remains committed to aggressively implementing the Accelerated Export Development Programme (AEDP) to expand market penetration.

It will also heighten market intelligence activities, forge new trade relationships, and work with stakeholders to boost medical tourism, structured labour export, and export offerings in the IT-enabled services space across AfCFTA.

“Additionally, we aim to partner with Ghanaian tertiary institutions to recruit and position students strategically within the African market,” he mentioned.

Deputy Minister of Trade, Industry and Agribusiness, Sampson Ahi, on his part, emphasised that Ghana’s NTEs sector’s full potential remains untapped, underscoring the relevance of opportunities for investment, growth and diversification.

He added that the sector has started to show promise, driven by value-added products like cocoa derivatives and three other crops.

He assured the exporting community of the government’s commitment to work with neighbouring countries to remove bottlenecks to intercontinental trade.

The post NTE dips 2.87% in 2024 appeared first on The Business & Financial Times.

Read Full Story