Editorial: Increased smuggling undermining revenue generation

A drop in container traffic through the country’s ports has again raised concern over an increasing trend of smuggling across borders.

The Food and Beverages Association of Ghana (FABAG) is disturbed that this trend is losing the nation billions of cedis each month to illicit trade.

According to Executive Chairman-FABAG Mr. John Awuni, recent data show that containers arriving through Port Tema  have dropped from an average 2,000 containers per month to about 1,000 in recent times – indicating a 50 percent reduction.

Conversely, volumes of container at Togo’s ports have increased – indicating that importers are re-routing goods through neighbouring countries and smuggling them into Ghana to avoid duties and taxes.

“Different kinds of goods are being smuggled through the Ivorian and Togo borders into the country,”  Awuni notes.

For instance, Managing Director-Coca-Cola Mr. Felix Gomis drew the attention of Ghana Revenue Authority in Aprli to overUS$700,000 – which is about 150,000 crates of Coca-Cola – being smuggled from Nigeria into Ghana per month.

Acting Commissioner-General Ghana Revenue Authority, Anthony Sarpong, has indicated that the Authority is putting in place measures to clamp down on smuggling of products from neighbouring ECOWAS countries.

The ramifications of smuggling not only disrupt the economy but also contributes to fluctuating prices, undermines local businesses and erodes public trust in regulatory systems.

Although Ghana’s Port Tema  processed about 1.67 million containers in 2024, generating an estimated US$10billion in potential Customs revenue, FABAG maintains that the country is losing “hundreds of millions of cedis every week” to smuggling.

The association revealed that intelligence from their partners in border communities and industry stakeholders have identified essential commodities such as rice, cooking oil, sugar, alcoholic beverages and textiles as being extensively smuggled into the country.

Ministry of Finance data in July 2025 corroborate this concern. It disclosed that Ghana recorded a Customs revenue deficit of GH¢1.6billion in first-half of the year.

This shortfall was attributed to under-declaration, misclassification of imports and smuggling, while a task force also revealed that the loss of goods routed through neighbouring ports is contributing to the current growing fiscal gap.

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