Future of Ghana’s Ports looks bright despite difficult 2023 – Director General
Cargo traffic through the Ports of Ghana in 2023 was only a million-tons short of the 2022 figures despite a generally difficult local and international economic climate. Specifically, the Port of Tema in 2023 handled 18 million tons of cargo while the Port of Takoradi handled 8 million tons of cargo. Takoradi however performed better in 2023 than the previous year.
According to the Director General of the Ghana Ports and Harbours Authority, Michael Achagwe Luguje, the year was salvaged by a boost in performance in the second half of the year following a dormant first half. The GPHA boss said although growth in the second half could have been propelled by general economic factors, initiatives undertaken by the Authority in collaboration with its external stakeholders also contributed to the improved performance in the second half of 2023.
He was speaking on the industry-specific Eye on Port television program where he gave detailed insight into the performance of the Port Authority and the various projects being undertaken to improve the ports sector in Ghana.
Mr. Luguje revealed that the Authority in 2023 introduced a scheme to peg exchange rates charged on transit goods in 3-month intervals to avoid increased cost that come as a result of fluctuating exchange rates.
He said the Authority earlier in 2023 had engaged the various economic operators in Ghana as well as the shipping lines to ascertain the facts behind the slump in import figures. The various findings and perspectives he said has been presented to the economic management team of Ghana and he is confident measures will be put in place to ameliorate the rising cost of doing business in the ports of Ghana.
“When people say the port is expensive, for many it is the Ghana Ports and Harbours Authority. But the port charges are less than 10% of the total cost. A good chunk of it comes from the duties and statutory taxes and government’s attention has been drawn to it and they are looking at it to see what can be done to reduce it. Apart from that, other operators like Shipping Lines and the freight forwarders also contribute to it,” the Director General added.
Mr. Luguje however educated that cost of doing business in the logistics sector is highly correlated with efficiency of ports systems and infrastructure; that is why the Ghana Ports and Harbours Authority is vigorously pursuing measures that will augment its efficiency at its ports to make Ghana the preferred hub in the sub-region.
He disclosed that the port Authority has already began processes to develop a maritime single window system mainly to manage vessel traffic and working relationship with other key stakeholders in the clearance chain. This adds up to the existing Integrated Customs Management System (ICUMS) and paperless port clearance system which have altogether given a major facelift to port transactions.
The Director General of GPHA said, despite a difficult 2023 the Authority did not relent on its mission to retool the ports and this was evident in the gains made in that year when it comes to the acquisition of modern state of the art machinery and equipment. This includes new marine crafts, cranes, reach stackers, forklifts among others.
In 2023, the ports of Ghana saw a lot of progress made in the various infrastructural projects.
The MPS terminal 3, which the DG of GPHA termed as “the most efficient terminal facility in the sub-region” saw a fleet of 15 state of the art gantry cranes delivered at the terminal in addition to the commencement of civil works for a 270,000-square-meter area which will expand the terminal’s footprint from 100 hectares to an impressive 127 hectares. According to the GPHA boss, this investment has already translated in the direct call of the world’s biggest vessels at the Tema port.
In Takoradi, the much awaited multipurpose and container terminal operated by indigenous firm, Atlantic Terminal Services Limited and Turkish firm, Yilport Holdings has been completed.
The DG revealed that the oil and gas terminal is expected to be completed before the end of 2024.
The ultra-modern Dry Bulk Terminal at the Port of Takoradi has been fitted with modern conveyor systems and eco hoppers to augment the port’s capacity to handle increased volumes of bauxite, manganese, clinker, gypsum, limestone and other varieties of bulk cargoes significant to everyday domestic and industrial use.
The Director General of the Ghana Ports and Harbours Authority, Michael Luguje said these initiatives in Takoradi are part of the Port Authority’s masterplan to diversify the service offerings of the various ports to cater for growing demand.
The Port of Keta project which is currently in its environmental, social and impact assessment stage is one that remains a priority of the Port Authority and government.
He urged importers and exporters to continue to keep faith with the port Authority as the organization is doing all it can to make its ports the preferred choice in West and Central Africa.
