After initially backtracking on an earlier signed trade deal with Ghana on December 31, 2020, the United Kingdom (UK) has now agreed on an ‘interim trade partnership agreement’ with Ghana.
According to a joint statement by the two nation’s, the “Interim Ghana-UK Trade Partnership Agreement” would replace already existing trade deals.
The new agreement completed on Thursday, February 4, 2021, is expected to provide duty-free and quota-free access for Ghanaian exporters to the UK market and preferential tariff reductions for UK exporters to the Ghanaian market.
The release said the deal would enter into effect following the completion of relevant internal procedures required in both countries.
Ghana and the United Kingdom on December 31, 2020, signed a new trade agreement that sought to provide duty-free and quota-free access for exporters of both countries.
The trade agreement was reached between Alan Kyerematen, Ghana’s Minister of Trade & Industry and the Rt Hon Liz Truss MP, UK Secretary of State for International Trade via a video conference.
But the UK in a surprise move backtracked from the duty-free and quota-free trade agreement reached with the Government of Ghana.
The UK government at the time said it went back to amend statements covering the agreement stating that, talks were still ongoing with the Ghanaian government and that the trade pact will not be in force by January 1, 2021 as expected by both countries.
Ghana’s exports to the UK totaled $415.12 million in 2019, according to the United Nations Conference on Trade and Development (UNCTAD).
Total exports of goods from Britain to Ghana on the other hand, totaled $978 million in the same year and imported $681 million of goods – mostly oil, fish, cocoa and fruit.
Reuters reports that Britain has signed “continuity” agreements with 63 other countries to safeguard terms on £885 billion ($1.21 trillion) of trade.
Read details of the joint press statement below: