On 10th March 2010, the High Commissioner of the Republic of Ghana to Malaysia, His Excellency Mr Daniel Kwasi Abodakpi paid a courtesy visit to TEEAM. His Excellency was accompanied by Mr Muhammed Fuseini Inusah (Deputy Head of Mission) and Mr F M Brown (First Secretary/Consular).
On hand to receive the guests to TEEAM were Engr Leong Kam Seng (Vice President), Mr Ho Khai Hong (Honorary Secretary), Mr Jack Soon Lee Hock (Assistant Honorary Secretary) and Mr Charles Lee Wai Chiew (Council Member). The aim of the visit was to exchange views on possible areas of cooperation to further enhance trade and investment relations between Ghana and Malaysia.
Discussion was focused on Ghana’s business environment, free zone programme, investment climate and promotion programme, export services and its development projects. His Excellency Mr Abodakpi gave a briefing to TEEAM Officials. Ghana is located in West Africa. It is bordered on the north by Burkina Faso, on the West by Cote D’lvoire, on the East by Togo and on the south by the Gulf of Guinea.
Ghana Free Zone Programme
Ghana has a Free Zone Board which was set up by an Act of Parliament – Free Zone Act 504 (1995) to promote, facilitate, monitor and regulate investments under the free zones scheme.
The Ghana Free Zone Programme is a government supported programme which is fully driven by the private sector with the government providing the legal and policy framework and physical infrastructure. The aim of the programme is to promote the processing and manufacturing of goods in Ghana for export to West Africa and the world at large through the establishment of Export Processing Zones (EPZs) and Industrial Parks.
Focus is also placed on the development of commercial and services activities at sea and air ports in Ghana. The whole of Ghana is accessible to potential investors who have the opportunity to use the free zones as focal points to produce goods and services for foreign markets. Investors can obtain free zone status for their business either as single factory enterprises or within one of Ghana’s designated export processing zones. The programme is the perfect example of the power of partnership, combining investors’ business acumen and the technical expertise of their professional team. In setting up a successful business, local support and market knowledge are essential, as well as excellent infrastructure, ease of procedure and attractive incentives.
Investment Climate
Ghana is strategically located in West Africa. Its location coupled with the relative stability that the country has enjoyed over the past years marks Ghana a gateway for regional trade and investment into the West African sub region. The economy of Ghana has experienced a steady and positive growth as a result of policy reforms. This has led to improved macroeconomic performance and created a conducive environment for business. These reforms have been characterised by a reduction in inflation, fairly stable exchange rates, relatively low interest rates and economic growth.
Procedure for Investing in Ghana
Free zone investors do not require any minimum capital investment. However, investors must indicate their ability to fulfil the minimum 70% export requirement. New investors are required to go through the following steps to obtain a free zone licence:
- Incorporate a company in Ghana with the Registrar-General’s Department and obtain certificates of incorporation and commencement of business;
- Obtain and complete the Ghana Free Zone Board (GFZB) application form and submit together with the following documents:
- Business plan
- Copy of Certificate of incorporation
- Copy of Certificate to commence business
- Copy of Companies code
- Evidence of possession or lease of real property or intent to acquire such property
- Environmental protection agency permit
- Evidence of funding/capital transfer
- Any other relevant document;
- The GFZB will notify investors of the status of their application within 28 working days of receipt of application;
- A licence specifying authorised activity to be undertaken (ie developer, manufacturer, commercial or service industry) by applicant shall be issued to the successful applicant. The investor is required to start operations within six months of receiving approval to operate as a free zone enterprise/ developer.
Priority Sectors
The following priority sectors have been identified by the board based on the comparative advantages of the country:
- Agro-food processing
- Seafood processing
- Jewellery/handicraft production
- Textile/apparel manufacturing
- Information and communication technology (ICT)
- Metal/hand tool fabrication
- Floriculture
- Light industry/assembling plant
- Ceramic tiles manufacturing
- Pharmaceuticals
- Ethnic beauty products
Development of Export Processing Zone (EPZ)
Investors can obtain free zone status for their business either as single factory enterprises or within one of Ghana’s designated Export Processing Zones:
- Tema Export Processing Zone
- Ashanti Export Processing Zone
- Sekondi Export Processing Zone
- Shama Export Processing Zone
For more information about Ghana free trade zones, please log on to www.gfzb.com.gh or log on to the website of Ghana High Commission in Malaysia at www.ghanacomkl.org.my for detailed information on Ghana.
Thank you – (4th from left) Engr Leong Kam Seng (TEEAM Vice
President) receiving an information kit from (3rd from left) His Excellency
Mr Daniel Kwasi Abodakpi (High Commissioner of the Republic of Ghana
to Malaysia).