Make the ports investor friendly-Hammah

The Minister of Transport, Mike Hammah has expressed worry about complaints of the high cost of doing business at the country’s ports.

Although, Ghana’s cargo throughput has increased from 6.5 million metric tons in 1996 to 15 million metric tons in 2008 and dropped to 12.5million tons in 2009, indications are that throughput for 2010 could reach 16 million metric tons.

This has positive implications for national development through economic growth, leading to poverty reduction; however, there are still complaints about high costs of doing business at the ports.

Consequently, the minister has suggested that a mechanism is developed between service providers and the Ghana Shippers’ Authority for discussions on measures and charges introduced by service providers that directly or indirectly add to the cost of doing business in the country.

He thinks that this mechanism should help address the numerous concerns of shippers and service providers alike in the overall national interest.

“I wish to encourage service providers to play it fair since theirs is a symbiotic relationship, where their survival is inextricably linked to the continuing stay in business of the shipper.

“From Kantamato, through Abossey Okai, to Suame and Kejetia ,from Bawku to Tamale, they travel to Taiwan, Dubai, Guanzhou, Korea and Europe to bring imports upon which the country’s tax revenue depends and therefore nothing must be done to frustrate the efforts of shippers’ in Ghana,” he told delegates at the fifth national Shipper’s day celebration in Accra.
The Minister also expressed concern about reports on the conduct of some shippers, who connive with freight forwarders, customs officials and other operators to evade customs duties and taxes through the alteration and falsification of documentation.

These activities do not only deprive the nation of the much needed revenue for national development but also have serious implications for national security and in the long run hinder trade facilitation as deterrent measures are instituted to curb these nefarious activities’ he said.

The two-day event – themed “Trade Facilitation” - A Catalyst For Rapid Economic Growth could not have been more appropriate, taking into account the critical role of trade facilitation in the economic development of the nation.

Ghana has witnessed a steady improvement in its ports infrastructure, with particular reference to quay extensions, new container terminals and acquisition of equipment, especially at the Tema port. Plans are underway to re-develop the Tarkoradi port, especially on account of the activities that will take place following the discovery and exploitation of oil and gas resources in the Western Region.

In a related development, Ms Hannah Tetteh, Minister of Trade and Industry, announced that the Ghana Community Network System (GCNet) had been authorised to deploy the valuation module of the Ghana Customs Management System, which started in June this year to assist Customs Excise and Preventive Service (CEPS) to validate valuation opinion provided by the Destination Inspection Companies.

"This has become necessary due to concerns being raised about revenue loss to government as a result of malpractices in the valuation of imports," she said.

Ms Tetteh expressed the hope that the migration from manual import declaration to electronic import declaration when completed would reduce some of the delays associated with the clearing process.

She urged the clearing and forwarding agents, as well as self-declarants, to ensure they became familiar with the electronic system so that when the Ghana Ports and Harbours Authority (GPHA) port electronic data transfer system and the Ministries, Department and Agencies, whose activities impacted on the import system, became fully integrated with the GCNet system, shippers could reap the full benefit of the electronic system.

Ms Tetteh said the country's economy thrived on the trading activities of Ghanaian merchants adding that any malfeasance within the operations of the trading system would undermine the economy.

"It is in light of this that CEPS has to adopt the World Customs Organisation's Unique Consignment Reference System to facilitate legitimate international trade while at the same time strengthening effective audit based controls," she said.

She was hopeful that the 'binding together of data' concerning international trade transaction from the initial order and consignment of goods by the supplier, to the movement of goods and the arrival at the border, through to the final delivery to the importer, would enhance data exchange between trade organisations.

The Chief Executive Officer of Ghana Shippers’ Authority, Kofi Mbiah, disclosed that his outfit had completed the construction of an administrative block for the Boankra Inland Port project and had extended electricity, telecommunication and water facilities to the site.

He said the authority was in the process of establishing logistics platform in Takoradi, through a public private partnership, to service the oil and gas industry.

"The Authority would soon introduce in Ghana the Electronic Cargo Tracking Note, which is expected to track the movement of cargoes from origin to destination," he said.

Source B&FT