AGI Urges Shift to Non-Traditional Exports to Shield Ghana from Global Market Volatility

Kofi Nsiah-Poku, President of the Association of Ghana Industries (AGI), has issued a strong call to the Ghanaian government to accelerate export diversification strategies. This move is aimed at insulating the national economy from global price shocks and fostering sustainable industrial growth. Currently, Ghana relies heavily on three primary commodities—gold, crude oil, and cocoa—which together constitute approximately 80% of the country's total export earnings. This heavy concentration makes the national economy exceptionally vulnerable to the inherent fluctuations of the international market, necessitating a broader trade portfolio to ensure long-term stability. To mitigate this vulnerability, the AGI proposes a significant shift toward non-traditional exports. Specifically, Nsiah-Poku highlighted the immense potential of sectors such as cashew, coconut, and natural rubber. A critical component of this strategy involves shifting away from the export of raw materials toward local value addition. By processing commodities like cocoa and cashew within Ghana, the nation can significantly increase its revenue margins and create much-needed employment opportunities for the youth, effectively turning raw resources into finished industrial goods. Beyond boosting exports, the AGI President advocated for strategic import restrictions and policy reforms to protect local industries and stabilize the national currency. He suggested that products Ghana is capable of manufacturing domestically, such as fruit juices, should face import limits to encourage local production. Furthermore, adjusting policies on rice imports was identified as a vital step to conserve foreign exchange reserves and support local agriculture, which would ultimately help strengthen the cedi against major international currencies. The AGI reaffirmed its commitment to partnering with the government to drive the industrialization agenda. By focusing on manufacturing and value-added exports, Ghana can build a more resilient economic framework that is less susceptible to the volatility of international commodity markets. These reforms are seen as essential for long-term economic stability and the creation of a robust industrial base that supports the next generation of Ghanaian entrepreneurs and workers.