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Home›Africa›Ghana, UK reach agreement on duty free trade

Ghana, UK reach agreement on duty free trade

By alternativeafrica
January 2, 2021
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London, Jan. 2, 2020 (AltAfrica)-Ghana and the United Kingdom have reached a consensus on the main elements of a new trade agreement.

Alan Kojo Kyerematen, Ghana’s Minister of Trade and Industry announced the free trade agreement with the UK

This consensus was reached after Alan Kyerematen, Ghana’s Minister of Trade and Industry and the Rt Hon Liz Truss MP, UK Secretary of State for International Trade met via video conference Thursday December 31.

READ ALSO: POST-BREXIT TROUBLE AS FRANCE, NETHERLANDS REINTRODUCE TRANSIT VISA FOR AFRICANS, ASIANS TRAVELLING TO UK

A statement said “Today we are pleased to announce that we have reached a consensus on the main elements of a new trade agreement.”

This provides the basis to replicate, the effects of the existing trade relationship between the UK and Ghana – a relationship which is underpinned by our strong people to people connections and has driven economic growth, created jobs, and inspired creativity and innovation in both our countries, the statement added.

“The intention is for the Agreement to provide duty free and quota free access for Ghana and the same preferential tariff reductions for British exporters as provided by the arrangement that is currently in force.”

“We intend over the next few weeks to finalise the text of the Agreement to reflect progress made in relation to rules of origin, cumulation arrangements, time bound commitments, provisions for development cooperation and commitments to human rights and good governance.”

“We re-affirm our shared ambition to further strengthen our partnership in the future and to work with the West African partners to make progress towards a regional agreement.”

On December 8, 2020, United Kingdom announced a similar agreement with Kenya

The agreement ensures all companies operating in Kenya, including British businesses, can continue to benefit from duty-free access as they export products including vegetables and flowers to their customers back in the UK.

Top goods imports to the UK from Kenya in 2019 were in coffee, tea and spices (£121 million), vegetables (£79 million) and live trees and plants, mostly flowers (£54 million). 

The UK market accounts for 43% of total exports of vegetables from Kenya as well as at least 9% of cut flowers, and this agreement will support Kenyans working in these sectors by maintaining tariff-free market access to the UK.

It also guarantees continued market access for UK exporters, who together sold £815m in goods and services to Kenya last year.

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