MOREPRESS RELEASE
PRESS/TPRB/159
28 February 2001
(01-1017)
TRADE POLICY REVIEW BODY
REVIEW OF GHANA
TPRB'S EVALUATION
The Trade Policy Review Body of the World Trade Organization (WTO) concluded its
second review of Ghana on 26 and 28 February 2001. The text of the Chairperson's concluding
remarks is attached as a summary of the salient points which emerged during the discussion.
The review enables the TPRB to conduct a collec tive examination of the full range of trade
policies and practices of each WTO member countries at regular periodic intervals to monitor
significant trends and developments which may have an impact on the global trading system.
The review is based on two reports which are prepared respectively by the WTO Secretariat
and the government under review and which cover all aspects of the country's trade policies, including
its domestic laws and regulations, the institutional framework, bilateral, regional and other
preferential agreements, the wider economic needs and the external environment. A record of thediscussion and the Chairperson's summing-up together with these two reports will be published in due
course at the complete trade policy review of Ghana and will be available from the WTO Secretariat,
Centre William Rappard, 154 rue de Lausanne, 1211 Geneva 21.PRESS/TPRB/159
Page 2
MORESince December 1989, the following reports have been completed: Argentina (1992 and 1999),
Australia (1989, 1994 and 1998), Austria (1992), Ba hrain (2000) Bangladesh (1992 and 2000), Benin
(1997), Bolivia (1993 and 1999), Botswana (1998), Brazil (1992, 1996 and 2000), Burkina Faso
(1998), Cameroon (1995), Canada (1990, 1992, 1994, 1996, 1998 and 2000), Chile (1991 and 1997),
Colombia (1990 and 1996), Costa Rica (1995), Cô te d’Ivoire (1995), Cyprus (1997), the Czech
Republic (1996), the Dominican Republic (1996), E gypt (1992 and 1999), El Salvador (1996), the
European Communities (1991, 1993, 1995, 1997 and 2000), Fiji (1997), Finland (1992), Ghana (1992
and 2001), Guinea (1999), Hong Kong (1990, 19 94 and 1998), Hungary (1991 and 1998), Iceland
(1994 and 2000), India (1993 and 1998), Indonesia (1991, 1994 and 1998), Israel (1994 and 1999),
Jamaica (1998), Japan (1990, 1992, 1995,1998 and 2000), Kenya (1993 and 2000), Korea, Rep. of
(1992, 1996 and 2000), Lesotho (1998), Macau (1994), Madagascar (2001), Malaysia (1993 and
1997), Mali (1998), Mauritius (1995), Mexico (1993 and 1997), Morocco (1989 and 1996), New
Zealand (1990 and 1996), Namibia (1998), Nicaragua (1999), Nigeria (1991 and 1998), Norway(1991, 1996 and 2000), Pakistan (1995), Papua New Gu inea (1999), Paraguay (1997), Peru (1994 and
2000), the Philippines (1993), Poland (1993), Romania (1992 and 1999), Senegal (1994), Singapore
(1992, 1996 and 2000), Slovak Republic (1995), the Solomon Islands (1998), South Africa (1993 and
1998), Sri Lanka(1995), Swaziland (1998), Sweden (1990 and 1994), Switzerland (1991, 1996 and
2000 (jointly with Liechtenstein), Tanzania (2000), Thailand (1991, 1995 and 1999), Togo (1999),Trinidad and Tobago (1998), Tunisia (1994), Turkey (1994 and 1998), the United States (1989, 1992,
1994, 1996 and 1999), Uganda (1995), Uruguay ( 1992 and 1998), Venezuela (1996), Zambia (1996)
and Zimbabwe (1994).PRESS/TPRB/159
Page 3
MORETRADE POLICY REVIEW BODY
REVIEW OF GHANA
CONCLUDING REMARKS BY THE CHAIRPERSON
Our discussions have provided an open and informative second Trade Policy Review of
Ghana at a critical time for her economy.  Members were heartened by Ghana's commitment to freer
trade and economic reform, reaffirmed by the incoming Government elected to office in December
2000.  Members acknowledged Ghana's active particip ation in the multilateral trading system and
welcomed continued efforts to open its market by refraining from using non-tariff measures and
relying on tariffs as the main instrument of trade protection.  The central role to be played by trade,
investment and the private sector in Ghana's economic restructuring and improving its international
competitiveness was widely recognized, and Ghana wa s urged to pursue further liberalization.  Ghana
was also encouraged to improve governance and strengthen its institutions.  Revitalization of theprivatization programme was also encouraged.  Members commended Ghana for having managed to
service its heavy external debt, largely without rescheduling, and despite a difficult economic
situation.
While appreciating Ghana's efforts, Members highlighted the urgent need to restore
macroeconomic stability through sound fiscal and monetary policies.  The Ghanaian delegation
referred to the incoming Government's commitments to immediately tackle the large deficits and
balance the budget by the end of 2004.  Members noted that adverse terms of trade were part of
Ghana's international trading environment and that  the most effective means of coping with such
movements was to promote economic resilience through sound economic management and
diversification.  This was essential if the Government's ambitious Vision 2020 objective of achieving
middle-income status and of making Ghana a leadin g agro-based industrial country in Africa by 2010
were to succeed.  Members sought details concerning specific measures envisaged to achieve these
objectives and the timetable for their implementation.
Members supported Ghana's principal trade policy objective of export-led growth by
broadening the economy's export base and promoting a more competitive manufacturing sector.However, some Members questioned the use of direct incentives, notably generous income tax
concessions, to encourage exports and welcomed Ghana's readiness to notify them if necessary.
Members welcomed efforts to improve customs administration to facilitate trade, such as the recent
implementation of the transaction value and termination of preshipment inspection.
While Members welcomed the Government's policy objective of reducing the average applied
MFN tariff to below 10% over the next three year s, they questioned the recent imposition of the
"special import tax" of 20% on many consumer goods.  Members sought clarification on its role in
protecting industries against unfair trading practices abroad and on proposed timing for its
elimination.  The Ghanaian delegation reaffirmed that it was a temporary measure to save foreign
exchange on "non-essential" imports and was not an anti-dumping measure.  The Government had
recently reduced the coverage of the tax from about 7% to 5% of tariff lines and intended to eliminate
it when the situation improved.
Questions were also raised regarding the low level of tariff bindings on industrial products
and the widespread use of tariff concessions and exemptions, which often lack transparency.  The
usefulness of having an independent statutory body to review economic and trade policies was also
mentioned by some participants.  Ghana's regional initiatives, including those within ECOWAS and
the African Economic Community, were also noted and discussed.  Members sought details on
Ghana's sectoral policies, especially for cocoa and manufacturing, and the Government's objectives in
the WTO agricultural and services negotiations.PRESS/TPRB/159
Page 4
Additional details were sought on a number of other issues, including:
• WTO implementation and technical assistance needs;
• government procurement and eventual participation by Ghana in the Plurilateral Agreement on
Government Procurement;
• additional customs fees, including the ECOWAS levy;
• adoption of anti-dumping, countervailing and safeguards legislation;
• protection of intellectual property and pending legislative changes;
• development policies, including greater private sector participation in the economy, poverty
reduction and coherence between trade and developmental policies;
• services deregulation, in particular in telecommunications and financial services;  and
• participation of civil society in policy formulation.
Members expressed their appreciation of the written and oral responses provided by the
Ghanaian delegation and looked forward to receiving the additional responses.
In conclusion, I feel that we have had a successful Trade Policy Review that has contributed
greatly to improved transparency and understanding by Members of Ghana's trade and othereconomic policies, in the context of its difficult economic situation and immense developmental
challenges.  Many constructive suggestions were made on how Ghana might proceed on its trade and
economic reforms.  Ghana has reiterated its strong commitment to the multilateral system and
Members have expressed assurances of help in the form of bilateral and multilateral technical
assistance.  Members also recognized that Ghana's access to the markets of developed countries wascritical for improving its economic performance.
END