Due to the operational efficiency of Tema Port, shipping lines prefer calling at the port in comparison to others in the sub-region, the Director-General (DG) of Ghana Ports and Harbours Authority (GPHA), Michael Luguje, has revealed.
According to him, developments in Ghana’s ports have positioned the country at a competitive advantage within the sub-regional shipping subsector, and more efforts are being made to position it to become the go-to port in West Africa.
“If you check with shipping lines, they will tell you about freight rates paid by our importers; the argument is that coming into Ghana is cheaper than a couple of our neighbouring countries which do not have the kind of facility we have,” he disclosed in the Eye on Port programme.
Citing Nigeria as an example where there is a lot of congestion at Lagos Port, he said the minimum time vessels have to wait before they gain access into the port is 3-4 days. “Meanwhile, at Tema as soon as you arrive you berth straight. So, there is a congestion surcharge whereby importers pay extra when using Lagos Port.”
Mr. Luguje, who is President of the Ports Management Association of West and Central Africa, also revealed that the introduction of trade facilitation interventions like the single window and paperless ports system has positioned Ghana as one of the three most-efficient ports on the African continent, with many countries aspiring to replicate this feat.
“If you take out Morocco and Mauritius, in terms of ease and quick clearance of goods, Ghana comes next,” he stated.
The GPHA boss said Ghana’s ports are well-positioned to serve as leading trade and logistics hubs in the sub-region, and he is excited about the African Continental Free Trade Area’s implementation.
Tema Port is largest in West and Central Africa – PMAWCA
The Ports Management Association of West and Central Africa (PMAWCA) has ranked Tema Port as currently the biggest in terms of capacity for all ports in West and Central Africa with the completion of phase-1 of the MPS Terminal 3.
“We have the biggest container terminal within West and Central Africa. If you look at single terminal volumes that are handled, we were able to do 1 million TEUs at the close of 2018 and 2019. Barring COVID-19, our target was to cross the 1 million mark,” President of PMAWCA and Director General of the Ghana Ports and Habours Authority, Michael Luguje, said in the Eye on Port programme.
According to him, this is being complemented by ongoing expansion of Takoradi Port which includes upgrading the dry bulk jetty with conveyor systems; construction of the multipurpose Atlantic Terminal; the completed liquid bulk terminal; and the pending oil and gas services terminal.
“The Liquid Bulk Terminal has the capacity to serve the whole liquid bulk industry for many years to come,” he said.
Mr. Luguje added: “The fourth phase of development in Takoradi is the oil and gas services hub, which will be a concentration of everything the offshore oil industry needs”.
The Director General of Ghana Ports and Harbours Authority also revealed that these are further boosted by the initiative to construct the Mpakadan Inland Port and Boankra Integrated Logistics Terminal, which will begin soon.
“Mpakadan is going to be linked by rail to Tema Port. So, once Mpakadan is able to demonstrate the economic advantage of picking the container from rail and putting it on a barge via the lake to the North and continuing by river to its destination, naturally it will generate volumes,” he opined.
He also touched on the Keta Port that is going to be the third major seaport in Ghana, and revealed that feasibility studies currently ongoing will be completed by end of first quarter 2021.
The DG of GPHA also revealed that revamping the Tema Shipyard has not been neglected, and that investors interested in developing the facility were inhibited from coming to Ghana to assess facility earlier in the year due to COVID-19.
He said the masterplan of Ghana Ports and Harbours Authority gives room for the development of a cruise terminal at both the Takoradi and Tema Ports; therefore, the Port Authority will pursue such developments with the private sector when opportunity presents itself in the future.
Mr. Luguje said with these port infrastructure developments, coupled with the development of intermodal transport linkages such as rail and inland water transports, Ghana will surely position itself as one of the best destinations for intra-African trade – especially as the novel Free Trade Agreement presents a 3-trillion-dollar economy for the taking.
GPHA DG impressed with multimodal transport networks move
The Director-General of Ghana Ports and Harbours Authority, Michael Lujuge, has applauded efforts being made by government to expedite processes leading up to actualising efficient multimodal linkages that will complement the ongoing massive developments in the nation’s port infrastructure.
Speaking with Eye on Port about the status of Ghana’s ports and their readiness for the African Continental Free Trade Area (AfCFTA), the DG of GPHA indicated that the success of every country’s port system is not only seen in availability of world-class port infrastructure, but also the overall efficiency of its hinterland transport systems.
“Trade feeds on distance, time and cost. Connectivity is key. That is why the ideal situation is for you to have multimodal transport. That way, the trader is able to choose from these options the one that best suits him or her in terms of time and money,” he expressed.
He said it is now more needed than ever for Ghana to step-up efforts in developing its rail networks, and also develop its inland water transport systems to open-up opportunities for increased trade as Ghana intends to lead the way in intra-continental trade.
Mr. Luguje explained that with a well-oiled rail system in Ghana, the time and cost of carting goods through the hinterlands will be significantly reduced – as well as traffic congestion on the country’s road networks, which would make the cost of doing business cheaper for importers and exporters.
He cited the Tema Motorway interchange project that has seen phase-1 completed and whereby goods moving to and from the port are going at a speedy rate, which has relieved economic operators.
Mr. Luguje said Ghana’s ports are well-positioned to serve as leading trade and logistics hubs in the sub-region, and he is excited by the African Continental Free Trade Area’s implementation.
He revealed that with completing phase-1 of the Terminal 3, Tema Port is currently the biggest in terms of capacity among all ports in West and Central Africa.
“We have the biggest container terminal within West and Central Africa. If you look at single terminal volumes that are handled, we were able to do 1 million TEUs at the close of 2018 and 2019. Barring COVID-19, our target was to cross the 1 million mark,” the DG asserted.
He said this is being complemented by ongoing expansion of the Takoradi Port which includes the upgrading of the dry bulk jetty with conveyor systems, construction of the multipurpose Atlantic Terminal, the completed liquid bulk terminal, and the pending oil and gas services terminal.
“The Liquid Bulk Terminal has the capacity to serve the whole liquid bulk industry for many years to come,” he said.
The Director-General of the Ghana Ports and Harbours Authority, also revealed that these are further boosted by the initiative to construct the Mpakadan Inland Port and Boankra Integrated Logistics Terminal, which will begin soon. FIN