As part of effort to enhance its regulatory capabilities and address ongoing challenges within Ghana’s maritime industry, the Ghana Shippers’ Authority (GSA) embarked on a study tour of the Federal Maritime Commission (FMC) in Washington, D.C.
The delegation made up of the Chief Executive Officer of the GSA, Mr. Kwesi Baffour Sarpong, and Head of Business Development and Commercial Services, Mr. Fred Asiedu-Dartey, engaged with key FMC officials, including Chairman Daniel Maffei and General Counsel Chris Hughey. The discussions provided the GSA with valuable insights into the FMC’s regulatory framework, which is rooted in the Shipping Act of 1984 and the Ocean Shipping Reform Act of 2022.
Chairman Maffei outlined the FMC’s structure and role in regulating ocean transportation, highlighting its independence and commitment to fair competition. The FMC’s “incentive principle” for demurrage and detention fees was particularly noted for its focus on promoting efficient cargo movement rather than generating revenue.
Mr. Sarpong shared the GSA’s challenges, emphasizing the need to streamline and regulate Ghana’s shipping sector to maintain the country’s leading position in regional trade, especially given its hosting of the African Continental Free Trade Area (AfCFTA) Secretariat. The study tour underscored the necessity for Ghana to adopt flexible statutory language, similar to the FMC, and to establish a robust registration and licensing regime to ensure compliance and protect shippers’ interests.
The FMC advised the GSA on the importance of aligning with international standards, ensuring regulatory independence, and adopting best practices from global markets. The FMC’s experience with antitrust immunity, streamlined rate filing, and expanded enforcement powers were highlighted as key areas from which the GSA could draw lessons.
The GSA is now poised to incorporate these insights into its regulatory framework, aiming to foster a more predictable, transparent, and efficient maritime industry in Ghana. The GSA plans to prioritize the recruitment and training of staff, invest in port infrastructure, and collaborate with international partners to achieve these objectives.
This study tour marks a significant step in the GSA’s revisioning agenda, setting the stage for transformative changes that will enhance the competitiveness and transparency of Ghana’s shipping and logistics industry, contributing to the sustainable development of the country’s economy.
