AfCFTA warns Digital Trade growth is undermining Ghana’s manufacturing

31st January 2026

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An international trade consultant, Louis Yaw Afful, has warned that the rapid growth of digital and e-commerce trade in Ghana is increasingly undermining the country’s manufacturing sector and weakening its export competitiveness under the African Continental Free Trade Area (AfCFTA).

Mr Afful, who also serves as an AfCFTA and Investment Promotion Consultant, said that while digital platforms have expanded market access and consumer choice, they have also facilitated a heavy influx of imported goods. According to him, nearly 70 per cent of products traded online in Ghana are sourced from outside the African continent, particularly from Asia.

Speaking at a Ghana Ports and Harbours Authority (GPHA) media forum on the theme “Investment Outlook in Ghana under AfCFTA”, he explained that the availability of cheap foreign products through digital channels is gradually displacing locally manufactured goods, including items for which Ghana has sufficient raw materials.

He cautioned that the continued erosion of domestic manufacturing capacity could significantly weaken Ghana’s ability to compete effectively under the AfCFTA framework and pose risks to the country’s foreign exchange stability.

To address the situation, Mr Afful called for the implementation of stronger import-substitution policies, improved enforcement of digital taxation, and targeted support for local producers to protect Ghana’s industrial base.

Commenting on Ghana’s current performance under the AfCFTA, he observed that the country is importing more within the bloc than it is exporting—an imbalance he described as troubling.

He pointed to trade data indicating that Ghana accounts for over 40 per cent of imports within the AfCFTA’s preferential trading system, while its share of exports remains comparatively low.

“If you examine the AfCFTA trade figures, Ghana is largely on the receiving end, with other countries exporting more into our market. For instance, South Africa accounts for about 50 per cent on the export side,” he noted.