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Minority accuses gov’t of having no response to the current US tariff slap

April 4, 2025
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The Minority Caucus in Parliament has accused the government of failing to respond to the United States’ sudden imposition of a 10% tariff on Ghanaian exports.

Ranking Member on the Trade, Industry and Tourism Committee, Michael Okeyer Baafi, says if the country fails to take decisive action, it could be blindsided in an unfolding trade war due to poor prioritisation of the African Continental Free Trade Area (AfCFTA).

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The Member of Parliament criticised the ruling government for “having no response to the current tariff slap”.

“We have not seen a clear policy direction on exports by the NDC government. The government has played down the importance of AfCFTA in its budget and abandoned export-orientated strategies that were showing results under the NPP,” the statement read.

He was of the view that the 10% tariff recently announced by U.S. President Donald Trump can affect Ghana’s gains under the African Growth and Opportunity Act (AGOA).

AGOA offers duty-free access to over 6,700 Ghanaian products in the US market and is set to expire in September 2025 unless renewed.

The MP was worried the situation could affect some sectors, including apparel (which employs 5,000 young people), cocoa derivatives (powder and paste), and yam exports.

“This is not just a trade concern—it is a potential employment crisis in the making,” the minority said.

He added that the current government has failed to make any significant allocation towards the AfCFTA.

He stated that through the efforts of the previous government, the National AfCFTA Policy Framework and Action Plan was launched to provide assistance to local markets, including through the One District, One Factory (1D1F) initiative, boosting exports of iron rods, ceramics, and plastics across ECOWAS.

“But under the current administration, AfCFTA has received negligible budget allocation and little strategic attention,” the statement argued.

“This government has no specialised programmes to support exporters, no measures to diversify markets, and no diplomatic effort to mitigate the fallout from these tariffs.”

He has therefore made some recommendations which include:

  • Immediate prioritisation and funding of the AfCFTA Action Plan.
  • Diplomatic engagement with the U.S. to seek clarity on the tariffs and negotiate exemptions.
  • Direct support for exporters through financing, training, and market intelligence.
  • A clear, coordinated national export policy to avoid future vulnerability.

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