Ghana Announces Removal of Taxes on Imported Timber
At an ITTO-sponsored conference in Ghana, Ghana's Vice President John Mahama announced the removal of taxes on logs and sawn timber in an effort to boost the timber industry. He explained that a slump in demand for the country's timber products, particularly mahogany and odum, had forced some of the country's lumber and veneer prices down. These facts were supported by a study on intra-African trade launched by ITTO at the conference. He encouraged African countries to work together to offset the downturn in timber markets and encourage the free flow of trade.
Ghana sees no significant change in market conditions
There have been no significant changes in price levels during the second quarter of 2013, as markets have yet to recover from the effects of the global financial crisis. Exporters, especially small to medium scale enterprises, are finding it very difficult to secure export contracts and buyers are taking advantage of the situation to close contracts at much lower prices. Lumber prices have dropped between EUR10/m3 and EUR50/m3 below the TIDD Minimum Guiding Selling Prices (GSP) depending on the species.
Notwithstanding the above, prices for tertiary timber products are encouraging. Prices of dowels, parquet flooring, lippings and mouldings in general were either at or a little above the GSP during the quarter under review but the volume of timber in contracts was very low. These products altogether contributed 2.19% of the total volume of wood products exported during the quarter. Plywood, which is mainly exported to countries within the West African sub-region, is the only product that has maintained price levels since December 2012. During the quarter under review prices were between USD5/m3 and USD20/m3 above the TIDD Minimum GSP depending on the thickness of the plywood.
Non-traditional exports surge despite global crisis In spite of the global financial crisis, non-traditional exports (NTEs) performed better in the first quarter of the year compared to the same period in 2012. Data available from the Ghana Export Promotion Council (GEPC) indicated that exports during the period amounted to USD 316.6 million, a growth of 35.5% over revenue of USD 238.9 million for the same period in 2012. Processed and semi-processed products contributed about 86% to the revenue. Cocoa paste, plastic products, cocoa butter and canned tuna were among the 10 leading products exported during the period. The EU and ECOWAS were the major destinations for NTEs, accounting for 44.6% and 35.7% of the market respectively.
In a two-day workshop to examine the negative effects of the global economic downturn on the export business community, the Executive Secretary of GEPC, Mr. Collins Boateng, said NTEs are not entirely safe from the impact of the global economic crisis. Hence, the Council was focused on improving market access for Ghana's NTEs in the West Africa region and also to boost intra-African trade particularly to South Africa, to offset reductions in exports to the EU market.
Ghana's inflation eases marginally
Ghana's inflation slowed to 20.06% in May 2013, the first time in three months, down from the April 2013 rate of 20.56%. The rate at which general prices of goods and services increased in the economy thus also reduced during that period, according to the government's Deputy Statistician, Prof. N N Nsowah-Nuamah. The reduction was largely due to the downward pressure exerted on goods and services by the non-food components of the Consumer Price Index (CPI). A reduction was expected at this time of the year, since food production picks up during this time and the National Petroleum Authority has also reduced fuel prices by 10%. Mr. Nsowah-Nuamah said although the decreasing trend of inflation could continue for sometime, the recent 30% increment in fuel prices leaves consumer behavior less predictable.
Ghana sees no significant change in market conditions
There have been no significant changes in price levels during the second quarter of 2013, as markets have yet to recover from the effects of the global financial crisis. Exporters, especially small to medium scale enterprises, are finding it very difficult to secure export contracts and buyers are taking advantage of the situation to close contracts at much lower prices. Lumber prices have dropped between EUR10/m3 and EUR50/m3 below the TIDD Minimum Guiding Selling Prices (GSP) depending on the species.
Notwithstanding the above, prices for tertiary timber products are encouraging. Prices of dowels, parquet flooring, lippings and mouldings in general were either at or a little above the GSP during the quarter under review but the volume of timber in contracts was very low. These products altogether contributed 2.19% of the total volume of wood products exported during the quarter. Plywood, which is mainly exported to countries within the West African sub-region, is the only product that has maintained price levels since December 2012. During the quarter under review prices were between USD5/m3 and USD20/m3 above the TIDD Minimum GSP depending on the thickness of the plywood.
Non-traditional exports surge despite global crisis In spite of the global financial crisis, non-traditional exports (NTEs) performed better in the first quarter of the year compared to the same period in 2012. Data available from the Ghana Export Promotion Council (GEPC) indicated that exports during the period amounted to USD 316.6 million, a growth of 35.5% over revenue of USD 238.9 million for the same period in 2012. Processed and semi-processed products contributed about 86% to the revenue. Cocoa paste, plastic products, cocoa butter and canned tuna were among the 10 leading products exported during the period. The EU and ECOWAS were the major destinations for NTEs, accounting for 44.6% and 35.7% of the market respectively.
In a two-day workshop to examine the negative effects of the global economic downturn on the export business community, the Executive Secretary of GEPC, Mr. Collins Boateng, said NTEs are not entirely safe from the impact of the global economic crisis. Hence, the Council was focused on improving market access for Ghana's NTEs in the West Africa region and also to boost intra-African trade particularly to South Africa, to offset reductions in exports to the EU market.
Ghana's inflation eases marginally
Ghana's inflation slowed to 20.06% in May 2013, the first time in three months, down from the April 2013 rate of 20.56%. The rate at which general prices of goods and services increased in the economy thus also reduced during that period, according to the government's Deputy Statistician, Prof. N N Nsowah-Nuamah. The reduction was largely due to the downward pressure exerted on goods and services by the non-food components of the Consumer Price Index (CPI). A reduction was expected at this time of the year, since food production picks up during this time and the National Petroleum Authority has also reduced fuel prices by 10%. Mr. Nsowah-Nuamah said although the decreasing trend of inflation could continue for sometime, the recent 30% increment in fuel prices leaves consumer behavior less predictable.
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