Ghana Loses Billions to Border Smuggling Crisis

Container traffic drops 50 percent at Tema Port

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Shipping Containers
A ship-to-shore crane stands above shipping containers on the dockside at the Port of Durban, operated by Transnet SOC Holdings Ltd.’s Ports Authority, in Durban, South Africa, on Friday, May 25, 2018. Transnet last year reduced its seven-year capital-investment plan by 17 percent to 229.2 billion rand in response to lower-than-anticipated freight demand. Photographer: Waldo Swiegers/Bloomberg

Ghana is losing hundreds of millions of cedis weekly to smuggling as container traffic at Tema Port plummets by half, the Food and Beverages Association of Ghana has warned.

Container arrivals at Tema Port have dropped from 2,000 monthly to about 1,000 in recent months, according to John Awuni, Executive Chairman of the Food and Beverages Association of Ghana (FABAG). The decline coincides with increased container volumes at Togolese ports, suggesting importers are rerouting goods through neighboring countries to evade taxes.

“Smuggling all manner of goods has reached alarming levels,” Awuni told the Business and Financial Times.

The association reports that rice, cooking oil, sugar, alcoholic beverages, and textiles are being extensively smuggled through Ivorian and Togolese borders. Untaxed smuggled goods sell below market prices, making it difficult for legitimate businesses to compete.

Coca-Cola Managing Director Felix Gomis told the Ghana Revenue Authority in April 2025 that over 700,000 dollars worth of products, approximately 150,000 crates, are smuggled from Nigeria into Ghana monthly. The illicit activity harms local businesses and communities while draining government revenue.

Acting Commissioner General Anthony Sarpong said the Authority is implementing measures to clamp down on smuggling from Economic Community of West African States (ECOWAS) countries. He noted that smuggling disrupts the economy, causes price fluctuations, and undermines public trust in regulatory systems.

Tema Port processed about 1.67 million containers in 2024, generating an estimated 10 billion dollars in potential Customs revenue, according to the Ghana Ports and Harbour Authority’s 2024 performance summary. Ministry of Finance data from July 2025 showed Ghana recorded a Customs revenue deficit of 1.6 billion cedis in the first half of the year, attributed to under-declaration, misclassification, and smuggling.

FABAG estimates the country loses several billion cedis annually or over 300,000 containers worth of revenue to smuggling through both official and unapproved entry points. The association has called on the Ministry of Finance, Customs Division, Trade and Industry Ministry, and National Security agencies to strengthen enforcement and invest in surveillance technology.

Awuni blamed high import duties and cumbersome port procedures for driving the smuggling trend. He appealed to government for a comprehensive review of Ghana’s import tax regime during the 2026 Budget reading.

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