BACKGROUND TO THE PROJECT
Boosting the economy through exports
From the mid-1990s onwards, Ghana’s economic development had been a success story. Growth was high, particularly around 2010, when it hit 15 per cent, and the West African country had also been successful in fighting poverty. In 2016, however, everything changed: the slump in raw materials prices pushed economic growth down to a record low. Although the Ghanaian economy has now recovered, this low point highlighted the country’s dependence on global market prices for its main exports – gold and cocoa.
In addition, Ghana suffers from a very unequal distribution of wealth and income. Many Ghanaians still live in poverty and are unhappy because none of this economic growth trickles down to them.
Small and medium-sized enterprises could do a great deal to improve the situation, as they create employment and income-generating opportunities. In view of high youth unemployment in particular, small businesses need help to grow and create jobs. Growth requires access to new markets, including international ones. However, only a handful of Ghanaian companies are able to compete adequately on the international stage. Many lack the knowledge and resources required to hold their own on international markets, and their products do not meet international standards.
PROJECT OBJECTIVE
The project aimed to boost the international competitiveness of selected companies from Ghana and to facilitate access to international markets. The project therefore supported economic development and job creation in Ghana. It thus also contributed to the achievement of the Sustainable Development Goals (SDGs), which promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.
PROJECT ACTIVITIES
Developing an export promotion scheme
The needs of Ghanaian SMEs were analysed in detail at the start of the project, and this was used as a basis for developing a programme to improve the international competitiveness of Ghanaian companies. The programme was devised in cooperation with a training institution from North Rhine-Westphalia that specialises in the field. It comprises training measures in Ghana and Germany as well as the opportunity to make new business contacts at trade fairs and B2B meetings.
Application and selection process
Up to 20 company representatives from Ghana were able to qualify for participation in the programme. The application and selection process was run in cooperation with the Delegation of German Industry & Commerce in Ghana (AHK Ghana). Key factors included company size, initial international experience, product volume and export appeal as well as the potential for creating new jobs. Many sectors that are strong in Ghana could be considered, such as clothing, furniture, interior design, jewellery, food and cosmetics. Programme participants were chosen in close consultation with other programmes being run by GIZ and sequa gGmbH.
Training in Ghana and NRW
The qualification programme offered the Ghanaian company representatives two export promotion trainings. A three-day training session entitled ‘Fit for Germany’ was held in Ghana, teaching the basics required for successful product marketing in Germany. Topics included the German business culture, international standards, EU import regulations, product quality and design as well as marketing and presentation. Intensive training was subsequently provided from May 2020 to January 2021 to transfer more in-depth expertise for medium-term export planning. Due to COVID-19, the intensive training took place remotely and not in NRW. The training covered topics such as market analysis, international branding, distribution channels and marketing strategies, pricing, product quality, certification and e-commerce. It was supplemented by individual business coaching sessions and training to teach intercultural skills.
Participation at trade fairs and business contacts
Trade fair stipends enabled the programme participants from Ghana to showcase their companies at industry trade fairs in NRW. The Ghanaian entrepreneurs used these stipends to present their products at the ANUGA food fair in Cologne and the Mode-Heim-Handwerk consumer fair in Essen, for example. B2B meetings were also organised to allow Ghanaian company representatives to establish contact with German businesses.
Brief project description
Title: Strengthening the International Competitiveness of Ghanaian Companies with Export Potential
Term: May 2019 – December 2021
Sector: Economic development
Supported by: State Chancellery of North Rhine-Westphalia
Partners and actors