Market

New export market for Ghana’s cassava starch industry identified

A Competitor Analysis report released by Ghana Export Promotion Authority (GEPA) points to new potential markets for Ghana’s cassava starch industry.

According to the report, such new markets including Nigeria and the European markets notably Poland, Portugal, Italy present strong potentials for market diversification and penetration for Ghanaian companies and Trade Promotion Organisations.

Interestingly, despite Ghana having huge existing market for cocoa derivatives including chocolate in the Nigerian market, the market share of Ghana’s cassava starch industry in Nigeria, despite its proximity, currently remains zero per cent.

In 2018, exports of Ghana’s cassava starch generated close to US$1 million in revenue. However, the United States emerged as the largest importer of the product with export value of US$935,000, representing 95 per cent, whiles the remaining, though marginal, was absorbed by the European Union market.

In that same year, US total imports of cassava starch amounted to US$82.2 million with Ghana emerging as the 6th largest supplier.

As Ghana is making commitment to commence the operationalization of the Africa Continental Free Trade Area (AfCFTA) which seeks to increase intra-African trade from the current 12 percent of member countries total international trade to 52 percent by 2023, Ghana Export Promotion Authority is admonishing exporters in the industry to target African countries, such as Nigeria, to increase their export sales.

Again, the Authority insists that to overcome overlapping export sector priorities, it is imperative industry exporters focus more on increasing its market share in European markets notably Italy, Belgium among others while holding on to its existing market shares elsewhere.

This has become necessary since reports suggest that with the implementation of AfCFTA, it is likely neighbouring African countries around Ghana will be competitors rather than export market destinations with regards to most agricultural products.

Global demand for cassava starch is currently estimated to be more than US$1.8 billion. In 2018, the global cassava starch market reached a volume of 8 million tons, representing a Compound Annual Growth Rate (CAGR) of around 5 per cent.

By 2024, the market demand for the product is expected to be more than 10 million tons, expanding at a CAGR of around 4 per cent from 2019 to 2024, a report conducted by market research firm, IMARC Group indicates.

China remains the largest importer of the product with an estimated import value of US$938 million in 2018. Other notable global importers are Indonesia (US$185.6 million), Taipei Chinese (US$138.1 million), Malaysia (US$123.6 million), USA (US$82.2 million), Japan (US$58.5 million) and Philippines (US$54.4 million) these being the top 6 importers, with Ghana being ranked in 57th position regarding exports.

 

Source: goldstreetbusiness.com

Ogyem Solomon

Solomon Ogyem – Media Entrepreneur | Journalist | Brand Ambassador Solomon Ogyem is a dynamic Ghanaian journalist and media entrepreneur currently based in South Africa. With a solid foundation in journalism, Solomon is a graduate of the OTEC School of Journalism and Communication Studies in Ghana and Oxbridge Academy in South Africa. He began his career as a reporter at OTEC 102.9 MHz in Kumasi, where he honed his skills in news reporting, community storytelling, and radio broadcasting. His passion for storytelling and dedication to the media industry led him to establish Press MltiMedia Company in South Africa—a growing platform committed to authentic African narratives and multimedia journalism. Solomon is the founder and owner of Thepressradio.com, a news portal focused on delivering credible, timely, and engaging stories across Ghana and Africa. He also owns Press Global Tickets, a service-driven venture in the travel and logistics space, providing reliable ticketing services. He previously owned two notable websites—Ghanaweb.mobi and ShowbizAfrica.net—both of which contributed to entertainment and socio-political discussions within Ghana’s digital space. With a diverse background in media, digital journalism, and business, Solomon Ogyem is dedicated to telling impactful African stories, empowering youth through media, and building cross-continental media partnerships.

Related Articles

Back to top button