Member of Parliament (MP) for New Juaben South and Ranking Member on the Trade Committee, Hon. Michael Okyere Baafi, has questioned the current administration’s commitment to industrialization, citing the absence of clear policy direction on export and industrial development.
Hon. Baafi stressed the urgent need for coherent export and industrial policy to drive economic transformation.
He argued that a nation’s sustainability rests heavily on its “ability to produce, add value to its resources,” and compete in global markets.
“That’s how come our government, I mean, the former President Akufo-Addo’s government, implemented the policy of one district, one factory, intentionally trying to industrialize Ghana”
Hon. Michael Okyere Baafi, MP for New Juaben South
Baafi pointed out that the industrial sector is not only key to Ghana’s long-term viability but also essential to ensuring a stable and self-sustaining economy.
Contributing to the conversation sparked after the US imposed 10% tariff on Ghana, the former Deputy Minister of Trade and Industry expressed frustration over what he described as a reactionary approach to the export policy by the government rather than an active one.
“The government has not given clear policy direction on how it would deal with this, specifically on export and also on how to tackle issues like these in the future”
Hon. Michael Okyere Baafi, MP for New Juaben South
He clarified that while he did not claim the administration had no solutions to Ghana’s trade challenges, he stood by the assertion that no clear roadmap had been communicated to the public.
He explained that an effective export strategy must be underpinned by robust industrial growth.
For Baafi, the government’s failure to articulate a forward-looking plan, particularly in the wake of global economic turbulence, leaves industry players uncertain about the future.
Concerns Over 1D1F’s Replacement
Baafi also criticized the abandonment of the One District, One Factory (1D1F) initiative, a flagship industrialization program introduced under the Akufo-Addo administration.
According to him, the 1D1F initiative was a deliberate attempt to position Ghana on the path to becoming a manufacturing-driven economy.
“Note that almost all the first world countries in the world, America, Canada, China, Japan, Britain, all of them are industrialized nations. I mean, they are here because of industrialization”
Hon. Michael Okyere Baafi, MP for New Juaben South
He insisted that the only viable route to transforming Ghana’s economy lies in significantly expanding the manufacturing base.
This, he explained, would allow Ghana to generate more local employment, reduce imports, and “increase foreign exchange through exports.”
Feed The Industry
In Baafi’s view, the replacement of 1D1F with what he described as a vague “Feed The Industry” policy leaves more questions than answers.
“So if you have abolished the policy of one district, one factory, for example, and you have replaced it with, let’s say, a policy to ‘feed the industry,’ what have you made available for that policy to be able to thrive?”
Hon. Michael Okyere Baafi, MP for New Juaben South
He challenged the government to clarify what concrete measures had been put in place to support this new approach to industrialization and how it would be funded or implemented.
Drawing from his experience on the Trade Committee, Baafi stated that there was no tangible indication of support mechanisms for industry in the 2025 national budget.
The absence of this, he argued, was particularly troubling for those hoping to see the government advance a serious industrialization agenda.
“What is going to happen in the industrial sector?” he asked, citing how the room for ambiguity does not score the government any points with industry stakeholders.
“Note that most of the people in this business are people in industry and the industrial sector is a sector that will make the country very viable and also sustainable and therefore, I believe that every government must take so much interest in the industrial sector”
Hon. Michael Okyere Baafi, MP for New Juaben South
He urged the government to look at the issue of export trade from the perspective of industry. He argued that this would allow the implementation of measures that promote local industry growth and lead to sectoral excesses that can be exported.
His comments come amidst growing concern over Ghana’s lack of concrete strategies to navigate global economic shocks and trade-related challenges.
With industry players looking for reassurance, the call for a clearer strategy may gain momentum in the months ahead.
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