Introduction

In a stark warning that has reverberated through Ghana’s trade and logistics sector, the Food and Beverages Association of Ghana (FABAG) has declared that bulk cargo operations at Tema Port have deteriorated to their worst levels in over 23 years. This alarming assessment, issued on January 5, 2026, directly contradicts official statements from the Ghana Ports and Harbours Authority (GPHA) and port operators, which have maintained that operational challenges have been resolved. FABAG, which represents a significant portion of Ghana’s bulk food and beverage imports, has reported a catastrophic 90% decline in vessel discharge rates, extended vessel turnaround times, and escalating demurrage costs that threaten the livelihood of local businesses and the welfare of consumers.

This report provides a comprehensive, SEO-optimized analysis of the current state of bulk cargo operations at Tema Port, examining the root causes, immediate and long-term impacts on Ghana’s economy, food security, and regional trade, and offering practical advice for importers, manufacturers, and policymakers. The content is based on verifiable information from FABAG’s official statement, industry data, and expert analysis, and is presented in a clear, structured format designed to maximize search engine visibility and reader engagement.

Key Points

Background

Historical Context of Tema Port

Tema Port, located in the Greater Accra Region of Ghana, is the country’s largest and busiest seaport. Inaugurated in 1962, it serves as a vital gateway for Ghana’s international trade, handling approximately 80% of the nation’s total cargo volume. The port is a key hub for bulk cargo, including foodstuffs, petroleum products, and raw materials essential for manufacturing and construction. Over the decades, Tema Port has undergone several phases of expansion and modernization, supported by significant investments from the Ghanaian government and international partners.

The bulk and bagged shipment segment, which handles commodities such as rice, wheat, sugar, and cement, is particularly critical for Ghana’s food security and industrial development. This segment operates under a concession agreement with a private port operator, who is responsible for day-to-day operations, maintenance, and performance optimization.

Previous Operational Challenges

Tema Port has faced periodic operational challenges in the past, including congestion, equipment failures, and labor disputes. In 2022, the port experienced significant disruptions due to a combination of global supply chain issues, increased cargo volumes, and internal management problems. However, the current situation, as described by FABAG, represents a new low in operational performance, with efficiency levels not seen since the early 2000s.

Role of FABAG

The Food and Beverages Association of Ghana (FABAG) is the apex body representing manufacturers and importers of food and beverage products in Ghana. Established in 1995, FABAG’s membership includes major local and multinational companies that account for a significant portion of the country’s bulk food and beverage imports. The association plays a crucial role in advocating for policies that promote a conducive business environment, food safety, and consumer protection. FABAG’s statements on port operations carry significant weight due to its direct experience with the logistics chain and its influence on national food security policy.

Analysis

Root Causes of the Current Crisis

The collapse in bulk cargo operations at Tema Port can be attributed to a combination of structural, operational, and human resource factors:

1. Insufficient Staffing and Low Morale: FABAG has highlighted that despite the introduction of a 24-hour shift system, the port is operating with inadequate personnel. Low morale among workers, likely due to unresolved grievances and poor working conditions, is further hampering productivity.
2. Equipment and Infrastructure Limitations: Aging equipment and insufficient maintenance may be contributing to slow discharge rates and extended turnaround times. The lack of modern cargo handling technology is a known issue in many West African ports.
3. Management and Governance Issues: The disconnect between official statements and on-ground realities suggests a lack of transparency and accountability in port management. FABAG’s criticism of “public relations statements” indicates a perception that operational failures are being downplayed.
4. Labor Relations: Unresolved labor disputes and poor industrial relations can lead to work slowdowns and inefficiencies, even in the absence of formal strikes.

Economic Implications

The operational crisis at Tema Port has far-reaching economic consequences:

• Inflationary Pressures: Increased demurrage and logistics costs are passed on to consumers, contributing to rising food prices and overall inflation. Ghana has already been grappling with high inflation rates, and port inefficiencies exacerbate this challenge.
• Food Security Threats: Delays in the importation of essential foodstuffs such as rice, wheat, and sugar can lead to shortages and price spikes, affecting the most vulnerable populations.
• Impact on Local Producers: Local food and beverage manufacturers rely on imported raw materials and packaging. Delays and cost increases at the port reduce their competitiveness and can lead to production cutbacks and job losses.
• Regional Trade Competitiveness: As a key hub in West Africa, Ghana’s port efficiency affects the entire region. Businesses in neighboring countries may seek alternative routes through ports in Côte d’Ivoire or Togo, reducing Ghana’s role in regional trade.

Comparison with Regional Peers

A comparative analysis with other West African ports highlights the severity of the situation in Tema. The Port of Abidjan in Côte d’Ivoire, for example, has invested heavily in modernization and efficiency improvements, achieving vessel turnaround times of less than 48 hours for bulk cargo. In contrast, Tema Port’s current performance is significantly below regional standards, undermining Ghana’s position as a logistics hub.

Long-Term Strategic Implications

The current crisis underscores the need for a comprehensive review of port governance, investment in infrastructure, and labor relations. Without decisive action, Ghana risks losing its competitive edge in regional trade, deterring foreign investment, and exacerbating food insecurity. The situation also highlights the importance of data transparency and independent monitoring of port performance.

Practical Advice

For Importers and Manufacturers

1. Diversify Supply Routes: Consider alternative ports such as Takoradi Port in Ghana or ports in neighboring countries to reduce dependency on Tema Port.
2. Optimize Inventory Management: Increase safety stock levels for critical inputs to buffer against port delays.
3. Negotiate Contract Terms: Include force majeure clauses and demurrage cost-sharing mechanisms in supply contracts.
4. Engage in Advocacy: Work with industry associations like FABAG to lobby for port reforms and transparency.

For Policymakers and Regulators

1. Establish Independent Monitoring: Create a transparent, data-driven system for monitoring port performance, with regular public reporting.
2. Review Concession Agreements: Assess the terms of the current port operator’s concession to ensure performance benchmarks are met.
3. Invest in Infrastructure: Allocate funds for the modernization of cargo handling equipment and port infrastructure.
4. Improve Labor Relations: Facilitate dialogue between port operators, labor unions, and government to resolve grievances and improve working conditions.

For Consumers

1. Stay Informed: Monitor updates from FABAG and other reliable sources on port operations and food supply.
2. Support Local Products: Where possible, choose locally produced alternatives to imported goods to reduce dependency on port operations.
3. Advocate for Reform: Engage with consumer advocacy groups to demand accountability and improvements in port efficiency.

FAQ

Conclusion

The declaration by FABAG that bulk cargo operations at Tema Port have reached their worst levels in over 23 years is a wake-up call for Ghana’s government, port authorities, and business community. The 90% decline in discharge rates, extended vessel turnaround times, and escalating costs pose a serious threat to food security, economic stability, and regional trade competitiveness. While the port operator and authorities have maintained that challenges have been resolved, the reality on the ground tells a different story.

Addressing this crisis requires immediate, transparent, and coordinated action. Independent verification of port performance, investment in infrastructure, and improved labor relations are essential steps toward restoring efficiency and reliability. Importers and manufacturers must also adapt by diversifying supply routes and optimizing inventory management. Ultimately, the efficient operation of Tema Port is not just a logistics issue but a matter of national economic and social importance. The time for decisive action is now.