Raw material shortages, limited markets hamper Ghana’s leather industry

Ghana’s leather industry is facing significant challenges, including inadequate raw materials and limited access to markets, prompting manufacturers to call for targeted support to boost production and improve competitiveness.

The Association of Ghana Industries (AGI) says local manufacturers have the capacity to produce quality leather products but struggle to reach enough customers to expand their businesses.

Edwina Assan, Chairperson of the AGI’s Garment, Textile and Leather Sector, said stronger collaboration among industry players, government institutions and other stakeholders could create new opportunities for local producers.

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She noted that Ghanaian companies already manufacture quality leather goods, including footwear for the country’s security services. However, limited awareness of locally made products continues to restrict their market potential.

Speaking after a stakeholder engagement at the AGI headquarters in Accra, Ms Assan said the association was supporting members through training programmes and participation in trade fairs to showcase their products and connect with potential buyers.

Meanwhile, Chief Executive Officer of Horseman, Tonyi Senayah, identified shortages of raw materials and limited production capacity as major obstacles facing local footwear manufacturers.

He cautioned against banning imported footwear at this stage, arguing that domestic producers were not yet equipped to meet the country’s demand.

Mr Senayah called for investment in skills development, stronger business structures and improved access to markets to help local manufacturers increase output and compete effectively.

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He also proposed sourcing leather from other African countries with stronger production capacity to address supply constraints and potentially reduce costs.

Industry stakeholders believe improved access to institutional procurement, particularly orders from security agencies, could provide a significant boost to local producers.

They maintain that reliable raw material supplies, adequate production capacity and stronger market connections are essential to expanding Ghana’s leather industry, reducing dependence on imported footwear over time and creating opportunities for growth across the African market.

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