Auto Parts & Accessories
The market for auto parts in Ghana presents numerous opportunities. First and foremost, Ghana’s manufacturing industry has always been receiving good support from the local government. The encouragement and support of the Ghana government has enabled the country to emerge as one of the 40 fastest growing industrial production regions in the world. Ghana’s impressive manufacturing industry currently accounts for a quarter of the country’s GDP and is expected to account for more than 30% of the GDP by 2021.
And the main driver for Ghana’s booming manufacturing industry is the automobile industry.
The automotive market in Ghana is diverse. It ranges from Original Equipment Manufacturers (OEMs) and component manufacturers, to dealerships and commercial vehicle manufacturers. Financial pressures, industry restructuring, changing consumer preferences, regulating issues, fluctuating fuel prices and the growing demand for more environmentally friendly vehicles are constantly transforming West Africa’s automotive industry.
The Ghanian automotive industry continues to adjust to market forces. The manufacturing level is being impacted by the increasing number of imported vehicles and the after affects of the global economic crisis, especially the uncertainty with regards to the European markets and the impact on local manufacturing.
To survive and grow, automotive companies in Ghana must continuously develop and maintain customer relationships, achieve technical excellence and retain skilled labour pools, and manage significant risks.
The automobile sector of Ghana has been a driver of growth of the country as it is one of the most visible sectors to receive foreign investment. Ghana is a multicultural and ethnically diverse West African nation and is the 9th largest African economy.
On the Ibrahim Index of African Governance, Ghana ranks as the 7th best economy in Africa, which implies a relative safety of foreign investment in the region. Also, Ghana ranks relatively high in the ease of doing business index and also has an extremely high freedom of press rating, which makes it a good emerging market to invest in.
Some of the popular car brands in the West Africa region are Toyota, Mercedes Benz, Mitsubishi, KIA, Nissan, Hyundai Volkswagen, Renault among others.