Logistics parks ideal for mining companies in Ghana – Report

By Nneka Nwogwugwu

Mining companies in Ghana face complex and unique logistics challenges from safely transporting different types of raw material to complying with various rules from Ghanaian government agencies, entering the mining community is not an easy task.

The mining industry requires localized, integrated logistics solutions while operating in Ghana, and logistics parks may be the answer, a report by Markets screener noted.

By investing in these facilities, mining companies can reduce capital expenses, improve sustainability, and de-risk entry and expansion into West Africa.

Mining is a labor- and resource-intensive operation. Companies need space to store large and expensive mining equipment, manage inventory, and transport heavy materials to various ports. Managing these daily activities can be a challenge without the right infrastructure in place.

Using legacy supply chain systems, a mining company can harm efficiency and struggle to stay competitive. However, logistics parks streamline these complex processes so that companies can focus on growth and innovation.

As of the second quarter of 2021, Ghana’s mining and quarrying sector contributed 4.9 billion Ghanaian cedis to its gross domestic product. The West African country is the largest producer of gold on the continent and a major producer of valuable materials like bauxite, diamonds, and manganese.

The mining industry is an economic pillar in Ghana. As a result, major infrastructure is available to support mining companies’ supply and distribution needs, including logistics parks. The best logistics facilities enable easy access to major airports, seaports, roads, rail networks, and capital cities.

For example, the Agility Logistics Park (ALP) in Ghana is in the Tema Free Trade Zone, a major industrial city in the country. Tema is approximately twenty-four kilometers from the Kotoka International Airport in Accra, Ghana’s capital city.

The 165,000-square-meter facility is adjacent to the Tema-Aflao road, which is part of a major corridor that connects Abidjan, Côte d’Ivoire to Lagos, Nigeria. Additionally, the ALP is close to the Port of Tema, the largest seaport in Ghana, covering over 3.9 million square meters.