Business

Ghana to issue FLEGT licenses to regulate timber resource management June next year

Ghana is set to launch Forest Law Enforcement, Governance, and Trade (FLEGT) licenses on June 30, 2025, becoming the first African country to regulate timber resource management under this scheme.

This landmark agreement with the European Union was formalized at the 12th session of the Ghana-EU Joint Monitoring Review Mechanism of the Voluntary Partnership Agreement (VPA) in Accra on November 6, 2024, marking a significant step toward sustainable timber management and trade.

Hon. Samuel A. Jinapor, Minister for Lands and Natural Resources, praised the years of exhaustive stakeholder engagement that led to this achievement. He remarked that Ghana’s FLEGT licensing framework not only bolsters its position in the global timber trade but also serves as a model for countries pursuing sustainable forest governance.

“We came together not only to review our progress but also to reaffirm our shared goals and aspirations for the future. The Aide Memoire we are signing today encapsulates the key outcomes of our discussions and serves as a roadmap for future actions,” Jinapor said.

The Aide Memoire also underscores Ghana’s commitment to transparency, accountability, and forest resource sustainability. According to Jinapor, the systems established under the agreement have passed rigorous external audits, ensuring the technical and policy readiness to support sustainable timber trade.

EU Ambassador to Ghana, H.E. Irchad Razaaly, commended Ghana’s successful completion of the FLEGT process, which has been underway for 15 years. Razaaly noted that FLEGT licensing will strengthen Ghana’s credibility in the international market, supporting both economic growth and sustainable forestry.

The initiative comes amid challenges in Ghana’s timber and wood product sector, which generated €60,583,834.31 from the export of 133,125.827 cubic meters of wood in the first half of 2024.

This amount, however, represents a 14.11% decrease in value and a 14.35% drop in volume compared to €70,534,416.61 earned from 155,421.875 cubic meters exported during the same period in 2023. June 2024 data further reflects this decline, showing a 24.40% drop in value and an 18.31% decrease in volume from June 2023, with €9,147,205.79 earned from 21,126.359 cubic meters.

The top companies in Ghana’s timber export sector include Peacrok Company Limited, 3RDI Shipping Agency Limited, Samartex Timber and Plywood Company Limited, John Bitar and Company Limited, and Golden Logs Exporters Limited. In June 2024, these companies exported 11 wood products derived from 43 different species to 33 countries, supplying 94 buyers.

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