GHANA
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PROCEDURES RELATED TO THE FREE ZONES

An investor wishing to establish as a Free Zone developer or set up an enterprise in Ghana Free Zones will require various licenses and permits to operate. The Ghana Free Zones Board provides a "one-stop approval service" to investors.

The formalities that should be fulfilled by the investor to enable him/her set up a Free Zone enclave or enterprise are stated as follows:

1. Location of Zone Operations

Free Zone enclaves and enterprises can be located anywhere in Ghana upon the approval of the Ghana Free Zones Board (GFZB)

The GFZB may identify or make available land for zone creation and development.

An investor may lease properties or propose properties he/she already owns for the development and/or operation of a free zone.

1-1 Developers License

Any investor wishing to establish as a zone developer in Ghana must obtain a Developer's License.

1-1 Procedures and Requirements

The developer should incorporate a company or partnership in Ghana.

The developer should obtain and complete the GFZB Form 1 and submit it with required attachment to the Secretariat of the Board.

The GFZB shall notify the developer of the status of his/her application for license within 28 working days of receipt of application.

A Developer's License shall be issued to the successful applicant who should commence activities within six months of approval.

A Developer&# 8217;s License free of US$4,000.00 or its equivalent in cedis shall be charged by the GFZB in the first instant and a renewal fee of US$2,000.00 or its equivalent in cedis paid annually by the developer.

1-2 Enterprise License

Investors wishing to set up enterprises (for manufacturing, commercial or service activities) must obtain the relevant Enterprise License.

1-2-1 Procedures and requirements

The investor(s) should incorporate a company or partnership in Ghana.The investor(s) should show evidence of possession or lease of real property or intention to acquire such property.Depending on the activity to be undertaken, the applicant should obtain and complete GFZB Form 3,4 or 5 and submit it with the require attachments to the Secretariat of the Board.The GFZB shall notify the investor of his/her application for License within 28 working days.An Enterprise License specifying authorized activity to be undertaken by the applicant shall be issued to the successful applicant who shall commence activities within 6 months of approval.An Enterprise License fee ofUS$2,000 - ManufacturingUS$5,000 - CommercialUS$3,000 - Service

or its equivalent in Cedis shall be charged by the GFZB in the first instant and a renewal fee of

US$1,600 - Manufacturing

US$4,000 - Commercial

US$2,000 - Service

Or its equivalent in Cedis paid annually by the Enterprise Operator.

2- Construction Requirements

Developers and enterprises must erect suitable perimeter fences and enclosures.

FZ enterprises must erect fences and/or enclosures, which shall be at least 2.5m high.

A free zone factory building should be located at least 3m inside the enclosure.
3- Health & Safety Requirements

Free Zone developers and enterprises must comply with health, safety and environmental requirements of Ghana.

Free Zone investors should comply with: Factory, Offices and Shops Act (1970) on health, safety and other standard requirements; and, environmental regulations, standards, procedures and requirements of Environmental Protection Agency.

The GFZB shall register free zone developers and enterprises with:

- Factory Inspectorate Department

- Environmental Protection Agency

- Town and Country Planning

- Metropolitan & District Assemblies.

C Free Zone developers and enterprises are required to permit periodic checks by the afore-mentioned bodies.

4- Electricity Supply

Application may be submitted through the GFZB for approval of Electricity Company of Ghana. Total consumption and load requirement in Kw should be indicated.

5- Water Supply

Application for water supply in excess of 20,000 liters/day may be submitted through the GFZB for approval of Ghana Water and Sewerage Corporation (GWSC).

6- Application for Telephone, Telex & Telefax Services

Application(s) may be made through the GFZB for consideration of the Ghana Telecommunications Company Limited.

7- Entry Visa

All Free Zone investors, representatives and employees must secure entry visa to Ghana.

Entry permit may be obtained from a Ghana Embassy or High Commission abroad.

A temporary entry permit may be obtained on arrival at a point of entry in Ghana, upon prior notification of GFZB.

8- Work & Residence Permits

All foreign employees of Free Zones shall require work and residence permits.

Application for work and residence permits should be submitted to the GFZB at least 2 months prior to the intended date of employment.

Each application should be accompanied with a medical certificate of the prospective employee.

Applicable fees are as follows:

1st & 2nd - US$200

3rd & 4th - US$300

5th and thereafter - US$500

Work permits shall not exceed 24 months in duration, will not be transferable and the fees not refundable.

9- Customs Declaration Form

A Free Zone Customs Declaration Form 9 shall be purchased at the cost of US$25.00 or its equivalent in cedis for importation of goods/services into a single-factory free zone enclave. The Ghana Free Zones Board Secretariat before clearing of goods/services shall endorse the Form 9 together with the relevant Bill of Lading or Airway Bill.


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© World INvestment NEws, Multimedia Information Company, 2002.
This is the electronic edition of the special country report on Ghana published in Forbes Global Magazine or Far Eastern Economic Review
February 4th 2002 Issue.
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