Ghana and most African countries such as Nigeria, Togo, Kenya, Gambia and many others have large import-dependence. Their economies run on huge imported goods. A visit to a Ghanaian or Nigerian market will clearly attest to this. This has been a long practice –rewarding as well. Over the years, these economies have not been able to implement effective import substitution policies to correct the impact of the large imports.
Ghana, for instance, is expanding its harbors to accommodate the growing activities at the port, including importation. But imports are not only limited to sea transport. Air and land are also effective ways to import goods. The practice has lasted long enough to let you know it’s rewarding enough. From food, to electronics and clothing. Almost any product you can think of. In 2014, China ($4.1bn), the Netherlands ($1.5bn), the US ($1.1bn), Nigeria ($920M) and India ($668M) were among the top sources of Ghana’s imports ($14.8bn) according to OEC. Here are some goods to import for good returns that make you richer.
Rice, sugar and frozen foods (fish and chicken), biscuits and candy are some food items you should be looking at. Imported foods are priced with mark-ups of about 30% and have cycles of 3 months, or less depending on country you’re importing from. This means you make about 40% on these products every 3 months. Risk is high as products are perishable (most have comparatively short periods to expire) and storage could be costly.
There’s tremendous growth in patronage for clothes made from ‘local fabrics’ over the past decade, thanks to some initiatives at the government levels and industry levels. Despite this remarkable achievement, imported clothes are still patronized by a larger section of the public for some reasons – trendy, cheap and easy-to-find. Businesses and individuals are importing containers of new and used clothes for sale in Ghanaian markets and shops. The second-clothing market is a vibrant one in Ghana, Nigeria and many sub-Saharan countries. Profit margins is usually anything from 50% to 100% or higher for some categories of clothes. Risk isn’t high and turnovers are like 6 times a year.
Television sets, radio, water heaters and kettles, microwave oven, fridges, laptops, tablets, mobile phones and accessories are gadgets that are often not produced in commercial quantities in Ghana and other African countries. The Asian countries have a competitive advantage in this area, producing and selling electronic products far cheaper than what can be produced in Africa. Profit margins for such products range from 40% (except for laptops and tablets with lower margins) to as high as 200% for some mobile phone accessories. These goods often have long shelf lives and storage isn’t costly.
- Sanitary, Toiletries & Babycare
Baby wipes and diapers, T-rolls, disinfectants among others, the business has become vibrant over the years. Especially at the Babycare section, the business keeps booming. It’s not too late to join. You can start with just $1,000 to import a few items. Your profit should be around 30% or higher for some products. Risk is low for a large number of these products in terms of expiration and storage. Products move fast, with cycles lasting not more than 9weeks.
- Hair, Make-ups and Jewelry
There’s growing demand for beauty products for women of all ages. Most of these products are imported from UK, Asia, Europe and the US. Prices vary largely in line with quality and brand. Whichever market you choose (upmarket or low-end), your customer base is in the hundreds of thousands. This would however require you to make extensive marketing, online and offline. The key is not to try to sell to everyone. Just choose a section of the market you can serve at the least cost and target it. Margins range from 20% to 100% depending on type of product. Risk is moderate.
These days you don’t have to be a used-car dealer to import cars. Individuals are buying cars and importing them to Ghana, Nigeria, Kenya and other destinations via online platforms. The profit margins are bigger with luxury cars such as Mercedes, Audi, BMWs and SUVs in general. Profit margin is slimmer compared to other product categories due to the growing number of people getting into the business, which has been enabled by technological platforms that makes it easy to search, buy and import cars. Profit margins are between 10% and 20%.
Furniture and Home-Effects
This is a big category of products. It may require large capital if you are importing brand new products, but a lot less if you want to deal in used-products. Door mats, shower curtains, carpets, soap dishes, napkins and trays, cups and mugs, artificial flowers and holders, picture frames, TV stands and furniture, are common products seen along the roads of Accra. It may take you about three weeks or more to sell them but the returns are surely worth the wait. This category return a range of 40%-100% on items imported. Risk is very low but you have to first check if the product is an allowable import.
You don’t need to have capital for a 40ft container full of electronics to start before you can on these 7 Fast Moving Goods to Import to Ghana for Big Profits. It’s as easy as making online orders and taking delivery. However, larger quantities often earn you discount in some cases. Discounts would make your profit margin even bigger. To shorten your trading cycle, you can consider shipping by air but this can be costly too and shrink your margin. The list of fast moving consumer goods in ghana is endless. Always identify a market for your products before initiating imports.