Togo First
Tsevie is now home to Togo’s first fruit and vegetable processing unit
A fruit and vegetable processing unit, the first in Togo, was inaugurated in Tsévié last Thursday. The facility, which will mainly make tomato paste and pineapple juice, was inaugurated by the minister of grassroots development and youth employment, Myriam Dossou-D’Almeida.
“The commissioning of this processing unit opens up a new page in our country’s agribusiness sector and especially regarding the production of fruit juice and vegetable processing. The unit will help better leverage the strategic position of the Tsévié, notably relative to the Industrial Platform of Adétikopé (PIA), and create jobs for the youth,” through entrepreneurship, said Myriam Dossou-D’Almeida.
The initiative, led by the FAIEJ - the Fund for Support to Youth-led Business Projects - was backed, technically and financially, by the GIZ’s Sustainable Economic Development Program (ProDED). The institution injected CFA30 million into the project.
Esaïe Edoh
Togo: Vaccine Pass could be expanded to the whole country (CNGR)
In Togo, the vaccine pass measure is only mandatory in the Grand Lomé region at the moment because the region concentrates the most cases (over 90%) of Covid-19. This explanation was given by Col. Djibril Mohaman who heads the national coordination team tackling the pandemic (CNGR), in response to recent concerns of the constitutional court regarding the pass’ expansion to the rest of the country.
However, the CNGR added that when vaccines become readily available within the country, the vaccine pass could become mandatory for all as well.
The constitutional court expressed, in a notice issued on Sept.30, two concerns regarding the government’s draft legislation on the vaccine pass.
So far, about a million people have received at least one vaccine shot in Togo - nearly 25% of the target population (4 million). More than 410,000 have received at least two doses.
Ayi Renaud Dossavi
Togo seeks CFA50 billion on the UMOA securities market in October
Togo will try to raise CFA50 on the regional money market this month. The funds will be used to finance the country’s Covid-19 recovery strategy.
Lomé’s first issue on the UMOA securities market is today, Oct. 15. The country, by issuing recovery bonds, will seek CFA25 billion. Another issue (of fungible Treasury bonds) is set to follow on October 29 with the same goal.
So far this year, the UMOA securities said, Togo has carried out 19 issues raising a total of CFA502 billion which helped it finance its economic recovery post-Covid-19.
Over the past year, the country raised CFA623 billion on the same market, through 23 issues.
Esaïe Edoh
Togo: Chamber of Commerce and Industry to boost Togo-Burkina Faso trade
The chamber of commerce and industry of Togo (CCIT) wants to boost trade between Burkina Faso and Togo. To this end, the chamber held, on Oct. 13, a meeting with its technical and financial partners to assess the needs of sellers active on the Lomé-Ouagadougou axis.
Measures planned to support small sellers along this road axis include “interventions at checkpoints to make it easier for them to transport their goods, and boosting capacities to help them better manage their business,” said Yawo Josias Kavege, director of business support at the CCIT.
The meeting held two days ago concerned actors of the formal sector, security, and sellers’ association. It falls under the Program to Boost Trade in West Africa which ends in 2023. This program aims not only to improve trade between Burkina Faso and Togo but also to triple inter-African trade volumes by 2025.
Togo holds preparatory meeting ahead of COP26
Togo is preparing for the COP26 that will take place from October 31 to November 12, 2021, in Glasgow, Scotland. In this framework, the country’s actors of the climate and environment sector are holding a meeting, started on October 14, in Lomé where they are discussing Togo’s efforts to tackle global warming, and agreeing on arguments they will defend at the international conference.
Actors gathered will produce a roadmap at the end of their meeting, towards tapping all financing opportunities related to the fight against climate change in Togo. Another goal of the ongoing meeting is to achieve cohesion between civil society actors, the State, and the private sector, to better defend the country’s interests and ambitions.
“We must make sure that there is no spectator nor tourist in the delegations from the State, the private sector, territorial collectivities, and the civil society,” said Katari Foli-Bazi, the Togolese minister of environment.
“Togo is forming a good delegation to attend the COP26,” declared Aliou Dia, Resident-Representative of the UNDP in Togo. He stressed that the private sector’s engagement is a “fundamental” step for the country. The UNDP, it should be noted, backs Togo’s efforts to tackle climate change
During the coming COP26, leaders, bosses of major companies, and actors of civil society will come from all over the world to talk about climate changes and what should be done to help countries that are most affected by the phenomenon, and how to organize the global transition. African countries, which are some of the most affected by climate change, plan to ask rich, polluting countries, for more resources, and support to face the threat and finance their green transition.
Ayi Renaud Dossavi
Togo and Mauritania announce future cooperation in the port industry
Lomé and Nouakchott will soon cooperate in the port and fishing sectors. The announcement was made Wednesday during an official visit by Togo’s President, Faure Essozimna Gnassingbé, to Mauritania where he met President Mohamed Ould Cheikh El Ghazouani. The two leaders discussed bilateral cooperation between their nations.
According to the statement issued after the meeting, the decision to cooperate in the port and fishing sectors is explained by the major assets that both countries have in these areas. Togo has the only deepwater port in West Africa and Mauritania has a port that is strategically positioned for ships leaving for Europe.
On the matter of the fight against Covid-19, the Togolese and Mauritanian presidents reminded the international community that supplying vaccines is urgent to slow the virus’ spread, in a context where it has “greatly weakened the world economy and Africa’s especially.”
They also stressed that “one of the conditions that will ensure a rapid and sustainable economic recovery post-Covid-19 is the cancellation of African countries’ debt.”
Regarding violence in the Sahel region and the risk it spreads to neighboring States, the two presidents emphasized “the need for the international community and the G5 Sahel to strengthen their commitment in fighting terrorism.”
They also talked about climate change and deplored that Africa was the first victim of greenhouse gas emissions, though the region is a minor emitter.
Esaïe Edoh
Togo to adopt a convention to boost legal framework of the tourism sector
The Togolese government announced on October 12 it is taking measures to ratify the framework agreement related to tourism ethics. This was during the council of ministers held that day.
“This convention will help boost the legal framework and contribute to the sector’s professional exploitation,” the council said in a statement. The document will, the statement adds, help foster “responsible, sustainable, and accessible tourism.”
Tourism, the authorities claim, is one of the levers of economic development. They took several initiatives to boost the sector, and are currently carrying out a census of touristic establishments. The census, according to the minister of tourism, Kossi Lamadokou, aims to “ensure a better visibility of touristic establishments and make tourism a high-added-value sector both at the national and international levels.”
Tourism contributes 4.6% of Togo’s GDP, according to recent economic data available on the country.
Esaïe Edoh
Trading Gate: More than CFA20 billion stolen
Togolese investors lost more than CFA20 billion in the “Trading Gate” scam. Talking to France 24, Ange Ketor, head of the microfinance professionals association of Togo, said the fake trading and cryptocurrency firms “stole over CFA22 to 25 billion.”
This money, the expert added, “came mainly from formal lenders, like banks and microfinance institutions.” Thousands of savers trusted their money with these placement entities.
Over the past few months, the country’s microfinance entities have been warning the population against placement agents that promise extraordinary profits - ranging from 50% to 100%, and sometimes up to 300%.
The companies singled out, suspended at the end of March by the public authorities for illegally carrying out monetary and financial activities, include CACESPIC-IF Togo Sari, Global Trade Corporation (GTC), Société de Négoce et de Courtage en Banque (SNCB), Leader Bureau Chymall-Sairui Groupe Togo, QNET, TIENS, and J-Global Capital International. France 24 reported that J-Global Capital’s clients lost nearly CFA7 billion.
Last July, the minister of finance, Sani Yaya, announced that a committee would be set up to monitor the reimbursement of funds collected by the concerned trading firms. Recently, many leading members of these firms were arrested by the police.
Ayi Renaud Dossavi
In Togo, new entrepreneurs are not fazed by Covid-19
Despite the persistent health crisis, the number of businesses started in Togo should reach a new high this year.
By the end of September 2021, official data shows that 10,806 new businesses were registered in Togo. This represents a 13.4% increase compared to the 9,527 businesses registered over the first three quarters of 2020. The upward trend - recorded over the past few years - is attributable to several reforms introduced by the government to boost the business climate.
Business registration keeps rising
Looking at data compiled by Togo First, the upward trend was most noticeable between February and June. At the time, the Central Bank of West African States (BCEAO) put GDP growth above 10% (Q2 2021).
In July, the dynamics slowed but jumped back in August, at a slower pace, however; a situation caused by a resurgence in the number of Covid cases (delta variant), which led the government to take new restrictive measures. According to several observers, business registrations could reduce due to the measure enforcing the presentation of a vaccine pass before accessing administrative buildings.
The life expectancy of businesses
Fifteenth (15th) in the world and 1st in Africa in the 2020 Doing Business (DB) ‘Starting a Business' indicator, Togo maintains its reform dynamic. The country does not plan to stop, according to Sandra Johnson, Minister, Secretary-General of the Presidency in charge of the business climate, the linchpin of the economic reforms initiated since late 2017.
Regarding the life expectancy of businesses in Togo, a recent study carried out by the Center for Business Formalities (CFE) revealed that over 70% of businesses created between 2010 and 2015 were still active in 2018. Half of these firms, the study noted, derived their earnings from 10 clients, maximum, and these clients were either big clients or big companies. However, private individuals remain the most important clients of Togolese companies.
The same report notes that problems relating to outlets and access to financing represent 70% of the difficulties encountered by entrepreneurs.
It is worth emphasizing that over 70% of businesses registered in Togo are small-sized companies, and they were greatly hit by the pandemic and measures taken to counter it.
Greater support for MSMEs
Last August, the government updated and validated the charter of micro, small and medium enterprises (MSMEs), in a context where they have the most trouble accessing markets (outlets and financing).
The reform should allow these businesses to easily access land, help them secure certifications, and get financing. Regarding the latter, the BCEAO estimates that nearly 70% of bank loans go to the private sector (7% - 8% to individual businesses).
“This charter will allow SMEs to form a strong unit, and this will help them access funding mechanisms,” said the Minister of Communication and Media, Prof Akodah Ayewouadan.
Fiacre E. Kakpo
Togo gets ready to set up packaging production and sales plant
As part of its Reinforced Integrated Program, Togo plans to set up a package production and sales unit. In this framework, the ministry of trade launched a preliminary feasibility study for the project.
Ending on October 15, the study aims to collect data of packaging manufacturers and users that operate across the country. Information gathered will serve “to quantify, for the sub-sector of packaging, data on companies manufacturing and using the various ranges of packaging in Togo as well as those of sellers.”
The State project comes after local producers, processors and sellers made a recommendation in this regard during the “mois du consommer local” (consuming local products month) held in October 2020.
Last April, the minister of trade, Kodjo Adédzé, met with a delegation from Novus Print, a South African packaging, and labeling firm. “A packaging industry in the country is welcome, because the development of producers, promoters, and the population in general, is a major concern for the government,” the official had said at the time.
Novus Print is already set to settle in Togo and meet the country’s needs relative to packaging.
Esaïe Edoh