In 1989, Togo’s Free trade zone was established. At the time, the government wanted to foster economic and industrial growth, as well as boost exports, and create new jobs. 

It is now 30 years and this zone has attracted CFA240 billion of investments since it was launched. According to the Togolese presidency, 71 companies operate in this zone, benefiting from tax incentives; they are required to export 70% of their output. 

Among these firms are Wacem-Togo (clinker and cement producer), Steel Cube (which makes iron rods from liquid steel), Sivop (a cosmetics company), Unifood (sweet maker), and Do-Pharma. 

Overall, the free trade zone employs 15,392 agents and it contributes around CFA68 billion to Togo’s GDP, according to available data. 

Now, more firms are getting ready to join the free trade zone. This is in a context where Togo is doubling down on its efforts to launch the Agency for the Promotion of Investments and the Free-trade Zone (API-ZF) which is tasked with efficiently steering the new investment code. 

Already, the presidency reported, 25 companies have been accredited to operate in the free-trade area. The firms, which are settling in, are active in sectors such as agribusiness, food, plastics, pharmaceuticals, cosmetics, and metals. 

Séna Akoda

Last Wednesday, business experts, young entrepreneurs, and startups incubated by Nunya Lab gathered for the Mercredi Talk. The event had for a theme ICT opportunities for Togolese startups. 

The Talks, the first edition this year and also the first since the pandemic broke out in the country, was hosted by Emefa Kpegba, MD E-Technopole, and Edeh Dona ETCHRI, founder of E-Agribusiness and E-Agrisky.

The two experts who are well known in the tech environment in Togo shared lessons they learned as entrepreneurs, mentioning resilience, perseverance, and courage as key qualities to succeed. 

ICT, Tech, and training

More importantly, the goal of the event was to introduce young entrepreneurs to opportunities available in the tech industry, leveraging new tools like Big Data, AI, Blockchain, and cryptocurrencies (Bitcoin especially which has gained fame in recent years). 

The two hosts in this regard stressed the need for training and skill acquisition for startuppers. 

“Cryptocurrencies, Blockchain, Artificial Intelligence, what to do with those? (...) First of all, we need training, it’s imperative,” said Kpegba, who also happens to be a data scientist and an IT engineer. 

“As youth, if we want to innovate we need to get training (...) There are free courses online; all you need is an internet connection (...) there are even wifi spaces where you can easily access the web,” she added. 

Moreover, in terms of opportunities, to create value and transform, a given community requires “reading the latest news revealing innovations, and learning how to match what worked elsewhere to Togolese needs and realities.”

Opportunities 

For his part, Donah Etchri declared: We missed the industrial revolution but we now have the chance to catch up with the others with the digital revolution. According to the young entrepreneur, the objective should be to find “solutions to our challenges, solutions which can serve our communities.”

He then added that there are many opportunities available, “be it in the health, agriculture, tourism, and event sectors.”

To close the talks, both hosts recommended the Togolese youth to study success stories, both within and outside Togolese borders, and use the data obtained to tackle local issues. Sectors like logistics, transport, e-commerce, delivery, entertainment, health and wellness, urbanism, security, and civic engagement, or energy and the environment are full of challenges that need to be dealt with. 

Ayi Renaud Dossavi

Tomorrow, Feb 26, drilling works should begin under the sanitary conditions improvement project in the rural and school environment in the Kara and Savannah regions (PASSCO). VERGNET HYDRO, a French company, and ECM SARL, its Togolese partner, are in charge of carrying out the works.  

The news was disclosed by the ministry for water and rural hydraulics which presented the project at the last council of ministers held on February 24. 

Falling under the government’s new roadmap, the PASSCO will improve access to clean water in targeted communities. In figures, this access should move up from 77% to 85% in Kara and from 67% to 72% in the Savannah region. 

Besides the drilling of boreholes, hydraulic equipment will be supplied to local communities and they will be taught how to maintain them. Overall, the PASSCO will cost CFA6.58 billion. It is backed by France, via its development arm, the AFD. 

Ayi Renaud Dossavi

The CIZO solar electrification project will extend to the agricultural sector. Indeed, via its social support component, the program will purchase and set up 3,000 solar-powered irrigation pumps across the country. 

According to reliable sources, the Togolese Agency for Rural Electrification and Renewable Energy (AT2R) launched to this end a tender to acquire and install 600 irrigation kits. The tender, which will close on March 29, 2021, is financed with funds Togo secured from the African Development Fund (ADF) and the EU Emergency Trust Fund for Africa (EUTF). 

The goal of the Togolese government is to boost the resilience of 500 rural communities using solar power. The solar-powered pumps will help these communities develop autonomous agricultural activities.

Séna Akoda

Since it started operations in Togo in April 2019, Steel Cube Togo Sarl, which produces FE 500 iron rods, has exported over 20,000 tons of iron. This was revealed by Kumar Tiwari, MD of the company, after meeting with PM Victoire Tomegah Dogbe last week. 

Also, the executive indicated that the SCT will expand its Kara factory and diversify its portfolio of activities. 

“We appreciate Togo’s National Development Plan and with our factory in Kara, we contribute to this plan to accelerate economic development in Togo,” Tiwari said adding, “we will use local input which we get in Dapaong, Cinkassé, Bassar, Sokodé, and Sotouboua.”

The Indian businessman lauded the business environment which is favorable to his firm. “We have no input or electricity issues and we congratulate the Togolese government for the support and incentives we enjoy,” he concluded. 

Let’s recall that early this month, Steel Cube Togo was visited by the minister of trade and industry. Subsequently, it announced it would create 1,000 more direct jobs in the coming months. 

Klétus Situ

The government of Togo decided to relaunch the Novissi cash transfer program in the Savannah region, especially for the people of Cinkassé, Kpendjal, Oti, Tandjouaré, and Tône. 

These populations were subjected to restriction measures to prevent Covid-19 cases from rising in the region.  

The scheme will be deployed in the next two weeks. It will enable men and women in the prefectures concerned to get respectively CFA6,125 and CFA5,250 per head. 

Besides public officers, people registered on the national social security fund and the pension fund, all adults living in the region concerned will be covered. 

Eligibility to benefit from the program remain the same: having a valid voter’s ID delivered after 2018, be registered for the program, and provide required documents. 

Let it be recalled that around CFA12 billion has been disbursed so far under the program. Launched in April 2020, the Novissi cash transfer program has benefited more than 500,000 people. 

Ayi Renaud Dossavi

Online payment is now effective at the Société d’Exploitation du Guichet Unique pour le Commerce Extérieur (SEGUCE). This was reported last Tuesday to the PM Tomégah-Dogbé by SEGUCE's Director General, Olivier Lederer.  

“We met the Prime Minister and submitted to her the annual report of the SEGUCE, discussed our achievements over the past years - especially those highly awaited by the public, such as only payment to obtain single-fee documents. Now, they can pay online via wire transfer and no more need to move physically from our windows to banks,” Lederer said. 

Let’s note that the single window for external trade (GUCE) allows third parties involved in external trade and transport to submit all documentation required for import, export, transit and transhipping, at a single location. It also fosters transparency in all related processes. 

Séna Akoda

Despite the pandemic, Togo generated more tax income last year than it did in 2019. 

Though Lomé scaled down its forecast for 2020, due to Covid-19 and its pressure on the economy, the Togolese Revenue Office (OTR) -in charge of collecting taxes- garnered CFA652 billion last year. This is 4.5% more than the amount collected the year before (CFA624 billion). 

“We’ve managed to meet and even exceed our target,” says Philippe Tchodie, head of the OTR. The official is extremely pleased with the 108% achievement rate, in a context marked by a relative decline in economic activity and the numerous initiatives carried out by the government, in support of the private sector. 

Regardless of the good tax performance recorded in 2020, this year should be one of cautious optimism. Authorities downscaled the forecast for 2021, according to sources close to the matter. 

Ayi Renaud Dossavi