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Home»Business»Why government banned land transit of cooking oil
Business

Why government banned land transit of cooking oil

Ghana NewsBy Ghana NewsFebruary 22, 2026No Comments2 Mins Read
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Dr Ato Forson speaking to authorities after the ban Dr Ato Forson speaking to authorities after the ban

Government has announced a sweeping ban on the land transit of cooking oil through Ghana’s borders, directing that all such consignments must henceforth be routed exclusively through the country’s seaports.

The directive, issued by the Minister for Finance, Dr Cassiel Ato Forson, follows the recent interception of eighteen articulated trucks declared for transit to Niger but suspected to be part of a broader transit diversion scheme.

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Under the new measure, cooking oil consignments entering Ghana for onward transit to landlocked countries will no longer be permitted to move through land border collection points. Instead, they must be processed exclusively through Ghana’s seaports, where stricter valuation systems, electronic tracking, scanning infrastructure, and layered customs controls are operational.

Authorities say the decision is aimed at closing loopholes within the transit regime that have exposed the state to significant revenue losses. Post-interception examinations in the recent case uncovered material discrepancies in declared unit values, tariff classifications, and weights, which revised the suspended revenue exposure from approximately GH¢2.6 million to over GH¢85 million.

In addition to the prohibition on land transit of cooking oil, the Minister has directed the Ghana Revenue Authority to implement enhanced monitoring and strict compliance enforcement for all transactions originating from land collection points. This will include intensified cargo tracking, reinforced escort protocols, and tighter supervisory oversight.

The Minister has also ordered the prompt commencement of disciplinary proceedings against any Customs officers found culpable in similar breaches. Criminal investigations are to extend to importers and clearing agents where evidence supports prosecution.

Officials say the measures are designed not only to protect state revenue but also to safeguard local edible oil producers from unfair competition arising from diverted transit goods.

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The government has reaffirmed its resolve to apply the full rigour of the law, including confiscation and auction of impounded goods where applicable, and to ensure that Ghana’s customs regime is not exploited to undermine domestic revenue mobilisation and national development.

Watch as Dr Bawumia, Bola Ray pay tribute to late Alhaji Sidick:

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