Ghana receives new locomotives and wagons to boost Tema-Mpakadan railway operations

Ghana has received new railway equipment, including locomotives and freight wagons, to expand capacity on the strategic Tema-Mpakadan railway corridor as the country seeks to strengthen transport links and position itself as a regional logistics hub.

The Ghana Railway Development Authority (GRDA) received the new rolling stock at the Port of Tema, with local media reports indicating that the shipment included two locomotives and 20 freight wagons.

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The equipment is expected to increase freight capacity along the 97-kilometre standard-gauge railway linking the Port of Tema to Mpakadan near Lake Volta.

The railway project, valued at about US$449 million, was awarded to Indian engineering company AFCONS Infrastructure in 2016, with construction beginning in 2017. The line entered commercial operations in 2024 after several years of development.

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Despite its strategic importance, the corridor has been operating below capacity due to infrastructure limitations, particularly incomplete signalling systems.

GRDA said the current signalling arrangement allows only one train movement at a time, restricting the frequency of operations and limiting the railway’s ability to handle growing freight and passenger demand.

To address the bottleneck, the authority secured €20 million (US$22.7 million) in financing from the European Union to modernise the signalling system.

The upgrade is expected to improve train frequency, increase efficiency and allow the railway to operate closer to its full capacity.

The expansion of railway equipment comes as road transport continues to carry most cargo moving to and from Tema Port, contributing to congestion on major routes around the port.

Authorities expect the railway to absorb a larger share of freight traffic, reducing pressure on road infrastructure and improving supply chain efficiency.

The Tema-Mpakadan corridor is also part of Ghana’s broader ambition to develop a regional transport network connecting coastal trade routes with landlocked Sahel economies.

Plans are underway to extend the railway toward Burkina Faso, potentially creating a major trade link for countries including Mali and Niger by improving their access to Ghana’s ports.

The government sees the corridor as a key element of Ghana’s strategy to expand regional commerce, increase freight movement and strengthen its role as a West African logistics centre.

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