Guinea WT/TPR/S/251 
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  IV. TRADE POLICIES BY SECTOR 
(1) INTRODUCTION  
1. As far as sectoral trade policy is concerned, re form has been limited because of the successive 
political crises in Guinea since its previous Tr ade Policy Review (TPR) in 2005.  The new 
Government has declared the agricu ltural sector to be a priority in order to increase farmers' output 
and incomes, and also to provide better food security, but manifold taxes, surtaxes and fraudulent practices remain prevalent.  The St ate gives large subsidies for impor ts of rice, even though Guinea's 
climate is ideal for growing rice.  Bans on the e xport of fisheries products have been introduced.  
Moreover, the extent of illegal fishing has led to depletion of fisheries resources and, consequently, 
loss of interest in Guinean waters by trading partners. 
2. In the mining sector, which provides 90 per cent of the country's foreign currency earnings, in 
2011 the Government introduced reforms to enha nce governance, lessen corruption and increase the 
share of revenue accruing to the State.  Measures taken recently in relation to maritime transport include the expansion of two ports, the establishmen t of a national maritime transport company and a 
shippers' agency financed through a new tax levied  on international trade.  New legislation on 
competition in telecommunications has been in troduced, but Guinea lacks a "backbone" to allow 
high-speed connection at affordable cost. 
(2) A
GRICULTURE , LIVESTOCK AND RELATED ACTIVITIES  
(i) Overview 
3. Guinea's agriculture has many advantages that ar e barely utilized.  In addition to its long 
Atlantic coastline and its relative proximity to ma rkets in industrialized countries, Guinea has a 
climate ranging from tropical to subtropical and in cluding savannah, varied relief (mountains, water 
courses and valleys, etc.) and average annual rainfall of  over 1,300 mm.  It has 6.2 million hectares of 
arable land for a population numbering less than 11 million.  Only one quarter of this area is cultivated each year. 
4. These advantages make agriculture one of the most promising sectors for Guinea's economy, 
not only in terms of opportunities for trade, but also for improving food security and combating 
poverty.  Guinea's agriculture is currently essen tially subsistence farming whose output does not 
suffice to feed the population.  Rice is the principa l foodstuff consumed and one  quarter is imported.  
The continued depreciation of the Guinean franc has meant that the cost of food imports has risen sharply.  There are frequent food shortages and malnutrition is endemic.  Food security should 
therefore become the focus of the ne w Government's agricultural policy. 
5. Guinea's agricultural exports are below US$15 m illion annually, to which has to be added 
exports of forest products, whic h range from US$30 to US$40 million.  Agriculture has not always 
occupied such a weak position in Guinea's economy .  In the early 1960s, Guinea was one of the 
world's leading exporters of bananas and pineapples.   Agriculture met all the country's food needs and 
generated 60 per cent of its export earnings, not ably through the export of coffee and fruit. 
6. Guinea has many agricultural products:  fruit (b ananas, pineapples and mangoes), rice, maize, 
groundnuts and oil palms are grown in Basse Guinée  (Lower Guinea);  Haute Guinée (Upper Guinea) 
grows cotton, rice, maize, groundnuts and shea nuts, a nd produces natural rubber and flower oils;  oil 
palms, tea, quinine, rice and fish farming are also present in Guinée forestiére (the forested region of 
Guinea). WT/TPR/S/251 Trade Policy Review 
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  (ii) Principal institutions and programmes 
7. The National Directorate of Agriculture (D NA) in the Ministry of Agriculture (MA)1 is 
responsible for supervising the sector, together with the National Rural Promotion and Agricultural 
Advisory Agency (AMPROCA).  Following a revi ew of the MA's activities by the World Bank in 
20042, whose findings remain relevant, at the outset of the 2011 agricultural season, the President of 
the Republic promised that more agricultural extens ion officers would be deployed in the prefectures 
and would be given 600 motorcycles.  The Centra l Institute for Agricultural Research (IRAG) is the 
principal network for research and agricultural pla nning in Guinea and is financed to a large extent 
through French cooperation.3 
8. Guinea's National Chamber of Agriculture is th e leading professional association for farmers, 
livestock breeders, fishermen and foresters.  It provides support for both individual and collective 
initiatives in rural areas.  In 2010, for example,  it facilitated the MA's purchase of 100 rotary 
cultivators at a reduced price.  To finance its activities, the Customs levies 0.25 per cent of the 
c.i.f. value of imported goods and 0.25 per cent of the f.o.b. value of agricultural exports on behalf of 
the Chamber.4  These relatively high levies are unlikely to encourage recourse to formal export 
channels:  it would be advisable to envisage anothe r way of financing the Chamber in order not to 
discourage formal exports. 
(iii) Principal agricultural policy measures 
9. Raising the productivity of the agricultural la bour force is one of the new Government's 
priorities because 80 per cent of Guinea's economica lly active population only generates an average of 
20 per cent of GDP.  In order to achieve this, it is planned to make large increases in budgetary 
appropriations for agriculture;  these have range d from 1.7 per cent of the State budget (2005 and 
2009) to a maximum of 5 per cent (2007).  The new Government is seeking ways of building the DNA's financial, human and material capacity. 
(a) Fertilizer and other inputs 
10. The MA considers it a matter of urgency to fac ilitate Guinean farmers' access to the inputs 
(seed, fertilizer, herbicide, insecticide, equipment a nd machinery) needed to achieve the transition to 
more intensive agriculture.  The authorities have indicated in this connection that the National 
Directorate of Water Resources of the National Soils Service (SENASOL), which evaluates soil fertility and consequently fertilizer requirements, is  facing a serious lack of financial resources to 
enable it to conduct its soil profiles. 
11. In order not to penalize producers using impor ted goods, the inputs and equipment used for 
animal and plant production and fishing (fertilizer , phytosanitary products, seed, plant and genetic 
materials, wrapping and packaging materials, and fishing gear) are exempt from all import duties and taxes, including VAT, together with the majority of machinery and inputs. 
12. Fertilizer is currently imported both by the pr ivate sector, belonging to the Professional 
Association of Producers, Importers and Distributor s of Agricultural Inputs (APIDIA), and by the 
                                                      
1 The MA does not appear to have a website. 
2 World Bank (2004). 
3 Online information.  Viewed at:  http://www.irag-guinee.org/. 
4 Joint Order No. 4557/MEF/MAE/MPA/SGG of 17 October 2000 establishing the supplementary tax 
for Guinea's National Chamber of Agriculture.  Viewed at:  http://www.biasysat.net/douaneguinee/inst764.htm. Guinea WT/TPR/S/251 
 Page 49 
 
 
  DNA, which manages the donation from Japan under the "KR2" project.  This donation comprises 
fertilizer, phytosanitary products and agricultural machinery.  Depending on the year, these donations 
of fertilizer account for up to one third of total im ports.  They are then sold to producers at prices 
fixed jointly by the MA and the Ministry of Trade.   Several studies have suggested that regulation of 
the fertilizer market, in which private and govern ment importers coexist,  should be reviewed.5  
Moreover, although a national soil fertility plan was drawn up in 2001, there still does not appear to 
be any legislation on the import, distribution and control of fertilizer.6  Regulations are needed laying 
down the terms for approval of importers and distribut ors of fertilizer, together with standards for its 
storage, packaging, transport, distribution and control. 
13. According to the authorities, one of the prior ities for technical support should be agricultural 
mechanization.  This is why for a whole range of  agricultural tools (for example, axes, pitchforks, 
spades, clippers), Guinea's tariff is duty free and not aligned on the WAEMU's rates, which are 
10-20 per cent.  Nevertheless, among the inputs an d equipment that are not exempt are tyres for 
agricultural machinery, equipment for watering and sprayers.  These should be added to the 
aforementioned list in order not to discourage their use.7 
(b) Access to loans 
14. According to the MA, it is essential to facilitate access to  loans for farmers, mainly in order to 
buy inputs.  The Guinean Rural Credit Bank (CRG) was set up in 2000 in order to make good in part the deficit left by the bankruptcy of the Cred it Union.  The CRG provides loans for amounts that 
range from GF 300,000 to GF 9 million (approximat ely €30 and €900, respectively).  Its capital 
comes from the State, the French Development Ag ency (AFD), the Institute for Research and 
Implementation of Development Me thods (IRAM) and the Internationa l Development and Investment 
Company.  The CRG's major asset is its network of  85 local agencies spread over nine delegations, 
which provide farmers, pastoralists, craftsmen,  fishermen and traders with neighbourhood services. 
(c) Agricultural land tenure regime 
15. In the MA's view, land-use management and greater security of land tenure are currently a 
prerequisite for any increase in rural incomes.  At present, however, agricultural land cannot be 
bought in Guinea;  over two thirds of the land belong s to the State and is inalienable (Chapter II(4)).  
The land is managed by village communities, tr ibal groups and other traditional landowners.  
According to several observers, the lack of priv ate land ownership deeds discourages investment in 
agricultural production.
8  As collateral, for example, they do not appear to allow the granting of 
commercial loans intended to develop the land.  Private land tenure could therefore be further 
improved.  More legal security for land tenure and the possibility of mortgaging land in exchange for 
financing production would stimulate an increase in agricultural production. 
(d) Foreign investment 
16. The authorities would like to encourage foreign investment in agriculture by creating large 
projects bringing together foreign investors, the Government and village communities.  With this in 
view, the MA is currently mapping the arable re gions so as subsequently to lease the land to 
producers in exchange for a commitment to produce food crops.  The MA is seeking investment in 
                                                      
5 See USAID (2006). 
6 Republic of Guinea (2001). 
7 HS 4011.61.0000, 8208.40.0000 and 8424.81.2000 in the Customs Tariff. 
8 See in particular OECD (2006). WT/TPR/S/251 Trade Policy Review 
Page 50 
  
  which land purchases would be incorp orated into a programme to deve lop production, transport it to 
consumer markets and, eventually, export it.  Moreover, partnerships between foreign private 
companies and with the Guinean government sector ar e being sought in order to allow an exchange of 
technology and know-how in the area of agriculture.9 
(e) Internal taxation 
17. Agricultural income is not subject to th e 35 per cent tax on industrial and commercial 
profits (BIC), but to the tax on agricultural profits (IBA), which is 15 per cent.  The IBA does not apply to agricultural income earned from food cr ops grown on an area not exceeding 15 hectares for 
dry farming and 10 hectares for irrigated farmin g, agricultural income from experimental and 
scientific agricultural extension farms and new fa rms for a period of five years provided that 
minimum investment of GF 10 milli on (around €1,000) has been made.  Income that is not assessed 
on the basis of the amount actually earned is taxed at a flat rate.  Investors are subject to the common law regime (tax on wages and salaries, IBA after the fifth year, business tax, etc.), with the tax relief allowed by the regulations in force;  investors can also be approved under the Investment Code (Chapter II(3)) and be eligible for the related tax concessions. 
18. In theory, VAT applies to both domestic and im ported products according to the principle of 
national treatment.  But it is difficult, if not impossibl e, to levy on local agricultural products because 
local production is fragmented and is virtually all in the informal sector.  VAT, in practice, therefore 
constitutes a form of protection for production in  the informal sector against competition from 
imported goods and those in the formal sector.
10  In fact, buyers of agricultural products on local 
markets potentially have the choice between domestic  production (not taxed because it is produced by 
the informal sector) and imports of the same produc ts, to whose price must be added customs duty 
and VAT. 
19. The following agricultural products are exempt  from VAT:  rice, sugar, wheat flour and 
additives used to produce it, bread, edible vegetabl e oils and products subject to zero customs duty 
(mainly seed, see below).  Exemption from VAT is inte nded to lower their cost for the final consumer 
and for producers. 
(f) Taxation of imports 
20. Taxes on imports of agrifood products at the bor der are very high, principally for budgetary 
reasons and in some cases to protect domestic pr oduction.  The average entry duty for agricultural 
products (WTO definition, see Chapter III(2)) has re mained unchanged since 2005 (14.3 per cent) and 
is slightly higher than the current general averag e for all sectors (11.7 per cent).  A whole series of 
other entry duties, which total close to 60 per cent,  are also imposed at importation (Chapter III(2)). 
(g) Taxation of exports 
21. There is no customs duty on agricultural exports .  Customs, however, levies a supplementary 
tax amounting to 0.25 per cent of the f.o.b. value of agricultural exports.  This tax is intended to 
finance the activities of the Chamber of Agriculture and would need to be reviewed because of its 
potentially negative effect on exports, particular ly as the funds earned through this tax are not 
currently being handed over to the Chamber. 
                                                      
9 OECD (2007). 
10 Ministry of Agriculture, Livestock, Water Resources and Forests (2005). Guinea WT/TPR/S/251 
 Page 51 
 
 
  (iv) Trade policy by principal cate gory of agricultural products 
(a) Rice 
22. Guinea is one of West Africa's major rice-gr owing regions.  Rice is the principal foodstuff 
and is produced on 80 per cent of farms, usually on small areas for home consumption.  Guinea's 
rice-growing systems have comparative advantages, however, because of the country's abundant water 
resources and the fertility of the soil, which should enable large volumes of high-quality crops to be 
produced.  In 2010, the MA estimated yields to be 1.72 tonnes/hectare, so a total of 1.6 million tonnes 
of paddy rice should be harvested in 2010/2011 (Table IV.1), which would correspond to annual 
production of some 150 kg/inh, or 400 g of rice per pe rson per day.  The statistics available show an 
ongoing increase in the areas cultivated and in production, but not in yields. 
Table IV.1 
Rice statistics, 1997/1998, 2000/2001, 2005/2006, 2009/2010 and 2010/2011 
 1997/1998 2000/2001 2005/2006 2009/2010 2010/2011 
Crops (hectares)  480,000 665,600 724,600 871,600 938,000 (+7.7%)
Production (millions of tonnes) 0.7 1.1 1.3 1. 5 1.6 (+7%)
Yield (tonnes/hectare) 1.49 1.71 1.76 1.72 1.71
Commercial imports (millions of tonnes) 0.23 0.28 0.34 0.4 n.a.
n.a. Not available. 
Source : Guinean Ministry of Agriculture.  
23. There are several projects to grow irriga ted rice.  The Government-owned company 
Soguicoda grows rice intensively in the plains devel oped at Koba, land that belongs to the State.  The 
Amerigui plantation has taken ove r land developed in the Monchon plain, previously farmed by 
Sobergui.11  A monitoring centre for rice operated in Guinea from 1999 to 2006 in order to boost 
production, with financial support from France an d technical backing from France's Centre for 
Agricultural Research for Development (CIRAD)  (PRIAF-Riz).  The aim was to encourage 
coordination between private and government stakehol ders at the national a nd regional levels, but it 
would appear that it is no longer active.12 
24. Farmers sell the percentage of their producti on which they do not consume on local markets 
or to neighbouring countries, which are easier to r each and where prices are more attractive, leading 
to shortages in Conakry and other regions in Guinea.  The country apparently exports some 
150,000 tonnes of rice each year to neighbouring countries such as Guinea-Bissau or Gambia.  High-quality rice is reportedly exported while imports  are mainly what remains, with which the 
population has to be content.  Indeed, most of the rice consumed is broken rice imported at low cost.  
Imports sometimes account for over one fifth of  consumption (Table IV.1), and are increasing 
(Chart IV.1).  Food aid (essentially rice) under th e World Food Programme for the period 2007-2011 
is 26,128 tonnes (or around 0.2 per cent of the rice consumed at a cost of US$18 million).
13  Food aid 
is managed by the Ministry of Cooperation. 
                                                      
11 Online information from Amerigui plantation.  Viewed at:  http://amerigui.blogspot.com/. 
12 Online information from CIRAD.  Viewed at:  http ://www.cirad.fr. 
13 World Food Programme (2006). WT/TPR/S/251 Trade Policy Review 
Page 52 
  
  050100150200250300350400450
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009Thousands of tonnesChart IV.1
Rice imports, 1999-2009
Ministry of Agriculture. Source :
 
25. In March 2011, three major importers controlled most of the rice market and anti-competitive 
practices were frequent.14  The import and wholesale distribution markets for the principal foodstuffs, 
above all rice (see below), are marked by a lack of  competition, which means that there are frequently 
numerous instances of illegal behaviour.  The reason fo r this lack of competition is that few economic 
operators have the financial backing to pay for larg e volumes of imports and engaging in this activity 
requires that the importers be approved by the Mini stry of Trade, have an account in a primary bank 
and a line of credit there. 
26. When there are sharp price rises or shortag es (as was the case in 2007/2008 and again since 
mid-2010), the State buys food such as rice, sugar and ve getable oils at the globa l price and sells them 
at a subsidized price.  In March 2011, the subsid y was around 50 per cent of the c.i.f. price.  The 
Government calls on wholesalers to import the goods  and pays them a subsidy in exchange for a 
commitment on their part to sell at a lower price.  On occasions, buyers informed in advance purchase 
all the stock at the subsidized price only to sell it shortly afterwards on local markets at the market 
price.  Wholesalers sometimes create artificial shortages in order to cause prices to rise, thereby obliging the State to subsidize th e consumer price still further. 
27. Import duty is currently 20 per cent on rice in bags weighing 5 kg or less and 10 per cent on 
bags weighing over 5 kg and broken rice.  Referenc e prices apply to imports of rice (Chapter III(2)). 
(b) Other food crops 
28. The other major food crops are cassava (1 million tonnes produced in 2009/2010), 
maize (565,000 tonnes), fonio (345,000 tonnes) a nd groundnuts (300,000 tonnes).  The Government 
only oversees production to a minimum extent and tr ade in these products appears free, for both 
                                                      
14 Jeune Afrique , 22-28 May 2011. Guinea WT/TPR/S/251 
 Page 53 
 
 
  imports and exports.  On the other hand, potato es (45,000 tonnes produced in 2009/2010) have been 
identified as a branch that needs to be promoted in order to boost growth in re gional exports.  In 1992, 
a project was implemented by the Fouta Djallon Fa rmers Federation (FPFD), with the collaboration of 
France, the European Union and the Common F und for Commodities, to promote and organize a 
branch specifically for export to regional markets.15  A trademark "Belle de Guinée" and its logo have 
been registered with the OAPI (the Organization is  described in Chapter III(4)).  Exports of potatoes 
or seed potatoes go to Sierra Leone, Liberia, Guin ea-Bissau, Gambia and Senegal.  Trade flows were 
previously disrupted by seasonal bans on the import of potatoes intended to ensure sale of domestic 
production, and now by bans on exports intended to ensure supplies on local markets. 
29. Guinea does not produce wheat, but consumes la rge quantities of flour, part of which is 
produced locally and part imported subject to cust oms duty of 20 per cent (compared to 5 per cent for 
wheat) and other entry duties totalling close to 60 per cent.  Only fortified flour can be imported into 
Guinea.16  There appear to be reference prices fo r imports (US$320/tonne of fortified flour).17  The 
customs duty and other measures are intended to pr otect Guinea's milling company (GMG), which has 
a capacity of 170 tonnes of wheat and bran daily.  According to press reports, in February 2011, the 
mill was only using 15 per cent of its capacity and supplying 20 per cent of the local market.18 
(c) Export crops 
Cotton 
30. Since the plan to develop cotton growing in 1981, the cotton subsector has had 30 years 
marked by financial losses and rescue plans, wit hout production really taking off, despite a climate 
that is a priori ideal for growing cotton.  At its  peak in 1998, the French Textile Fibres Development 
Company (CFDT) produced 40,000 tonnes of seed co tton.  In 2000, it became the Guinean Cotton 
Company (CGC) and then Géocoton S.A.  At present, there are two ginning mills:  one in Kankan (with capacity for 35,000 tonnes of seed co tton) and another in Si guiri (20,000 tonnes). 
31. The reasons for this failure are to be sought in  the policies of low producer prices, high export 
taxes, inadequate cultivation equipment, the lack of fertilizer, the deplorable state of rural roads 
leading to production zones, the difficulty of obtain ing seasonal loans, as well as the lack of financing 
to provide effective support for production.  In recen t years, the plans to rescue the cotton subsector 
have taken up a non-negligible share of government  spending.  In 2007, the Government earmarked 
GF 15 billion (almost €3 million) to finance the CGC.
19 
32. According to an open letter to the President,  sent in January 2011 by the association of 
managers in the cotton subsector , cotton growing employs over 60,0 00 producers and their families 
and its socio-economic imp act is of key importance.20  The association considered it necessary to find 
a professional and financially credible partner to en sure not only the marketing of cotton lint and its 
by-products but also to give cotton producers t echnical support, supply agricultural and industrial 
inputs, purchase, collect, transport and gin the seed  cotton.  In addition to producers, local 
                                                      
15 Online information from the Common Fund for Commodities.  Viewed at:  
http://www.common-fund.org/Projects?project_id=360. 
16 Joint Order No. A/2006/4600 of 6 September on the fortification of flour. 
17 Online information.  Viewed at:  http://www.sabarifm.com/node/170. 
18 GuinéeInter (2011). 
19 Parliamentary Information Commission of the National Assembly (2008). 
20 Online information from GuinéeLIVE.  Viewed at:  http://www.guineelive.com/component/content/ 
article/1-guinee/2913-reflexion-sur-la-redyna misation-de-la-filiere-coton-de-guinee.html. WT/TPR/S/251 Trade Policy Review 
Page 54 
  
  stakeholders in the cotton subsector include those employed in ginning mills (226 permanent staff and 
200 seasonal workers), the textile plant at Sanoyah21, private transporters, weavers, craftsmen, banks, 
and suppliers of petroleum products and of agricultural and industrial inputs. 
33. On 20 May 2011, the President of the Republic issued a decree on the "Project to develop the 
cotton subsector in Guinea".22  This project is intended to create a private company whose shares will 
be held mostly by the State and by the company Géocoton S.A.  Géocoton Holding, created in December 2007 (51 per cent owned by the group  Advens and 49 per cent by CMA-CGM), has 
reportedly announced a sum of €5 million to revi ve the subsector.  Géocoton S.A. would be 
responsible for management and technical support. 
Coffee 
34. Coffee is one of the oldest of Guinea's e xport subsectors, but is not covered in the 
2011-2012 Poverty Reduction Strategy Paper (PRSP, Chap ter II(4)).  Plantations are mainly located in 
Guinée forestière.  The acidity of  the soil and the low fertility affect production.  Producers belong to 
the Federation of Coffee Planters of Guinée Fores tière, which does not app ear to have any legal 
structure enabling it to group supplies of inputs and market products. 
35. Hulling and exporting coffee is done by private companies.  Guinean coffee is mainly 
exported in uncalibrated form ("unsorted"), which fetches around 20 per cent below the global price.  
Exports vary from one year to another and th ere has been no noticeable growth since 2005 
(20,000 tonnes in 2009/2010).
23  Coffee mostly goes to Morocco, which grants preferences under the 
bilateral free trade agreement between the two countri es (Chapter II(4)).  Guinea's exports of coffee to 
the European Union were around 9,200 tonnes in 2009, for a total of €10.4 million.24 
36. Some projects, however, indicate that it is possible to revive production by introducing 
properly adapted agricultural machinery and by setting up a scheme to supply fertilizer.  A project with financial backing from France provides assist ance to planters for the first three years of 
cultivation, with improved seedlings, seasonal credits  and a dynamic professional structure to provide 
support for producers and exporters.  Coffee producers in Mont Ziama cultivate an area of 
2,000 hectares.  Their coffee is a candidate for a geographical indication under the OAPI's programme 
to support the introduction of ge ographical indications (PAMPIG).
25 
Rubber and oil palms 
37. The decision to develop the cultivation of rubb er and oil palms in Guinea was taken in 1986 
as part of the plan to revive export crops, but the subsector does not appear either in PRSP III.  In 
1987, the Government set up the Guinean Oil Palm and Rubber Tree Company (SOGUIPAH), which 
cultivates 22,000 hectares of plantations, including 5, 500 hectares of rubber plantations.  It markets 
(and exports) its production of palm oil and rubber and also determines the price to producers.  
                                                      
21 The textile plant at Sanoyah (1966), using Britis h technology, was designed to manufacture around 
22 million metres of fabric, based on a minimum of 4,000 tonnes of cotton produced domestically each year.  At 
one time, it was only operating with cotton imported from Egypt. 
22 Decree No. D/2011/156/PRG/SGb. 
23 Autonomous Port of Conakry (2010), Statistiques comparées . 
24 Online information from Eurostat.  Viewed at:  http://epp.eurostat.ec.europa.eu/portal/page/portal/ 
statistics/search_database. 
25 Online information from the Technical Centre for Agricultural and Rural Cooperation (CTA).  
Viewed at:  http://www.cta.int/en/Media/Files/Guinee-cafe-Ziama_Haba3. Guinea WT/TPR/S/251 
 Page 55 
 
 
  SOGUIPAH has an oil factory, a soap  works and a plant to process coagulum.  It is one of the largest 
firms in Guinea and has over 3,500 employees. 
38. PRSP III, on the other hand, mentions the need to  ensure better supplies of staple goods to the 
population, including vegetable oils.  The production  and import of refined oil are exempt from VAT 
and, in principle, from customs duty. 
Cinchona and quinine 
39. An industrial entity was set up in 1954 in the Macen ta prefecture, with an area of 250 hectares 
of cinchona plantations.  In the past, it employed 3,000 agricultural labourers.  The cinchona was used 
to manufacture quinine and a medicine against mala ria.  The quinine plant having been abandoned by 
its owners, a presidential decree of 24 May 2011  envisages its takeover by the Government. 
(d) Fruit and vegetables 
40. Because of its climatic and geographical assets, Guinea has remarkable potential for 
developing horticulture, as recognized in PRSPs II a nd III.  Exports of fruit and vegetables that could 
be developed if the infrastructure were in place include pineapples, mangoes and cashew nuts.  Currently, fruit and vegetables are only produced on a small scale on family farms. 
41. There are very few large plantations.  The Ar ab Libyan-Guinean Co mpany for Agricultural 
and Agro-Industrial Development (Salguidia), located 70 km from Conakry, was set up in 1976 by the Governments of Guinea and the Libyan Arab Jamahiriya.
26  At its peak, Salguidia grew pineapples on 
300 irrigated hectares out of a total of 2,000 hectares.   The company now needs foreign investment if 
it is to survive.  The plant produces juice, pulp and pineapple-, lemon- and mango-based concentrates.  
High customs duty (20 per cent), together with the degressive protection tax (TDP) of 15 per cent and 
other duties and taxes, mean that protection amounts to 62 per cent for domestic production compared to imports
27, but the result is that local products are not very competitive when exported. 
(e) Livestock and animal products 
42. Guinea has around 280,000 livestock breeders and the subsector is responsible for 4.6 per 
cent of GDP.  The herd comprises 4.7 million head of bovine cattle, 1.5 million sheep, 
1.8 million goats, 91,000 swine and 20 million poultry (2009).  Guinea produces around 
83,000 tonnes of meat, 132,000 tonnes of milk equivalent annually and 10,288 tonnes of eggs.  According to the authorities, this production means that 54 per cent, 86 per cent and 71 per cent of the food security objectives are being met per capita. 
43. The statistics for 2000-2008 show a rapid in crease in imports of poultry meat (SITC 012) 
(Chart IV.2), particularly poultry cu ts (wings, gizzards, livers, legs, etc.).
28  According to the FAO, 
these imported products are up to eight times less cost ly than local "live" chic kens, even after customs 
duty has been paid.29  Imports of meat, which amount to some US$2.5 million, are subject to entry 
                                                      
26 Online information from Salguidia.  Viewed at:  http://salguidia.com/HistOrgFR.html. 
27 Ministry of Agriculture, Livestock, Water Resources and Forests (2005). 
28 FAO (2008). 
29 Afrique Avenir  (2009), "Les importations de poulets co ngelés européens ru inent les élevages 
africains", July.  Viewed at:  http://www.afriqu eavenir.org/2009/07/01/les-importations-de-poulets- 
congeles-europeens -ruinent-les-elevages-africains/. WT/TPR/S/251 Trade Policy Review 
Page 56 
  
  duties that are usually 20 per cent.  Adding the VAT brings the total duty on meat up to 45 per cent.  
There is also a market of some US$4 million for imports of milk.30 
05001,0001,5002,0002,5003,000
2000 2001 2002 2004 2005 2006 2007 2008Chart IV.2
Poultry imports, 2000-2002 and 2004-2008 
US$ thousand
Poultry meat and offal, fresh, chilled or frozen (CTCI 0123)
Edible offal of bovine animals, swine, goats, sheep, etc., 
fresh, chilled or frozen (CTCI 0125)
Source :UNSD Comtrade (SITC Rev.3) database. 
 
44. The livestock subsector still face s considerable constraints, for example, illiteracy among 
livestock breeders;  the inadequacy of the on-the-spot  early warning system (particularly in the event 
of epidemics);  problems in making veterinary inputs available;  the lack of a coherent system for 
controlling the quality of livestock pr oducts;  and insufficient credit to enable the various activities in 
the subsector to raise productivity.  These difficu lties prevent intensification of livestock production 
and hold back the expansion of trade in these products. 
45. It would appear that there are substantial informal exports of cattle for slaughter to 
neighbouring countries (Guinea-Bissau, Liberia and Sierra  Leone in particular).  Official exports of 
livestock products, however, are negligible.  No Gu inean facility appears on the list of countries 
whose animal products have been declared in conformity with European standards.31 
46. The current infrastructure includes, inter alia , a veterinary supply centre in Conakry;  a 
central veterinary diagnostic laboratory (also in Conakry), which takes samples and analyses products 
at the request of companies.  In practice, the provisions on sanitary checks at the border are not applied. 
47. The Ministry responsible for livestock is in char ge of government policy in this subsector.  At 
the regulatory level, the Ministry has the task of implementing the Livestock and Animal Products 
                                                      
30 According to United Nations Comtrade data. 
31 Online information from EurLex.  Viewed at:  http://eur-lex.europa.eu/LexUriServ/LexUriServ. 
do?uri=OJ:L:2010:073:0001:01:EN:H TML and https://webgate.ec.euro pa.eu/sanco/traces/output/listsPer 
Activity_en.htm#. Guinea WT/TPR/S/251 
 Page 57 
 
 
  Code32, together with six related decrees.  This legislation regulates, inter alia , the sale of veterinary 
products and veterinary activities.  It also cove rs cross-border transhumance.  According to the 
authorities, Guinea also applies the ECOWAS Decisi on.  The Pastoral Code complies with the OIE's 
Terrestrial Code, the Codex Alimentarius, the SPS Agreement and the ECOWAS Decision of 1998. 
(3) FISHERIES  
48. Guinea has a 300 km-long coastline and benefits from the "upwelling" phenomenon 
(nutrient-rich cold water driven to wards the surface) specific to this region.  Despite its natural assets, 
the fisheries sector currently plays a relatively m odest role in the national economy (2 per cent of 
GDP according to estimates) and only employs some 30,000 people.  Even though the 1985 Code 
already provided for "optimum exploitation to prev ent over-exploitation", fisheries resources have not 
been the subject of any strictly applied rules and ille gal fishing by foreign trawlers is rapidly leading 
to the depletion of stocks.  In addition, there has been no new scientific evaluation of fisheries stocks 
by species since 2009. 
(i) Overview 
49. Guinea's exclusive economic zone  (EEZ) covers around 43,000 km2.  In principle, statistics 
on catches per species are available in the Fisheries Sta tistics Bulletin, whose latest issue was in 2006.  
In 2011, the authorities started to update the Bulletins  and indicated that, in general, catches in 2006 
were representative of the overall average of catches per species, giving a total of around 
100,000 tonnes composed of crustaceans (2, 000 tonnes), molluscs (7,000 tonnes) and 
fish (95,000 tonnes).  The latter comprise both demersal fish (60 per cent), and pelagic fish (40 per 
cent).  Small-scale fishing accounts for 60 per cent of catches and the rest comes from industrial 
fishing.  A large network of water sources, est imated to extend for 6,500 km, has unexploited 
potential for fish farming on an industrial scale.33 
50. Among the companies in existence, one co mpany with government capital, SOGUIPECHE, 
has refrigeration facilities.  Experiments in salting fish and farming shrimps at the industrial and 
village levels are being carried out by the K oba Aquaculture Company (SAKOBA), a semi-public 
company supervised by the Ministry of Fisheri es and Aquaculture (MPA), which is apparently 
managed by a Canadian private company and is seeking investors.34  SAKOBA processes fish either 
by curing or salting it and sells it mainly on regional markets. 
51. Annual per capita consumption of fish has risen from 7.4 kg in 1989 to around 14 kg in 2011.  
Although average consumption in the coastal area  is over 20 kg/year/inh, the figure is less than 
5 kg/year/inh in some parts of Guinée forestière and Haute Guinée.  There is a considerable lack of 
fish products on the domestic market and Guinea imports 45,000 to 60,000 tonnes of fish products 
annually despite its potential.  In 2010, the authorities even introduced a ban on exports in an effort to 
ensure sufficient suppli es on local markets. 
                                                      
32 Law No. L/95/046/CTRN/ containing the Livestock and Animal Products Code. 
33 For a study on Guinea's fisheries sector, see FAO (2004). 
34 Online information on fishing and aquaculture in the Republic of Guinea.  Viewed at:  http://fis.com/ 
guinea/koba.html. WT/TPR/S/251 Trade Policy Review 
Page 58 
  
  (ii) Regulation 
52. Since 1985, fisheries activities have, in principl e, been governed by a series of regulations 
laid down in the Marine Fisheries Code  and in the related implementing texts.35  The Fisheries Code 
prohibits the hunting or capture of all speci es of marine mammals in Guinean waters. 
53. These regulations are, however, not observed.   In 2010, as in 2001 and 2005, reports 
confirmed that between one third and one half of  the vessels present in Gu inea's EEZ were fishing 
illegally, most of them in the zone officially set  aside for small-scale fishing, from which they are 
banned.36  Frequent incursions by industrial fishing vessels in the zone reserved for small-scale 
fishing lead to accidental destruction of small-scale fishing gear and over-fishing of the resources 
traditionally exploited by small-scale fisheries.37  The MPA is urgently seeking institutional support 
and financial assistance in order to implement the ma ritime surveillance policy so  as to be able to set 
up effective surveillance missions. 
54. Each year, a fisheries plan is drawn up by th e National Centre for Fisheries Surveillance and 
Protection (CNSP), in cooperation with the Boussoura National Centre for Fisheries 
Sciences (CNSHB), and the National Directorate of Marine Fisheries (DNPM) in the MPA, which 
oversees the fisheries sector.  In order to implemen t the policy letter on development of fisheries and 
aquaculture, endorsed in 2009, a draft plan of action providing, inter alia , for the preparation of an 
information management system (website, intranet, electronic processing of files and procedures, etc.) 
is under way.  Although the MPA has high-speed VSAT equipment, financial problems have prevented it from renewing its subscription with th e provider and, in June 2011, the MPA apparently 
had no Internet connection. 
55. The 2011 plan for the development and manageme nt of fisheries defines the fishing and 
trawling zones, together with the mesh sizes authoriz ed and the thresholds of tolerance for releasing 
back into the sea.  In principle,  any fishing authorization imposes the presence of a CNSP observer on 
board the ship.  Pair trawling, purse seines and beach  seines are prohibited in order to protect Guinea's 
coastal marine environment.  As part of a pr ogramme to revive the sector, the MPA is seeking 
institutional and financial support to implement the aforementioned plan. 
56. Guinea recently notified the European Union of the Guinean authorities responsible for 
imposing the new European regulations against ille gal, unreported and unregulated (IUU) fishing
38, 
which came into force on 1 January 2010.  Because  it is facing a sanitary ban on exporting fisheries 
products to the EU (see below) and does not have  the means of ensuring effective control over 
Guinean-registered ships, Guinea h as suspended all issuing of catch certificates since August 2010.  
According to some observers, IUU fishing is estimat ed to account for 50 per cent of all fishing in 
Guinea.39  Guinea has identified specific needs in order to be able to have a reliable system for 
certifying catches and also to effectively suppress ille gal fishing by foreign operators in its waters. 
                                                      
35 Ordinance No. 038/PRG/85 of 23 February 1985 containing the Guinean Marine Fisheries Code, 
amended and supplemented by Law No. L/95/13/CTRN of 15 May 1995 containing the Marine Fisheries Code. 
36 Equitable Fishing Agreement Coalition (CAPE, 2010). 
37 FAO (2007). 
38 Council Regulation No. 1005/2008 of  29 September 2008.  Viewed a t:  http://eur-lex.europa.eu/Lex 
UriServ/LexUriServ.do?uri=CONSLEG:2008R1005:20100101:FR:PDF and http://ec.europa.eu/fisheries/cfp/ 
illegal_fishing/index_en.htm. 
39 European Commission (2009). Guinea WT/TPR/S/251 
 Page 59 
 
 
  57. In order to promote this sector, the Govern ment waives import duties and taxes on certain 
inputs, equipment and fuel utilized for fishing.  The MPA stresses, however, that economic operators 
find it very difficult to take advantage of these provisi ons and it is often obliged to intervene to ensure 
that the Customs applies these regulations. 
58. Many institutions are involved in the fisheries sector, including the Guinean Mutual Savings 
and Loan Fund for Small-Scale Fishing, which is a micro-credit institution.  The most important 
aspects in the sector are reviewed by the Gu inean National Fisheries Monitoring Centre.  
Three professional associations protect the inte rests of the profession:  the Guinean National 
Confederation of Fishermen, the Guinean National Union of Small-Scale Fishermen and the Guinean 
National Union of Women Fish Wholesalers.  A Guinean association of exporters of fisheries 
products also appears to play a role. 
59. At the regional level, several bodies have been set up, all of which declare their goal to be to 
promote policies and programmes directed toward s the conservation, development and rational 
exploitation of fisheries resources,  without however calling into ques tion the division of  fishing zones 
or the issue of depletion of resources.  There are, for example, the Ministerial Conference on Fisheries 
Cooperation among African States Bordering the A tlantic Ocean, established by the 1991 Dakar 
Convention;  the Fisheries Committee for the West Ce ntral Gulf of Guinea;  the Subregional Fisheries 
Commission;  and the Regional Fisher ies Committee for the Gulf of Guinea.40 
60. There are two research centres:  the Rogbanet Oceanographic Research 
Centre (CERESCOR);  and the CNSHB, which works in applied research under the supervision of the 
MPA in order to obtain better knowledge of fish eries resources.  A decree of November 1989 on 
protection of the marine environment against all fo rms of pollution lists substances that may not be 
discharged, as well as those which may be discharged s ubject to authorization.  It prohibits the transit 
of ships carrying hydrocarbons where there is a high risk of polluting the marine environment. 
61. Small-scale fishing is responsible for around half the catches landed in Guinea.  The 
fishermen are both Guineans and foreigners (m ainly Senegalese and Ghanaian, especially for 
demersal species and sharks).  Since 2006, it has, in principle, been subject to possession of a licence;  
normally, special areas are reserved for it.41  Small-scale fishermen are currently calling for the 
introduction of protected marine areas in order to move towards sustainable management of coastal 
resources.  Small-scale fishing is apparently more and more directed towards export.  Exporting firms 
are reportedly proposing to buy all the exportable production at sea and also appear to offer credits for 
operations and equipment.  According to the author ities, the main problems facing small-scale fishing 
are incursions by industrial fishing vessels in the rest ricted areas, illegal fishing, the use of prohibited 
fishing gear, the lack of properly adapted equipm ent (fragile and unstable canoes), the high cost of 
outboard motors, the lack of a suitable fi nancing scheme, and little expertise among 
Guinean fishermen. 
62. Industrial fishing accounts for the other half of cat ches;  it is practised almost exclusively by 
foreign fleets operating under two types of licence:  foreign vessels under fishing agreements (China) 
and vessels under free licences (other countries).  Some of this fleet is operated or chartered by Guinean ship-owners, with "national status" and a national fishing licence.  Royalties vary depending 
on the species;  the authorities have indicated that there is no longer any discrimination in the amount 
of the royalty according to nationality, because prev iously foreigners circumvented these regulations 
                                                      
40 Economic and Social Council (2010). 
41 Order No. 00676/2006 containing the regulations on small-scale fishing and Order No. 00677/2006 
adopting the manual for participatory surveillance procedures.  See also FAO (2007). WT/TPR/S/251 Trade Policy Review 
Page 60 
  
  by buying Guinean nationals' fishing rights.  Royaltie s for fishing rights are published annually in the 
Fisheries Development and Management Plan. 
(iii) International trade in fisheries products 
63. Exports of both fresh and frozen fisheries pr oducts accounted for 3 per cent of total export 
earnings in 2002;  since then, they appear to have fa llen sharply (Chart IV.3).   The MPA keeps a list 
of industrial fishing companies, which comprised 15 firms in March 2011.  Seven other companies are 
exclusively engaged in exporting a nd buy some of their fish from the industrial fishing companies.  
Lastly, two small-scale fishing cooperative associ ations, UNPAD and COPAD, also export some of 
their production. 
64. Since 1983, Guinea has signed nine consecutive pr otocols implementing fisheries agreements 
with the European Union (EU), a llowing EU vessels to fish in Gu inean waters against an annual 
payment.  They provide for a maximum quota of catches and also for comp lementary commitments 
on the part of the European Union intended to fi nance programmes for the Guinean fisheries sector.  
The agreement with the EU provided that part of th e catches should be landed for local consumption.  
As there is no processing infrastructure or cold chai n, this measure does not appear to have enabled 
good quality fish to be supplied to the population at low cost. 
0.02.04.06.08.010.012.0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010Chart IV.3
EU:  Imports of products of Chapter 03 from Guinea, 2001-2010
€million
030759 octopus 
030613 shrimps 
030749 cuttlefish and others
030379 frozen fish
Source :Eurostat .  
 
65. The negotiations on the latest fisheries partne rship agreement saw a substantial decrease in 
the amounts agreed with the EU.  The financial c ounterpart in the previous protocol, signed in 
June 2003, was €3.5 million for the years 2004 to 2008.   The financial counterpart proposed for 2009, 
to which was added support for development of the sector and a degressive appropriation to 
strengthen the surveillance component, was €1 million for the first year, decreasing in each of the 
subsequent years.  The main reason for this d ecrease was fewer proportional opportunities for fishing 
by tuna fishing vessels, which were still under-e xploited.  After the repression in Conakry on Guinea WT/TPR/S/251 
 Page 61 
 
 
  28 September 2009, the EU decided not to ratify the protocol signed for the period 1 January 2009 to 
31 December 2012. 
66. Around 15 Guinean firms, half of them freezer sh ips and the other half factory ships, are on 
the list of facilities authorized to market their pr oducts on EU markets.  Si nce August 2007, however, 
none of these facilities has been able to gain access to EU markets because their installations do not 
comply with the EU's sanitary standards.42  As Chart IV.3 shows, Guinea's exports of fisheries 
products to the EU, mostly shrimps and cuttle fish, declined sharply from 2005 onwards. 
67. Since 1997, several agreements between Guin ea and China on trawler fishing have been 
signed.  Each of them is for a period of two years and allows Chinese fishing vessels to fish in 
Guinean waters against a financial counterpart contribution.  The 2003-2004 agreement specified a 
monthly total of fish and cephalopods in exchange fo r a total financial counterpart of US$1.6 million.  
The agreement covering the period 1 January 201 0 to 31 December 2011 determines the number of 
fishing vessels at 17 for trawlers and cephalopod fi shing boats, with the possibility of increasing the 
number to 30, but without any increase in the financial counterpart, which is set at US$1 million annually. 
(4) M
INING AND ENERGY  
(i) Mining products 
(a) Overview 
68. Guinea's subsoil is extremely rich and contai ns over one third of the world's reserves of 
bauxite.  It also has large reserves of iron ore;  there are estimated to be 25-30 million carats of 
diamonds, making Guinea the 11th largest producer of rough diamonds in value terms.43  Gold is also 
mined, but this is not yet the case for manganese, zi nc, cobalt, nickel or uranium.  According to the 
authorities, the sale of mining products brought in US$642 million in 2004, or 16 per cent of GDP, 
and accounted for over three quarters of exports a nd between 20 to 25 per cent of the State's revenue. 
69. The policy goal in this sector is to attract inv estors while at the same time creating the largest 
possible number of jobs for Guineans and also protecting the environment.  Most mining is in 
open-cast mines, generally leading to degradation of the soil, destruction of the plant cover and 
pollution of water by the discharge of industrial wastewater, grease and chemicals, which end up in 
the water table.  According to the authorities, basins  have been built to treat toxic residues in order to 
overcome these problems. 
70. In January 2011, the President of the Republic declared the intention to increase the 
State's holding in the capital of mining companies from 15 per cent to 33 per cent in order to obtain a 
controlling interest.  In June 2011 , the Mining Code and its implemen ting texts were being revised.  
The President also announced that a new mining policy would be drawn up in the months to come in order to enhance governance in the sector, lessen co rruption and increase the State's revenue from this 
sector.  As can be seen from Table IV.2, the State's revenue is currently no more than 15 per cent of 
the value of exports and this percentage has tende d to decline despite a twofold increase in the value 
of exports. 
                                                      
42 Online information from the European Union.  Viewed at:  https://webgate.ec.europa.eu/sanco/ 
traces/output/FFP_GN_en.pdf. 
43 Online information from the US Geological Survey Minerals Yearbook .  Viewed at:  
http://minerals.usgs.gov/minerals/pubs/country/2009/myb3-2009-gv.pdf. WT/TPR/S/251 Trade Policy Review 
Page 62 
  
  71. The Government is also seeking to resolve the governance problems which prevent the sector 
from making an effective contribution to the co untry's development and combating poverty.  
One measure is the introduction of a system for sy stematic publication of in come earned from the 
mining sector in accordance with the standards of the Extractive Industries Transparency 
Initiative (EITI).44  Guinea acceded to the EITI in April 200545, and must achieve its EITI validation 
by 29 February 2012 at the latest.  In December 2009, when the political and security situation made 
implementation of the EITI impossible, its status as an EITI candidate was suspended.  In March 2011, the EITI announced that Guinea's voluntar y suspension had been lifted at the request of 
the Guinean Government. 
72. Although Guinea has the largest reserves of baux ite, it only accounts for 12 per cent of global 
production, behind Australia (37 per cent).  Two co mpanies, the Bauxite Company of Guinea (CBG) 
and the Kindia Bauxite Company (CBK) export ba uxite directly.  The third company (Alumina 
Company of Guinea (ACG)) has been producing alumina since 1959 but its output has not increased and Guinea's share of global production of alumina is estimated to be less than 2 per cent.  Guinea 
does not produce any aluminium. 
73. Guinea is one of the world's ten largest pr oducers of diamonds, with production that rose 
sharply in 2008.
46  Most diamond mining is on a small scale (Table IV.2).  Some small 
semi-mechanized enterprises and many small-scale enterprises mine gold and diamonds on a small 
scale.47  Both exports and the tax revenue from this sector are highly dependent on global prices for 
mining products. 
74. Since 2002-2003, Guinea has taken part in the Ki mberley Process, in particular, through the 
National Confederation of Diamond and Gold Mine rs of Guinea (CONADOG).  Under this process, 
Guinea set up a scheme to certify rough diamonds in 2001.48  In 2009, however, some cases of exports 
of Guinean diamonds covered by false certificates (Kimberley Process Certificates - KPC) to the United States and China were discovered.
49  A Diamond Buying and Export Agency (CARAT) has 
also been set up.  Guinea belongs to the African Diamond Producing Countries Association. 
Table IV.2  
Mining statistics, 2003, 2004, 2007 and 2009-2010  
  Exports Government 
revenuea 
Entity Year US$ million Millions of 
tonnes US$ million 
Guinean Bauxite Company (CBG - bauxite) 2003 248.6 12.5  62.8 
 - Concession of 1,269 km2 up to 2039  2004 285.2 12.9 76.2 
 - Guinean State:  49% 2007 430.3 12.4 120.0 
 - Alcan, Alcoa (United States, Canada):  51% 2010 365.9 12.6  76.5
     
Kindia Bauxite Company (CBK - bauxite) 2003 14.8 1.41 1.1
 - Concession of 1,015 km2 up to 2026 2004 22.0 2.08 1.1
 - Russki Alumini:  100% 2007 23.4 2.91 2.65 
 2009 32.8 2.91 n.a.
     
                                                      
44 Online information from the EITI.  Viewed at:  http://eiti.org/fr. 
45 Online information from the Guinean Government.  Viewed at:  http://www.guinee.gov.gn/itieg.php. 
46 Information from Diamants infos.  Viewed at:  http://www.diamants-infos.com/brut/ 
pays-producteur-Guinée.html. 
47 USAID (2008). 
48 Idem . 
49 Online information from the US State Depa rtment.  Viewed at:  http://www.state.gov/ 
documents/organization/123866.pdf. Guinea WT/TPR/S/251 
 Page 63 
 
 
    Exports Government 
revenuea 
Entity Year US$ million Millions of 
tonnes US$ million 
Alumina Company of Guinea (ACG - alumina)  2003 87.77 0.74 2.35 
 - Concession of 1,776 km2 up to 2025 2004 99.19 0.77 2.13 
 - Guinean State:  15% 2006 147.06 0.53 1.45
 - Russki Alumini:  85% 2010 163.60 0.60 66.50
     
Guinean Gold Mining Company (SAG - gold) 2003 91.73 7.56 3.12
 2004 71.32 5.35 2.52
 2007 228.6 10.10 12.58
 2010 390.89 10.10 21.11
     
Dinguiraye  Mining Company (SMD - gold) 2003 33.73 2.88 1.82 
 - Guinean State:  15% 2004 30.95 2.56 1.68
 - Guinor (Norway):  85% 2007 60.73 2.70 3.27
 2010 239.0 6.72 11.26
     
Semafo (gold) 2003 15.17 1.45 0.88 
 2004 13.69 1.26 0.74
 2007 18.87 1.07 1.02
 2010 37.01 0.96 1.73 
     
Small-scale gold miningb 2003 49.62 4.43 0.0025
 2004 68.56 5.54 0.059
 2009 n.a. n.a. n.a.
 2010 n.a. n.a. n.a.
     
Aredor (diamonds) 2003 5.52 24.3 0.76 
 2004 3.04 40.1 0.40
 2009 n.a. n.a. n.a.
 2010 n.a. n.a. n.a.
     
Small-scale diamond mining 2003 40.88 641.7c 1.23 
 2004 48.36 669.8c n.a. 
 2010 18.00 374.1c 1.02
     
Total 2003 588 n.a. 72 
 2004 642 n.a. 85 
 2010 1,200 n.a. 160
n.a. Not available. 
a Mining taxes, export taxes, BIC tax and local development taxes. 
b Part of which is exported by private dealers and the rest  bought by the Central Bank of the Republic of Guinea (BCRG). 
c In carats. 
Source : Guinean authorities. 
(b) Ongoing projects in the mining sector 
75. In 2011, it was planned to invest over US$1 billion in producing al umina and expanding the 
port at Kamsar (Table IV.3).  These investments would be e quivalent to Guinea's annual GDP, 
underlining the importance of putting in place appropr iate trade and macroeconomic policies in order 
to prevent strong inflationary trends if these invest ments come about.  In March 2010, in the iron ore 
sector, Rio Tinto (United Kingdom, Australia) and Chinalco (China) signed a memorandum of understanding on setting up a joint venture to exploit the iron ore in Simandou in the south-east of Guinea.  The project includes both a mine and rail and port infrastructure.  Under this agreement, 
Chinalco will hold 47 per cent of the shares for an in put of US$1.35 billion;  the International Finance 
Corporation (World Bank Group) 5 per cent;  and Rio Tinto the remainder.  It would appear that 
Rio Tinto has already invested over US$600 million in  this project.  Once it begins to operate, the WT/TPR/S/251 Trade Policy Review 
Page 64 
  
  project should produce 70 million tonnes of iron ore each year.  The Guinean Government has a 
purchase option for over 20 per cent of the project which, if taken up, will be deducted from the 
holdings of the other shareholders. 
76. Also in the iron ore sector, on 30 April 2010 the Brazilian Group VALE announced that it 
controlled part of the deposits at Simandou and Zogota, in association with the Israeli company 
BSGR, declaring total investment of US$2.5 billion,  of which US$500 million in cash.  The ore is to 
be transported directly for export from the Liberian  coast, which is some 160 km from where it is to 
be exported.  BSGR Guinea also plans to build a railway for passengers and goods linking Conakry to 
Kérouané, via Kankan (section (6)). 
Table IV.3 
Summary of "major projects" in the mining sector, 2010  
Title of project Purpose Investment 
(US$ million)Investor/ 
promoter Basic capacity Work 
commenced
Bauxite - alumina - 
aluminium      
Sangarédi alumina plant Alumina refinery 4,000 Global Alumina, BHP, 
DUBAL 3.2-5.6 mt/year 
alumina Yes 
(2009) 
Kamsar alumina plant Alumina refinery 1,000 Alcoa + Alcan 1.5-4.5 mt/year 
alumina No 
Dian-Dian Dian-Dian bauxite mine;  
alumina refinery;  in the 
long term, aluminium 
foundry 4,000 COBAD/Russki 
Alumini 6.6-12 mt/year 
bauxite 
1.2 to 2.8 mt/year 
alumina No 
SBDT (Dabola-Tougué 
Bauxite Company) Dabola-Tougué bauxite 
mine;  alumina refinery 2,500 SBDT (Iran) 8 mt/year bauxite 
1 mt/year alumina Yes 
Expansion of Fria plant Increase capacity from 0.7 
to 1.2 mt/year of alumina 350 ACG/Russki Alumini  No 
Konkouré integrated project Souapiti and Kaleta dams 
and aluminium foundry 2,500 Partners to be sought  725 MW 
240,000 t/year 
aluminium No 
Other areas      
Simandou Iron ore mine 800 Rio Tinto-Chinalco 25 then 40-70 mt/ 
year iron ore No 
Simandou Zogota Iron ore mine 2,500 Vale BSGR 40-70 mt/year Yes 
Monts Nimba Iron ore mine 1,000 Euronimba 30 mt/year iron ore No 
Trans-Guinean (railway and 
deep water port) Transport of iron ore from 
Nimba and Simandou to the 
coast (Matakang) >6,000 Tripartite committee 
State/Euronimba/ 
Rio Tinto 200 mt/year n.a. 
Cogon dam Dam and hydroelectric 
power station 180 (surveys by 
SNC-Lavallin) 50 to 80 MW n.a. 
Sougéta Cement Company Limestone quarry and 
cement works 105 Sougueta Engineering 525,000 mt of 
cement n.a. 
n.a. Not available. 
Source : Information provided by the Guinean authorities. 
(c) Mining regulations 
77. The tax and customs regime applicable to mi ning companies is to be found in the Mining 
Code, the General Tax Code, the Customs Code, and the basic agreements on each project.  The Guinea WT/TPR/S/251 
 Page 65 
 
 
  1995 Mining Code50 and its implementing decrees determine the criteria for access to mineral or fossil 
substances in the subsoil, Guinea's EEZ or on the surface, as well as in underground water and 
geothermal fields.  The Mining Code defines and imposes a system of internal controls of the ownership chain, with documented transactions that ar e strictly limited to approved participants.  The 
lack of material, human and financial resources, how ever, hampers the effective application of these 
regulations.
51 
78. The Mining Promotion and Development Centre  (CPDM) acts as the interface between 
investors and the government authorities.  The CPDM  does not have a website and is part of the 
Ministry of Mining and Geology, which is the institution responsible for policy in this sector.52  The 
National Directorate of Mining (DNM) is in char ge of controlling and monitoring mining companies 
and projects throughout Guinea.  The Chamber of Mines represents the interests of the 
Guinean private mining sector. 
79. The Mining Promotion and Development Fund was designed to be a trust fund with its own 
accounts and budget, under the supervision of the Mi nistry of Mining and Geology.  This Fund is 
replenished by the national budget, by external resour ces and by subsidies.  Pursuant to Article 163 of 
the Mining Code, these resources are in principle intended to support geological and mining 
prospection, encourage the development of mini ng and the processing of the mineral substances 
extracted on-the-spot, and constantly to improve performance in the mining sector.  Since 1998, most 
observers concur that these resources are being used for purposes other than mining promotion and 
development. 
80. The Code's provisions provide that any Guinean or  foreign public or private natural or legal 
person under Guinean law possessing the necessary t echnical and financial capacity may exploit 
mineral substances or quarries.  The Mining Co de distinguishes between a survey licence, a 
small-scale exploitation permit, a prospection permit,  an exploitation permit and a mining concession.  
Only Guinean natural or legal persons, however, ma y engage in the semi-i ndustrial and small-scale 
mining of precious substances.  Although small-scal e exploitation stimulates entrepreneurship and 
income, the "exploitation rights" (Article 3 of the Code) and the areas they cover do not appear to be 
recorded by the DNM.53 
81. When the State grants a permit to exploit preci ous substances, it becomes entitled to shares 
amounting to 15 per cent of the capital of the opera ting company without any financial contribution 
(Article 167 of the Code).  The State may also  ask for a holding in any exploitation of other 
substances, against a financial cont ribution negotiated with the invest or, but in such a way as not to 
impede control of the operation. 
82. The granting of mining or quarrying rights requires the payment of a fixed fee and an area 
royalty.  The relatively low royalties essentially go to  local budgets, together with a levy of 1 per cent 
of diamond companies' turnover (0.4 per cent in the c ase of gold) for local authorities' budgets.  In all, 
these local development taxes only represented 0.02-0.03 per cent of the turnover of mining 
companies in 2003-2004, with the remainder going to the State's budget.  The CBK does not appear to pay any local taxes. 
                                                      
50 Law No. L/95/036/CTRN of 30 June 1995.  View ed at:  http://www.droit-a frique.com/images/textes/ 
Guinee/Guinee%20-%20C ode%20minier.pdf. 
51 USAID/Guinea (2008). 
52 Online information from the Guinean Government.  Viewed at:  http://nimba.guinee.gov.gn/ 
liredecret.php?id=14. 
53 USAID (2008). WT/TPR/S/251 Trade Policy Review 
Page 66 
  
  83. Any mineral substance extracted is subject to a mining tax, the rate of which and the methods 
of calculation vary according to the substance.  This  tax, which does not apply to precious substances 
mined on a small scale, is deductible from the taxabl e profit.  The rate varies from 2 to 10 per cent of 
the f.o.b. value or final selling value, depending on whether the substance is exported or sold locally, 
in natural state or processed:  the highest rate s apply to unprocessed exports (Article 139 of the 
Mining Code), for example, bauxite (10 per cent);  an d the export tax is lower for alumina (5 per cent) 
in order to boost production. 
84. To this must be added an export tax levied by the BCRG on gold and diamonds (Article 141 
of the Mining Code).  Diamond miners on a small scale sell their diamonds either to collectors, who 
sell them on to agents, or directly to agents a pproved by the BCRG.  The mining companies sell their 
diamonds at auctions, in which external clients and the BCRG take part.  Diamonds and gold mined 
on a small scale are exported by the BCRG.  The rate  of the export tax is 2 per cent on gold exported 
by the Central Bank, 3 per cent on that exporte d by the private sector, and 3 per cent on diamond 
exports. 
85. Companies investing in the mining sector are gi ven "tax and customs concessions" specified 
in the Mining Code.54  Mining companies that have signed basic agreements with the State are eligible 
for the additional customs and tax exemptions speci fied in each agreement, and also in special 
provisions concerning the exchange regime and mi ning taxes.  Although the National Assembly is 
required to approve each agreement, the specific provisions are set out in annexes protected by 
business secrecy.  The BIC is, in principle, levied at  a rate of 35 per cent.  Losses can be carried 
forward for three to five years depending on the ag reement.  Investment credits are also granted.  
Exemptions from this tax are given in economica lly less developed zones.  According to the 
authorities, as mining companies often declare bankruptcy they rarely pay this tax. 
86. As regards precious substances, a National Bu reau of Expertise in Diamonds and Other 
Gems (BNE) has been set up, but has no website .  The BNE is responsible for overseeing and 
regulating the export of diamonds a nd other precious stones.  An order in 2007 determined the amount 
of the duties, royalties and taxes applicable to the marketing and export of diamonds.55 
87. Legal transactions in diamonds are only allowe d between approved and registered operators, 
in accordance with the Kimberley Process certifica tion scheme.  The only persons authorized to 
possess or transport diamonds are holders of small-scale mining rights;  approved collectors of diamonds;  agents approved for buying and exporting diamonds;  the specialized officials of the BNE, 
who value the stones and precious metals;  the BCRG;   and foreign importers in possession of a valid 
import certificate. 
(ii) Trade in hydrocarbons 
88. All petroleum products consumed in Guinea ar e imported.  These imports account for about 
one quarter of Guinea's total imports of goods.  The trend in imports is shown in Table IV.4.  On 
average, consumption of hydrocarbons increases by over 15 per cent a year, much more rapidly than 
economic growth.  This is because fuel (with the ex ception of kerosene) is re-exported informally to 
neighbouring countries.  In fact, the low level of taxation means that the price of petroleum products 
is low. 
                                                      
54 Guinean Customs has made the relevant provisions ava ilable to the public on its website.  Viewed at:  
http://biasysat.net/douaneguinee/codemin.htm. 
55 Joint Order No. 012/MEEF-MMG/SGG of 5 January 2007 determining the amount of duties, 
royalties and taxes applicable to the marketing of diamonds. Guinea WT/TPR/S/251 
 Page 67 
 
 
  Table IV.4 
Imports of petroleum pr oducts, 1990 and 2006-2010 
(Tonnes) 
 1990 2006 2007 2008 2009 2010 
Petrol 77,483 124,797 158,144  154,913 176,924 211,474 
Gas oil 99,270 201,461 208,942 236,270 215,242 249,035 
Kerosene 8,565 28,131 19,440 15,563 10,464 12,923 
Source : Guinean authorities (National Directorate of Energy). 
89. Customs duty ranges from 5 per cent (HS 2709) to 20 per cent (HS 2710) on semi-finished 
and finished products.  Total taxes levied on pe trol account for 33 per cent of its selling price, 
compared to 60 per cent in 1998.  In April 2011, the price of petrol and diesel fuel was GF 7,500 or 
around €0.75. 
90. The mining companies are the largest cons umers of hydrocarbons.  According to the 
authorities, only the CBG and Russal have been given exemption for the import of petroleum products for their own consumption.  According to the Guin ean Customs, these exemptions lead to large losses 
in revenue for the Treasury and involve a risk of fraud.
56 
91. This is why the levels of taxation and the fiscal exemptions would need to be reviewed by the 
joint committee responsible for dete rmining the price of petroleum pr oducts according to international 
prices and import costs.  The committee consists of the oil companies, representatives of the Ministry 
of the Economy and Finance, the Ministry respon sible for trade, the BCRG and the Office of the 
President of the Republic.  The profit margins for transport, distribution and retail sales are laid down for each of the products.  The selling price is the sa me throughout Guinea.  The stabilization fund that 
existed in 2005 has been wound up. 
92. The committee is also responsible for managing im ports.  It organizes calls for bids to supply 
petroleum products and monitors stocks.  The Gu inean Petroleum Company (SGP) has a monopoly of 
all import and storage in the Autonomous Port of Conakry (PAC) and of bulk delivery of petroleum products.  The SGP is a semi-public company jointly owned by the State and the major private companies.  General management is exercised by Total or Shell in turn for periods of three years.  It 
has not yet been notified to the WTO as a State-trading enterprise. 
93. The State has also kept its holding in the Société mixte de carburant et d'avitaillement de 
Guinée  (Semi-Public Fuel Handling Company of Gu inea (SOMCAG)), which is responsible for 
supplying fuel to aircraft.  Its capital is 49 pe r cent owned by the Guinean State and 51 per cent by 
Total. 
94. International and Guinean oil companies are responsible for transporting and distributing 
petroleum products.  In 1996, there were 200 petrol st ations, 30 of them in Conakry;  15 years later, 
the total number has risen to 220, of which 72 are in Conakry. 
(iii) Electricity 
95. Guinea has considerable hydroelectric power potential of around 6,000 MW, but it is 
under-exploited.  Average solar power is 4.8 to 5.8 kWh/m
2/day in Haute and Moyenne Guinée.  
                                                      
56 Instruction on the control of fuel subject to exemption or conditional relief arrangements.  Viewed at:  
http://www.douanesguinee.gov.gn/inst603.htm. WT/TPR/S/251 Trade Policy Review 
Page 68 
  
  Average wind speed is 2 to 4 m/s.  The authorities have identified 200 sites on which large 
hydroelectric power stations could be developed. 
96. At present, only 125.5 MW are generated, by four power stations.  In view of the low level of 
investment and the lack of maintenance of the existing infrastructure, the electricity supply is 
deficient, especially during the dry season, when ther e are frequent power cuts throughout Guinea.  In 
December 2010, the major producer even ceased to ge nerate electricity totally for several days.57 
97. The electric power sector comes under the re sponsibility of the National Directorate of 
Energy in the Ministry responsible for energy and the environment.  The State-owned Guinea 
Electricity (EDG) company was created in 200158, after the State had resumed management of the 
sector on the recommendation of its development partne rs, following termination of the contract with 
the private supplier.  The EDG provides 52 per cent of  the domestic production of electricity, with the 
rest being independently produced.  Numerous companies, including mining companies (and private persons), have installed generators  in order to meet their own energy needs.  In 2006, the EDG only 
generated 543 GWh, or 60 per cent of demand, with an estimated shortfall in production of 380 GWh. 
98. The average rate for high and low voltage elec tricity for industry is GF 1,243/kWh (around 
€0.12).  Electricity rates in Guinea are determined in a joint order by the Minister of the Economy and 
Finance and the Minister of Energy.  These rat es are the same throughout Guinea and there are 
two categories of consumer (i ndustrial and private).  The current rates date from 2008. 
99. Since it was set up, the EDG has also had to contend with serious cash flow problems and 
finds it hard to collect payments because of unpaid bills (particularly by the State, its main client), 
making it difficult to build production capacity in towns in the interior of Guinea and to bring 
electricity to new towns.  One of the major factors th at could lead to a revival of the electricity sector 
is the fact that, without energy, any development of the mining industry is jeopardized. 
100. In 2007, the Government received a loan  from the International Development 
Association (IDA - World Bank Group) to upgrade th e operational and commercial efficiency of its 
energy sector.  The objective of the Project to Impr ove the Efficiency of the Electricity Sector 
(PAESE) is to bring the sector up to a viable le vel of performance in preparation for a long-term 
reform plan.  The project has three main components:  improving the efficiency of distribution;  rehabilitating production;  and ins titutional strengthening and technical assistance.  In May 2011, the 
DNE had identified 18 projects for hydroelectric power  stations, for which public-private co-financing 
was sought. 
(iv) Water 
101. As already indicated, average rainfall of ove r 1,300 mm annually makes Guinea one of the 
most important reservoirs of water in West Africa.  Water is naturally availa ble through an extensive 
network of 1,200 rivers a nd water courses listed by the Nationa l Division of Water Resources in the 
Ministry responsible for energy and the environmen t.  Nevertheless, few towns have running water.  
Total daily production for the country as a whole is some 159,000 m
3 (58 million m3 annually), 91 per 
cent for the city of Conakry and 9 per cent for the other towns.  In 2010, the country had only 24 other water treatment plants (for 33 urban centres). 
                                                      
57 Online information.  Viewed at:  http:// www.kababachir.com/?option=com_content&view= 
article&id=27717:que-se-passe -t-il-a-lelectricite-de-guinee-&catid=37:politique. 
58 Online information from the Guinean Electricity Company.  Viewed at:  http://www.africa-ata.org/ 
gu_electricite.htm. Guinea WT/TPR/S/251 
 Page 69 
 
 
  102. There are frequent shortages of water because  demand far outstrips production capacity.  For 
example, in Kindia, Guinea's second-largest town (150,000 inhabitants), the shortfall in access to 
drinking water and sanitation is well below the Millennium Goals59, because of the degradation of the 
drinking water infrastructure, almost non-existent sanitation infrastructure and inadequate supplies for 
the population at a time when it is experiencing st rong growth (+50 per cent in ten years).  These 
deficiencies lead to an alarming health situation:  water-related diseases such as typhoid fever, chronic 
diarrhoea and recurring cholera, which directly th reaten the town's development and capacity to 
attract. 
103. The latest investment in expanding the capac ity of these facilities dates back to 1994.  The 
principal legislative text also dates from that era.60  In 2001, the State resumed management of the 
water sector following termination of the contract with the private supplier and entrusted the Guinean 
Water Company (SEG) with managing the urban water resources subsector.61  This public limited 
company with a State holding has a monopoly and is responsible for investment and maintaining and 
operating the national urban wate r resources network.  Water charges throughout Guinea are 
determined in a joint order by the Minister of th e Economy and Finance and the Minister responsible 
for water resources. 
104. The water subsector at the village level is administered by the Water Distribution 
Company (SNAPE), which is responsible for providing water distribution points in Guinea's interior and for sanitation in rural areas.  In May 2011, the Government presented 12 development projects for 
the water sector, for which financing is being sought  from private investors and development partners. 
(5) M
ANUFACTURING AND CRAFTS  
105. The manufacturing sector consists of around 100 formal enterprises62, engaged in the agrifood 
industry (food and beverages), followed by metal pr ocessing, printing, and some other basic products 
(soap, chemicals, etc.).  The new Government is  facing up to the challenge of putting in place the 
infrastructure needed to develop a manufacturing sector  that creates jobs.  Currently, with only a few 
hours of electricity and water supplies each day, Guinea is not yet a suitable place for industrial 
production that uses water or electric power.  Manufacturing only accounts for 2 per cent of GDP, 
one of the lowest levels in the world. 
106. Nearly all the formal enterprises are in the fo rm of limited liability companies (SARLs).  
Most manufacturing is traditional (sem i-industrial or small-scale) or in formal (for example, bakeries 
and clothing workshops).  Few companies export.  There is thus considerable potential for growth 
provided that the production and transport infrastruct ure is upgraded.  There are market niches to be 
exploited such as the processing of agricultural, for est and fisheries products, for the domestic market 
in the first instance and then  subsequently for export. 
107. As there is little domestic production, most of the manufactures consumed are imported.  The 
high taxation at the border increases their cost both for consumers and for industries, whose 
production costs rise in consequence.  The Direct orate-General of Customs in certain cases gives 
                                                      
59 Online information.  Viewed at:  http://www.un.org/fr/millenniumgoals/. 
60 Law No. L/94/005/CTRN containing the Water Code. 
61 Decree No. D/2001/096/PRG/SGG on reorganization of the urban water resources subsector.  This 
company has a website.  Viewed at:  http://segguinee.com/. 
62 Online information.  Viewed at:  http://storage.canalblog.com/18/95/310685/14033494.xls. WT/TPR/S/251 Trade Policy Review 
Page 70 
  
  companies the possibility of taking away imported i nputs before they have been cleared subject to a 
clearance credit.63 
108. As is the case for foodstuffs (see above), ther e is little competition in markets for the major 
manufactures, notably cement, oils and basic chemical s.  Several companies have a virtual monopoly.  
For example, the Guinean Cement company, in which the State has a 40 per cent holding and whose 
production apparently caused serious environmenta l problems in March 2011, has for long been 
protected from competition by quantitative restrictions on imports.  There are also import quotas to assist the GMG (see above).  For each of these products, there are only two or three major importers. 
109. The Development Policy Letter on Crafts dates b ack to 2003 and is based on the 1998 Crafts 
Code.  This sector has the advantage of being open  to all social groups, especially the most vulnerable 
(women, the poor, disabled, refugees and immigrants) and thus plays a strategic role in combating 
poverty.  Despite its lack of structure and its inform al nature, crafts make an important contribution to 
Guinea's economy, providing over 40 per cent of the products manufactured, including in areas such as metal working, carpentry, pottery, foundries, basket weaving, dyeing, jewellery, sewing, etc.  In general, there is no regulation or support in this sector. 
(6) T
RADE IN TRANSPORT SERVICES  
110. Investment in transport services, which is by its nature long-term investment, suffered greatly 
from the institutional instability that affected the country.  In January 2011, the new Government was 
seeking assistance to update its National Transport Plan, which had been drawn up in 2002 with the 
assistance of the European Union but never implemen ted.  Guinea is also one of the 35 countries 
covered by the Sub-Saharan Africa Transport Po licy Program, administered by the World Bank64, 
which precisely helps beneficiary countries to draw  up their transport policies.  The institutional 
instability in Guinea is no doubt the reason why it w as left it out of the projects and assistance given 
under this programme over the past six years.65  Imports of transport services mainly concern 
spending on maritime and air freight, which h as ranged from US$25 to US$100 million since 2005.  
Exports play a marginal role. 
111. The Ministry in charge of transport is responsible for designing, drawing up and 
implementing government policy on land, air, ma ritime and river transport and meteorology.66  The 
following State-owned companies and ins titutions come under its responsibility: 
- Autonomous Port of Conakry (PAC); 
- Guinean Shipping Company (SNG); 
- Maritime Navigation Agency (ANAM); 
- Air Navigation Agency (ANA); 
- Guinean Shippers' Agency (OGC); 
                                                      
63 Online information from Guinean Customs.  Viewed at:  http://www.douanesguinee.gov.gn/ 
protoctopaz.htm. 
64 Online information from the World Bank.  Viewed at:  http://go.worldbank.org/5GT0JCEDK0. 
65 Sub-Saharan Africa Transport Policy Program (2004). 
66 To carry out its task, the Ministry of Transpor t was reorganized by the Decree of January 2011. Guinea WT/TPR/S/251 
 Page 71 
 
 
  - National Railway Company of Guinea (SNCFG); 
- Guinea-Norway Maritime Tran sport Company (GUINOMAR); 
- Conakry Airport Management and Operation Company (SOGEAC); 
- Semi-Public Fuel Handling Company of Guinea (SOMCAG);  and 
- Semi-Public Dredging and Maritime Works Company (SOMIDRAT). 
112. There are many projects for which financing is being sought and these include the 
rehabilitation of the Conakry-Kankan railway, increasing the PAC's storage capacity and building a commercial port at Benty, upgrading urban transpor t in Conakry, and developing international road 
terminals in the country's major towns. 
(i) Maritime transport and port services 
113. Guinea has two ports:  the commercial port of Conakry and the mineral ore port of Kamsar in 
deep water (at least 13 m draught).  The port at Mata kang is at the planning st age and consideration is 
being given to developing other ports.  The port at Benty, in the Forécariah prefecture, for fruit (bananas and pineapples) was one of the ports with  the deepest water in Africa during the colonial 
period, but has currently been abandoned.  Acco rding to the authorities, its rehabilitation would 
enable trade in fruit and tourism to be developed in  the region.  The port at Kamsar is for mineral ore 
and is mainly used to export the bauxite mined by  the CBG, which manages the port.  Goods traffic at 
Conakry port is shown in Table IV.5 and Chart IV.4. 
Table IV.5 
Global traffic in goods at the port of Conakry, 2008-2010 
(Thousands of tonnes) 
Subject 2008 2009 2010 
Imports, including: 2,739 2,780 3,201 
Food products 737 851 781 
Cement  293 442 
Exports, including: 4,172 3,409 3,876 
Bauxite 3,276 2,624 2,842 
Alumina 586 544 604 
Animal and plant products n.a. 48 215 
Memorandum item:    
Number of ships (including container ships) 647 (221) 607 (163) 700 (165) 
Imports (number of full TEU) 58,065 48,210 58,700 
Exports (number of full TEU) 9,400 6,582 n.a. 
n.a. Not available. 
TEU Twenty-foot equivalent units. 
Source : Autonomous Port of Conakry. WT/TPR/S/251 Trade Policy Review 
Page 72 
  
  0100200300400500600700800
Côte
d'IvoireNigeria Ghana Senegal Benin Guinea Gambia Togo Sierra Leone MauritaniaSource :Sub-Saharan Africa Transport Program (2007), Port and maritime transport challenges in Westland Central Africa ,
Working Paper No. 84 , May 2007, Washington, D.C. Viewed at: http://siteresources.worldbank.org/INTAFRSUB
SAHTRA/Resources/SSATPWP84-final_fr.pdf.Chart IV.4
Volume of container traffic in West Africa, 2007
Thousands of TEU
 
 
114. The authorities have installed a scanner in th e port of Conakry in order to implement the 
International Ship and Port Facility Security C ode (ISPS), which came into effect on 1 July 2004.67  
All containers and sealed packages are scanned on import, at a cost of around US$65 per 
TEU container, to be paid by the importer.68 
(a) Development of infrastructure 
115. It is Guinea's declared ambition to develop th e port of Conakry, which has the advantage of 
being situated on the major shipping routes and is  the African port closest to the eastern coast of 
America.  It is in competition with other ports in the region, especially for trade with landlocked 
countries.  The PAC's ability to attract cargo traffi c will depend in particular on the quality of the port 
facilities, its draught, and the existence of modern  handling equipment, as well as the quality of the 
infrastructure linking the port to the economic z one it serves.  Guinea's classification in the 
World Bank's Logistics Performance Index  is presently fairly good in comparison with other ports in 
the West African region:  second behind Senegal a nd at the same level as Togo;  it is placed higher 
than Côte d'Ivoire, Benin, Ghana and Nigeria.69  Its weak point appears to be the quality of the 
infrastructure. 
                                                      
67 The ISPS is the International Ship  and Port Facility Security Code.  These are measures adopted by 
the International Maritime Or ganization (IMO) in December 2002 intended to reinforce the security of ships and 
port facilities following the attacks in the United States on 11 September.  It came into effect on 1 July 2004. 
68 Ministry of Transport, contract  between Guinea and the Intertek International Limited Company for 
the purchase, installation and operation of equipment to scan containers and sealed packages in the port of 
Conakry. 
69 Online information from the World Bank.  Viewed at:  http://info.worldbank.org/etools/tradesurvey/ 
mode1b.asp#ranking. Guinea WT/TPR/S/251 
 Page 73 
 
 
  116. The latest major phase in reorganizing, rehab ilitating and modernizing the port of Conakry 
dates back to 1992 (the last major port project) and the infrastructure is obsolescent.  The PAC has 11 berths with a total length of 1,668 m.  It accepts commercial vessels, mineral ore carriers and fishing vessels.  There are four special berths for containers, exports of ba uxite, exports of alumina 
and imports of hydrocarbons.  The container terminal's annual capac ity is 110,000 TEU containers 
and it can handle vessels of up to 25,000 tonnes.  The authorities indicate that some vessels load up to 
35,000 tonnes. 
117. The draught at the alumina and bauxite berths  is 11 m and at the commercial wharf varies 
from 8 to 8.5 m.  According to the aut horities, the PAC is not very competitive, inter alia , because the 
draught is shallower than that of other large ports  in the subregion (9.60 m compared to 10.50 to 
11 m).  One of the most urgent requirements is to deepen the entry channel from 9.5 to 13 m. 
118. Another factor limiting the port's competitiveness is the small storage capacity.  Three silos 
can receive 18,000 tonnes of alumina and one silo can hold 22,000 tonnes.  On the other hand, the container storage capacity (80,000 m
2 of open area) is wholly insufficient.  The recent developments 
include a project to build a new container wharf.  This involves three stages:  rehabilitation of the 
existing wharf, expansion of the cu rrent terminal and opening up a stor age area.  In 2010, the Conakry 
Container Terminal Company (STCC) was set up by a private maritime and air transport company (GETMA International), which was given a 25-year  concession for a new 300 m container terminal, 
to be built using the €15 million of the entry price.  According to the authorities, the PAC has received 
half of this amount and has used it to dredge the port.  In 2010, the STCC started work on upgrading 
and fitting out the existing container terminal. 
119. In March 2011, the Government ended the concession previously granted to GETMA and 
gave it to the Bolloré Group, as the latter undertook to release €500 million over 25 years to bring the 
PAC up to an "international and respectable level".
70  GETMA has undertaken to disburse 
€150 million over the period 2011-2013 and appears to have signed an agreement on the concession 
for the container terminal. 
(b) Port regulations 
120. The authority's current objective is to introdu ce logistic, regulatory and pricing reforms in 
order to expand port traffic.  For example, awar e that the PAC's competitiveness depends on the speed 
of loading-unloading, the authorities have indicated that progress has been made in terms of speed of 
handling and a 10,000 tonne vessel can now be unloa ded in one week whereas previously three weeks 
were needed to unload the same volume. 
121. The PAC is exclusively responsible for towing, pilot and berthing services and for ensuring 
security of ships and cargoes.  In 2010, port charges we re revised in order to lower costs for operators.  
Pilot services cost €0.018/m3 of the ship's volume;  and towing is invoiced at €0.052/m3.  Ensuring 
security costs €480/day.  The fee for the ship (RSN) ranges from €0.08/m3 to €0.21/m3, with special 
provisions for fishing vessels and reductions for sh ips loading exports or returning with empty 
containers.  To this must be added a fee for good s unloaded or loaded in the PAC, which is in 
Guinean francs per container, or per to nne for bulk goods:  its euro equivalent71 ranges from €55 to 
€250/container and is €3/tonne for vehicles.  There are also charges for renting quayside warehouses 
(€6.5/m2 per year), open storage yards (€10/m2 per year) and for using public equipment in the port. 
                                                      
70 The legislative references are reportedly Decr ees No. 071 and No. 074 of 8 March 2011, which 
terminated the agr eement with GETMA. 
71 Using an exchange rate of GF 10,000 = €1. WT/TPR/S/251 Trade Policy Review 
Page 74 
  
  122. All ancillary port activities (transit, consignment,  handling and transport) have been provided 
by the private sector since 1987.  Consignment and handling companies (both on board and on land) 
must be approved by the Ministry.  The major ha ndling firms are Maersk, GETMA Guinée and SDV.  
There are no restrictions on the presence of foreign- handling firms provided that they undertake in 
writing to recruit dockers from the port labour office.72 
123. Professionals working in the shipping sector be long to the Guinean Association of Maritime 
and Port Companies (AGEMAP).  The maximum charge for services is determined by the operators, which belong to an economic interest grouping (fo r example, the Consignees Organization and the 
Organization of Cargo Handlers), and then approv ed by the government authorities.  A document 
approved by the National Merchant Marine Directorate fixes the rates for consignment services.  
According to this document, in 2011 a delivery note for a tourism vehicle cost €13.8/unit.
73  In 
addition, there is the "Customs shift" charge of €3.8, damage fees of €4.3/vehicle (and €6.1 for a TEU 
container), and the bank guarantee letter invoiced at €36.5.  There is an administrative fee of €16.8 for 
each bill of lading and any amendment to a manif est costs €27;  bills of lading for imports are 
invoiced at 3 per cent of the value of the goods imported, with a minimum of €29 (on export:  
€16.9 per bill of lading).  Where applicable, there are additional pré-visite SGS EVP 40'  (SGS 2 TEU 
pre-inspection) charges of €152 per c ontainer.  In addition, a "refrige ration connection" costs €38/day.  
Lastly, the security fee is €11/container.  These charges raise the cost of imported products for 
consumers. 
(c) Transit to Mali 
124. The PAC authorities are seeking to develop transit trade with landlocked countries, 
particularly Mali.  One of the measures taken for this purpose since February 1998 is the 
Malian warehouse (EMAGUI) in the port of Conakry for maritime transit to and/or from Mali.  The 
Government has lowered the fee applicable to  goods for those going to or coming from Mali and 
waives berthing fees in the port of Conakry. 
(d) Regulation of maritime transport services 
125. Twenty foreign shipping lines call at the port of Conakry.74  The main container shipping 
lines serving Guinea are Maersk and SDV, Grimaldi and, since 2011, the Guinean Shipping Corporation (GSC) (see below).  Maersk Guinée say s that it has 74 per cent of the import market and 
80 per cent of the export market, but these percentag es vary from one year to another.  Coastal 
cabotage requires prior authorization from the Ministry of Transport. 
126. Guinea is one of the few African  countries still to have a company with shipping capacity on 
an international scale.  The semi-public co mpany GUINOMAR (Guinea-Norway) carries around 
half of the bulk cargo of bauxite and alumina,  corresponding to around 5-6 million tonnes annually 
from the port of Kamsar.  GUINOMAR is a member of the BAUMARINE pool with 80 Panamax-type vessels.  The other half of Guin ea's bauxite is carried competitively by the free 
market, according to the authorities at more advantageous rates. 
                                                      
72 Order No. 10 629/MT/SGG of 26 November 2004, renewed in 2006. 
73 Using an exchange rate of GF 10,000 = €1. 
74 Hamburg (Germany);  Felixstowe (United Kingdom);  Antwerp (Belgium);  Le Havre (France);  
Skikda (Algeria);  Barcelona (Spain);  Marseille (France);  Genoa (Italy);  Alexandria (Egypt);  
Jeddah (Saudi Arabia);  Dubai (U nited Arab Emirates);  Abu Dhabi (United Arab Emirates);  Kuwait;  
Durban (South Africa);  Port Elizabeth (South Africa);  Cape Town (South Africa);  Monrovia (Liberia);  
New Orleans (United States);  Philadelphia (Un ited States);  and New York (United States). Guinea WT/TPR/S/251 
 Page 75 
 
 
  127. The Guinean Shipping Company (SNG) does not have any international cargo vessels.  
Nevertheless, it receives US$0.10/tonne of goods lo aded or unloaded in the PAC as a "shipping 
royalty", in accordance with the UNCTAD Liner Conferences, which yielded €1.8 million in 2010 
paid by the foreign shipping lines serving the PAC.  The cost is probably transferred to the final 
consumer.  In addition, the SNG has recently set  up a joint venture with a partner based in 
Hong Kong, the Guinea Shipping Corporation (GSC), in which it holds 49 per cent of the shares.75  
This company specializes in bulk transport and is  apparently negotiating with RUSAL on carrying 
bauxite to Ukraine.  A joint order provides that 50 per cent of the mineral ore mined by the various 
companies in Guinea should be carried by the GSC. 
128. In 2010, the Government also decided to set up the OGC, which declares that it "responds to 
the need to achieve the indispensable synergy th at should exist among all links in the maritime 
transport chain, namely:  shippers, carriers, ancilla ries (consignees, cargo handlers, transit agents, etc.) 
and the port".76  One of the first measures taken by the OCG was to levy a new tax on all cargoes 
going to or coming from Guinea.  Since 1 August 2010, this cargo has to be covered by a cargo monitoring slip (BSC), which is compulsory when leaving any loading port.
77  The new tax, which 
will undoubtedly increase still further the cost of imported goods for local consumption, is 
€100/2 TEU container;  €25 per vehicle not exceed ing 5 tonnes;  and €50 for vehicles of over 
5 tonnes.  There is also an administrative fee of US$65 per bill of lading and a "bank tax" of US$20. 
129. Guinea is a member of the International Maritime  Organization (IMO).  It also belongs to the 
Maritime Organization of West and Central Afri ca (MOWCA), which is the consultation framework 
for the 25 countries in the subregion for all maritime-related transport issues, including the 
ship-owners' committees. 
(ii) Land transport 
(a) Road transport 
130. Guinea's ability to develop its trade in goods and, in particular, to attract traffic from Mali and 
other landlocked countries, will depend to a large ex tent on the efforts made to upgrade and maintain 
its various road corridors.  The road network curre ntly covers 35,000 km, of which some 15 per cent 
are sealed.  The generally poor state of the road s means that they are hardly suited for transit 
purposes.  There are frequently supply problems in Gu inea's interior.  According to the authorities, the 
current priorities are to develop the road corridor s using ECOWAS financing.  Maintenance of the 
roads is financed through the Road Maintenance F und (FER), under the responsibility of the Ministry 
of Public Works. 
131. A large percentage of road transport is pr ovided by the informal sector, to which no 
regulations apply.  Likewise, th ere are no regulations on goods trans port with neighbouring countries.  
Among the trade constraints mentioned by the Ministry  of Transport is the fa ct that Guinean carriers 
are often prevented from using roads outside the count ry (for example, in Senegal) because the other 
countries cite the lack of any technical inspection of vehicles in Guinea.  To overcome this problem, 
                                                      
75 Online information.  Viewed at:  http://www.guin eashippingcorp.com/about. 
76 Decree No. D/174/PRG/CNDD/SGG/2010 of 29 July 2010, creating the OCG;  Order 
No. 2010/4549/MT/SGG of 30 July 2010 on the organization and functioning of the OCG;  and Order No. 2010/4035/MT/SGG of 1 September 2010, amending Order No. 2010/3096/MT/SGG establishing the cargo 
monitoring slip for general goods. 
77 Ministry of Transport, Order No. 0398 of 30 June 2010. WT/TPR/S/251 Trade Policy Review 
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  technical inspection of vehicles has been made co mpulsory since 2010, and approval has been given 
to ten Guinean and foreign operators to  carry out the technical inspection. 
132. Guinea participates in the Improved Road Tran sport Governance initiative on international 
roads (IRTG), under the auspices of ECOWAS.  The pur pose of the IRTG is to lessen the number of 
random checks and the bribery which are the cause  of long delays for lorries travelling through 
West Africa.  The cost of road transport in this re gion is the highest in the world.  According to the 
authorities, considerable progress has been made in doing away with the informal check-points set up 
on Guinea's roads and roadblocks are forbidden throughout Guinea. 
133. As far as the cross-border transport of goods is  concerned, unlike many countries belonging to 
ECOWAS, Guinea has not yet introduced the necessar y mechanisms for operation of the Inter-State 
Road Transport (ISRT) scheme envisaged in the relevant convention signed by member countries of ECOWAS.  According to the authorities, the ECOW AS-ISRT scheme is not in operation because of 
lack of financing and of appropriate logistics. 
134. Passenger transport (as well as the carriage of  goods) is provided by individuals, who 
frequently operate in the informal sector.  A 2003 study of passenger transport in Conakry showed 
that serious shortcomings in regula tion, combined with failure to comp ly with the regulations in force, 
were contributory factors in the poor quality of tr ansport services.  In order to overcome what was 
described as wholesale disorganization in the pass enger road transport sector, the study recommended 
the creation of a coordinating body whose main task s would be to improve institutional coordination 
and transparency in the sector's financing.  Lack of financing is a major problem, particularly for 
operators in the informal sector.  The authorities' current objective is to bring the informal operators 
together in an economic interest group, as has be en done in Senegal (Executive Council for Urban 
Transport in Dakar (CETUD)), give them dedica ted transport routes and then withdraw all old 
vehicles in exchange for new vehicles against the deposit of security. 
135. Among the other factors which raise the cost of road transport for passengers is the lack of 
competition among operators.  The excessive margin s imposed by road carriers unnecessarily increase 
the cost of transport.  A rotation system is still in place, set up by the passe nger carriers associations. 
136. Road transport services, as well as repair and maintenance of road transport equipment, are 
among the specific commitments made by Guinea unde r the GATS, without any special conditions on 
commercial presence as far as carriers of passengers are concerned, although prior approval by the Minister of Transport is required for those carrying goods.
78 
(b) Rail transport 
137. The railways comprise one national railway line of 662 km between Conakry and Kankan, 
which is currently being rebuilt;  and three privat e lines belonging to mining companies.  The CBK's 
line, which links the port of Conakry to the mining site at Débélé, is 110 km  long (standard gauge);  
the Friguia line is 140 km long (metric gauge, connecting the ACG Alumina Plant to Conakry);  and 
the line belonging to the CBG of 135 km (standard ga uge, linking the mine at Sangaredi to the port of 
Kamsar).  In order to develop the exploitation of  large iron ore deposits, the authorities are examining 
a Trans-Guinean project.  The Trans-Guinean, of a length of 1,000 km, would link Nimba and a new deep-water port planned at Matakang,  south of Conakry.  The estimated cost of this mega-project is 
US$2 billion, which the Government is seeking to fund in part through the companies holding mining 
concessions. 
                                                      
78 WTO document GATS/SC/102 of 30 August 1995. Guinea WT/TPR/S/251 
 Page 77 
 
 
  (iii) Air transport 
138. Guinea has one international airport at Conakry a nd 14 airfields in the interior, four of which 
belong to mining companies and the other ten are not in use.  With current capacity of 800,000 passengers, the airport at Conakry has an average of 300,000 passengers each year including 
arrivals, departures and transit. 
139. The airport is managed by the SOGEAC, which is solely responsible for providing ground 
services.  The State holds 51 per cent of SOGEAC's capital.  The ANA is responsible for air navigation safety and manages and operates the dom estic airfields.  There is as yet no independent 
civil aviation agency;  a study is under way on ma king make civil aviation independent as part of a 
World Bank-financed project. 
140. Air transport is governed by the Civil Aviation Code of June 1995.
79  Any person wishing to 
set up an air transport company in Guinea must  be a Guinean citizen and possess the necessary 
qualifications or be associated with a qualified part ner.  The applicant must send a written application 
to the Ministry responsible for civil aviation, acco mpanied by the company's articles of incorporation 
and proposed structure.  There are several Guinean air transport companies, all of which are private. 
141. Foreign commercial presence and traffic rights gr anted to foreign companies flying to Guinea 
are governed by bilateral agreements.  Guinea has signed such agreements with some 40 countries and 
has announced that a new agreement is being nego tiated with China.  These agreements generally 
cover third and fourth freedom rights;  they do not give fifth freedom rights, and impose strict regulations on capacity and fares.  Guinea signed the 1988 Yamoussoukro Declaration and 
Memorandum, which liberalized airspace in member countries on a reciprocal basis. 
142. Guinea is a member of the International Air Transport Association (IATA) and the 
International Civil Aviation Organization (ICAO).  It does not belong to ASECNA and Flight Information Routes (FIR-Roberts) provides this ser vice, managing Guinea's airspace (against payment 
of US$0.7/km travelled in the airspace and paid by air transport companies). 
(7) T
ELECOMMUNICATIONS AND POSTAL SERVICES  
(i) Developments since 2005 
143. As is the case in most other countries, the telecommunications sector developed exponentially 
with the arrival of mobile telephony.  Prior to th e legislative reforms in 2005, the sector comprised the 
Guinean Telecommunications Company (SOTELGUI, the traditional operator with 71,000 subscribers at the end of 2003) and two othe r private mobile telephony companies.  According 
to the authorities, the market has been fully ope n to competition since 2005, both for basic services 
and for value-added services.  There are currently  five mobile telephony operators (GSM) with 
4.56 million subscribers at the end of 2010, name ly, SOTELGUI, Intercel+, Areeba, Orange Guinée 
and Cellcom;  the fixed landline telephony operato r (SOTELGUI) had around 18,000 subscribers, in 
constant decline;  and there were  a dozen Internet service providers.  Teledensity is estimated to be 
0.11 per cent for fixed telephony and 38 per cent for mobile telephony. 
144. Capacity (international band width) for access to  the global Internet remains very poor and 
users often find it impossible to connect.  Guinea does not yet have any broadband infrastructure.  Unlike neighbouring countries, In ternet access in Guinea goes excl usively through satellite and 
                                                      
79 Law No. L/95/024/CTRN of 2 June 1995. WT/TPR/S/251 Trade Policy Review 
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  SOTELGUI's VSAT stations.  Th is technology does not provide sufficient capacity to allow 
"high-speed" connection at affordable cost.  According to the authorities, it is urgent to find a radical 
solution to this problem by encouraging foreig n investors to link Guinea to the international 
"backbone".  The following are the current projects in this field:  the Africa Coast to Europe 
submarine cable;  and a national "backbone" project.  In addition, the project to computerize Guinea's 
government authorities is intended to connect the vari ous ministries identified by financial partners, 
which select the ministries to benefit.  The s ites are interconnected through a local radio loop 
connected to the Internet through VSAT.  The proj ect is estimated to cost US$530,000, financed by 
USAID.80 
145. According to the authorities, in 2010 Guinea was one of the few countries that had not taken 
over management of its domain name (.gn), which is currently managed by a private individual in the 
United States.81  A Guinean youth association has been set up in  order to repatriate this domain name 
to Guinea and it needs US$44,000 for this project. 
(ii) Legal and regulatory framework 
146. The telecommunications legislation dates back to 2005.82  There is no restriction on the 
presence of foreign capital.  The Post and Tel ecommunications Regulatory Authority (ARPT) has 
taken over the regulatory role previously held by the National Post and Telecommunications 
Directorate.  The ARPT was set up in September 2008 and the relevant regul ations date from 2010 
(see below).  The ARPT has a regularly update d website on which the principal legislative and 
regulatory texts can be viewed.83  The ARPT comes under the responsibility of the Ministry of Post 
and New Information Technology, which is the ministry currently in charge of this sector.84  T h e  
Ministry also supervises the Guinean Post Offi ce (see below), and the Guinean Broadcasting and 
Television Service. 
147. The Law provides for several implementing texts to be adopted in the form of decrees.  Some 
of these were adopted by means of an order in February 2010, including the following: 
-  An order determining the criteria for th e organization and functioning of the ARPT; 
- an order containing procedures for the approval and validation of telecommunications 
equipment and terminals; 
- an order on the prerogatives and obligations of operators of networks open to the 
public; 
                                                      
80 Online information from USAID.  Viewed at:  http://www.usaid.gov/gn/news/2008/SIAG% 
20index.htm. 
81 Online information from the Guinean Government.  Viewed at:  http://www.guinee.gov.gn/feuille_ 
route_tic.php. 
82 Law No. L/2005/018/AN of 8 September 2005 amending the provisions in Law No. L/92/016/CTRN 
of 2 June 1992 on the general telecommunications re gulations.  Viewed at:  http://www.arptguinee.org/ 
Loi_des_telecoms_guinee.pdf.  The other framework law in this sector is Law No. L/2005/019/AN of 8 September 2005 amending the provisions in Law No. L/95/018/CTRN of 18 May 1995 containing regulations 
on radio communications in Guinea. 
83 Online information from the Post and Telecommunications Regulatory Authority (ARPT).  Viewed 
at:  http://www.arptguinee.org. 
84 The Ministry does not appear to have a website.  Its responsibilities are defined in a decree of 2008 
viewed on the Government website.  Viewed a t:  http://www.guinee.gov.gn/liredecret.php?id=30. Guinea WT/TPR/S/251 
 Page 79 
 
 
  - an order determining the terms for supplying telecommunications services to the 
public (leased links); 
- an order on radio frequencies and frequency bands, radio e quipment and the operators 
of such equipment; 
- an order determining the fees for allocating radio frequencies; 
- an order on interconnection of networks; 
- an order introducing measures for managing traffic;  and 
- an order on the procedure applicable to the settlement of disputes. 
148. Prior to the 2005 reform, the 1992 regulatory frame work determined a regime of concessions 
for exclusive rights to provide basic services, a regime of non-exclusive rights for new and 
value-added services, a free competition regime for the sale of terminals, and a regime of authorization by the Minister responsible for telecommunications (after hearing the views of SOTELGUI) for installations outside the public networ k to be used solely by the applicant.  The 
current legal framework still distinguishes between a regime of licences required in order to operate, 
for example, a public network, an authorization regime (for example, networks not open to the 
public), a regime for approval of equipment and inst allations, a declaration regime for the supply of 
value-added services, and a free regime (for example, internal networks). 
(a) Licensing regime 
149. The following require a licence issued by the Ministry responsible for telecommunications 
(Article 4 of the Law):  the creation and/or ope ration of a telecommunications services network open 
to the public, or an independent network using the public domain and radio systems;  and Internet 
service providers.  Licences are granted by the Minist ry in charge after applications have been 
examined by the ARPT, and are published in an order. 
150. Licences must be accompanied by the terms and conditions defining the holder's rights and 
obligations.  The criteria for attribution and the minimum content of the te rms and conditions differ 
according to the category of network or service.  The terms and conditions are applied absolutely 
identically to all operators holding a licence with in the same category.  Equality among operators 
must be guaranteed. 
(b) Authorization regime 
151. The creation and operation of an  independent network utilizing the public domain but not 
using radio systems require authorization from th e ARPT, as do the construction and operation of 
wireless networks and the supply of services not open to the public. 
(c) Approval regime 
152. The following require approval:  wireless installa tions;  terminal equipment to be connected 
to the public telecommunications network;  tel ecommunications equipment and internal network 
installations.  The purpose of approval is to guarant ee the general interest and the safety of users and 
the operators' staff;  to protect telecommunications networks;  to ensure that the equipment at each 
end of the telecommunications network open to the pub lic is compatible, and is also compatible with WT/TPR/S/251 Trade Policy Review 
Page 80 
  
  other terminal equipment providing access to the same  service;  and to ensure proper utilization of the 
wireless spectrum.  The ARPT gives approval in accordance with the procedures it has laid down.  
The operators concerned are responsib le for repairs to the network. 
(d) Pricing and competition 
153. In principle, SOTELGUI's monopoly of basic te lecommunications services should have ended 
on 23 December 2005.  In practice, because there are no implementing texts for the new law, many services still remain the exclusive preserve of SOTELGUI, for example, the supply of fixed telecommunications services, access to the infrastruct ure and to the Internet, transmission of data and 
other value-added services.  Moreover, the requireme nt that newcomers exclusively use the existing 
infrastructure, despite its obsolescence, prevents telecommunications from effectively being opened 
up to competition.  SOTELGUI's monopoly was acco mpanied by a universal service requirement, 
which it found difficult to meet as the traditional opera tor.  The new law provides that the content of 
the universal service is to be defined by the Ministry following a proposal by the ARPT, but by early 2011 this had not yet been done. 
154. The cost of telecommunications services is pr oposed by the operators and requires approval 
by the ARPT.  Any proposal by a company to m odify the rates (cost) must be substantiated 
(Article 25).  In May 2010, three mobile teleco mmunications companies decided to increase their 
rates and harmonize them.  They were then the subject of a complaint for abuse of a dominant 
position. 
155. In order to encourage fair and transparent comp etition and so protect the interests of operators 
and users, the law contains an interconnection obligat ion and specifies its terms, ordering that the cost 
of interconnection services be guided by prod uction costs.  Operators must publish their 
interconnection price offers, following approval by th e ARPT.  The latter may intervene if needed to 
settle conflicts or disputes and/or, where necessary,  to revise the interconnection agreements, taking 
into account the interests of users.  Under the form er legislation, an equalization scheme allowed the 
cost of local fixed telecommunications servi ces to remain the same throughout Guinea. 
156. There is no particular fiscal regime for the telecommunications sector and the VAT applicable 
is 18 per cent.  The taxation on imported netw ork equipment (which is exempt from VAT) is 
apparently one of the lowest in Afri ca, which should encourage investment.
85  According to a recent 
study, however, Guinea's teledensity is low and the total cost of a mobile te lephone is over 60 per cent 
of the per capita GDP.86  In December 2010, in order to boost growth in this sector, the Government 
adopted a national policy and strategy documen t for the development of information and 
communications technology, prepared with support from the United Nations Development 
Programme (UNDP) and Spain. 
157. Guinea did not undertake any specific commitments in this sector under the GATS and did 
not take part in the WTO negotiations on basic tele communications services, whic h ended in 1997.  It 
has not made any market access offer in the ongoing Doha R ound negotiations.  Multilateral 
commitments on telecommunications would be an i ndication and a guarantee to investors that the 
Guinean market had opened up. 
                                                      
85 According to a study commissioned by the GSM World Association.  Viewed at:  
http://gsmworld.com/documents/tax_sub_africa_exec_sum_french.pdf. 
86 Online information from the GSM World Association.  Viewed at:  http://gsmworld.com/documents/ 
tax_east_africa.pd f?PUPOL=TAXEA. Guinea WT/TPR/S/251 
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  (iii) Postal services 
158. First and foremost, the postal sector comprises the universal postal service, provided in 
principle by the Guinean Post Office (OPG), a St ate-owned industrial and co mmercial establishment.  
Law No. L/2005/017 specifies the activities which are a monopoly of the OPG according to the law:  
letters not exceeding 1 kg;  parcels not exceeding 2 kg;   and postal packages of up to 20 kg.  In 
principle, the OPG is solely responsible for co llecting, transporting and distributing registered 
packages and letters by post;  issuing stamps, posta l securities, postal cheques, and the savings fund 
(suspended since 1979).  Other than the postal monopoly for letters and parcels, there is no restriction 
on the presence of foreign companies. 
159. The OPG deals annually with around 18 million letters and 500,000 packages and parcels.  
Thirteen Guinean and foreign operators have been approved for the supply of postal financial services and value-added postal services in areas that are not reserved for the OPG.  Around 3,000 people are 
employed in providing postal services, to which mu st be added the indirect jobs in related sectors 
(transport, printing, etc.).  Guinean and forei gn stakeholders include express delivery companies 
(multinationals, for example, DHL, and Gu inean), as well as the informal sector. 
(8) F
INANCIAL SERVICES  
(i) Overview of the sector 
160. In Guinea, financial services are supplied by the components of the banking system, insurance 
companies and the post, as well as by decentralized microfinance structures.  Financial services contribute around 8.5 per cent to GDP formation.  Because of the population's low purchasing power, 
the almost total lack of national savings that could be mobilized through traditional monetary 
channels, the absence of investment credits by a banking system which does not finance medium- and 
long-term operations, most private investment is self-financed, or financed  through microfinance 
schemes. 
(ii) Banking system 
161. In 2005, a new banking law replaced th e provisions in the 1994 legislation.
87  In 2009, it was 
supplemented by an ordinance which placed the BCRG under the direct authority of the President of 
the Republic.88  Pursuant to this ordinance, it is the t ask of the BCRG to ensu re price stability, but it 
has encountered serious problems in fulfilling th is responsibility and in 2009 most government 
expenditure was financed by creating money (Chapter I(2)).89  Prior agreement from the BCRG's 
Approvals Committee is required in order to create a lo an institution or to modify its legal status or 
make any modification leading to a change that exceeds 10 per cent of its capital.  Transfer of over 
20 per cent of a bank's assets also requir es prior authorization from the Committee. 
162. Both Guinean nationals and foreigners may open a bank in Guinea.  If the applicant is 
controlled by a foreign bank, approval requires e ndorsement by the supervisory authority in the 
country of origin provided that this authority ex ercises supervision on a consolidated basis at the 
                                                      
87 Law No. L/2005/010/AN adopting and enacting the law establishing the regulations on loan 
establishments in Guinea.  Viewed at:  http://bcrg-guinee.org/supervision1.aspx. 
88 Ordinance No. O/2009/046/CNDD of 7 February 2009 containing the statutes of the Central Bank of 
Guinea. 
89 Article 24 of Ordinance No. O/2009/046/CNDD provides that the Central Bank may discount, 
purchase or accept Government bonds and securities and po rtfolio investment issued or guaranteed by the State. WT/TPR/S/251 Trade Policy Review 
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  global level.  The Approvals Committee takes its decisi on within six months of the date of receipt of 
the documents constituting the application for ap proval.  Unless a waiver is obtained, only 
Guinean nationals may be directors, administrato rs or managers of a loan institution, unless the 
foreign person benefits from provisions giving reciprocity under an agreement signed between his 
country of origin and Guinea. 
163. Under the banking law, any loan institution must , within the month following approval, join 
the Professional Association of Loan Institutions of Guinea.90  The tax on financial activities (TAF) 
applies to banking and financial services, which ar e exempt from VAT.  The rate is 5 per cent for 
loans with a term exceeding one year and 13 per cent for other operations. 
164. Guinea's banking system is composed of th e BCRG and 13 approved banks, eight of which 
are operating.  The banking sector has changed little over the past ten years, although two new banks 
have been established.  Less than 1,000 pe ople are employed in the sector, in some 
60 branches (counters) for a population of almost 11 million.  The total amount of loans by the banking system in 2009 was GF 9, 600 billion (around €500 million).  The three largest banks provide 
three quarters of the loans. 
165. Three quarters of total bank loans are used to  finance business activities.  The percentage of 
long-term loans in total loans granted was 3.2 per cent in 2009, compared to 1.1 per cent in 2008.  This low percentage of long-term loans underlin es the banks' reluctance to  finance investment.  
Moreover, interest rates are very high.  In 2007, for example, the First International Bank gave the 
Government a loan of GF 12 billion to finance th e Guinean Cotton Company, at an annual rate of 
27.4 per cent.
91 
166. In November 200892, the minimum regulatory capital requirement for banks rose from GF 10 
to GF 50 billion (around €5 million), with a transition period up to March 2011.  At 
31 December 2009, the total capital of the eight  banks was GF 260 billion (some €26 million), which 
shows that not all the banks yet comply with the minimum regulatory capital requirement. 
167. In addition to its central banking functions, the BCRG undertakes gold-purchasing operations 
and provides assistance to diamond agents  and exporters of precious stones. 
168. In response to the inadequacies of the tr aditional banking system, between 1999 and 2009 the 
number of microfinance institutions rose from thr ee to ten.  In Guinea, there are currently 
ten decentralized institutions, with an overall savi ngs and loan balance of GF 40 and GF 65 billion, 
respectively, and almost 400,000 clients.  These netw orks operate in rural areas and in semi-urban 
areas inland.  They collect savings from the people living in these areas (farmers, craftsmen, and small 
traders, inter alia ) and distribute credit using the savings coll ected or external resources.  The Guinean 
Rural Credit Bank was set up in 1988 with fina ncial support from the French Development 
Fund (CFD).  The Integrated Programme for Busi ness Development (PRIDE) was launched in 1991, 
financed by USAID.  It would appear that a new law on microfinance was drawn up in 2005, but it 
was not available. 
                                                      
90 This association does not appear to have a website. 
91 Parliamentary Information Commission of the National Assembly (2008). 
92 Pursuant to Decision No. D/2008/005/CAM of 26 November 2008. Guinea WT/TPR/S/251 
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  Insurance sector 
169. There has been no noticeable growth in the in surance sector.  In December 1996, it comprised 
four companies with 171 employees, and 15 years later there were six companies with 205 employees, contributing an estimated 0.3 per cent to GDP, wi th some GF 80 billion (around €100 million) in 
premiums.  Two of the six insurance companies are in difficulty:  one of them was the subject of a 
recapitalization programme by the BCRG, while the other has been put under temporary administration.
93  The Guinean State has a holding in one company.  In 2009, a new company started 
to operate (International Insurance Company Guinea)  and around a dozen brokers have been approved 
to act as intermediaries.  A detailed study of mi cro-insurance in Guinea was conducted in 2005.94 
170. Following repeal of the legislation on the insurance sector95 in 1988, Law 
No. L/94/018/CTRN of 1 June 1994 containing the Insurance Code remains the principal legislation in this sector, but it is not available.  The BCRG is responsible for the prudential supervision of 
insurance companies.  Although Guinea is not a me mber, its regulations are based on the Code of the 
Inter-African Conference on Insura nce Markets (CIMA).  Anyone w ith the necessary expertise, 
whether a Guinean national or a foreigner, may carry  on the profession of insurer or director of an 
insurance company.  All companies are free to opera te in all areas, provided that their products are 
approved by the BCRG.  Life and non-life insura nce can be provided by the same company. 
171. Since September 2010, the minimum capital has b een set at GF 10 billion (€1 million) if the 
insurance company is incorporated as a public limited  company, and GF 3 billion if it is a mutual 
company (€300,000).  Companies already approved must bring their capital up to GF 5 billion before 
the end of 2012 and GF 10 billion by the end of 2014.   The same transition period applies to existing 
mutual companies.
96 
172. Like other countries in the CIMA zone, only motor vehicle civil liability insurance and 
transport insurance for imports are compulsory.  The minimum insurance premium for civil liability 
insurance for vehicles is fixed by the Professional Asso ciation of Insurers of Guinea and is subject to 
the prior opinion of the BCRG.  As a result, premiu ms may vary from one company to another.  It 
appears that the companies often c oordinate through the Association. 
173. Importers established on th e national territory are, in principle, required to take out insurance 
with a local company, but according to the BCRG th ese provisions are not observed, particularly in 
the case of major risks.  The sum of 5 per cent is added to the customs value of imports in order to 
take into account the cost of insuring the imported goods, even though no insurance certificate is 
required upon import.97 
174. The requirement that companies should take out  insurance policies (damages, civil liability) 
with local companies is generally not respected and fo reign insurers directly insure major local risks.  
                                                      
93 These are the Guinean New Insurance Compan y (SONAG) and the Guinean Mutual Insurance 
Company (SOGAM). 
94 Union of Guinée forestière Mutual Funds (2005). 
95 Ordinances No. 103/PRG/86 of 28 May 1986 and No. 080/PRG/87 of 22 December 1987 on, 
respectively, liberalization of the insurance market and regulations governing the activities of insurance 
companies in Guinea. 
96 Decision No. D/014/CAM/REA/ on raising the minimum registered capital for public limited mutual 
insurance companies and initial funds for mutual insurance companies of 21 September 2010. 
97 Online information from the Guinean Customs.  Viewed at:  http://douanesguinee.gov.gn/ 
tarif/bcrg.mht. WT/TPR/S/251 Trade Policy Review 
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  The Code sets the maximum rate for assignment of pr emiums at 50 per cent (Article 279).  Because of 
the low amount of own funds in companies, however, these measures (max imum assignment rate, 
requirement to insure locally) can limit the capacity  of companies to respect their commitments if 
there is a major disaster.98  Guinean insurance companies ma y not underwrite risks abroad. 
(9) TOURISM  
175. Although Guinea has exceptional natural assets, in 2008 only 23,747 non-residents visited, a 
sharp drop after 2006 (Chart IV.5).  Most touris ts come from Africa, although in 2007 the largest 
decline was in African visitors, whereas in 2008 it w as in European visitors.  Arrivals are still mostly 
for business trips.  The average length of stay is 3. 8 days, which is higher than for other countries in 
the region, perhaps because less than one third of the visitors stay in hotels. 
176. In 2003, Guinea had 318 hotels with a capacity of 3,747 rooms (4,518 beds).  In 2002, the 
latest year for which statistics are available, the occupancy rate was 70 per cent.  Five tourism sites 
are currently operating.  They belong to the State but some of them are operated by private companies under a concession. 
177. The Ministry of Hotel Services, Tourism a nd Crafts is responsible for regulating and 
developing the sector.  The National Tourism Policy, adopted in 1998, targeted 85,000 tourists yearly 
in the medium term and 180,000 tourists in the long term.
99  This policy is underpinned by a Strategic 
Plan for the Development of Tourism (PSDT), adopted in 2000 and updated in March 2004 by an 
Action Plan for the Development of Tourism and Cr afts.  Because of the socio-political situation, 
visitors have not reacted to the tourism promotion efforts. 
                                                      
98 BCRG (2008). 
99 Decree No. D/98/54/PRG/SGG of 25 March 1998. Guinea WT/TPR/S/251 
 Page 85 
 
 
  05,00010,00015,00020,00025,00030,00035,00040,00045,00050,000
2001 2002 2003 2004 2005 2006 2007 2008Chart IV.5
Arrivals of non-residents by region of residence, 2001-2008
Other
European
African
Source : Ministry of Tourism.Number of visitors
 
 
178. Hotel and restaurant services and tourist guide services were the subject of specific 
commitments under the GATS.100  The Schedule specifies that only foreign hotel managers and senior 
technical experts are allowed, but does not lay do wn any other conditions for commercial presence.  
Guinea has been a member of the World Tourism Organization (UNWTO) since 1985.  Together with 
nine other countries in the region, it takes part in  the project to develop sustainable tourism in 
cross-border parks and protected areas in W est Africa, under the auspices of the UNWTO.101 
                                                      
100 WTO document GATS/SC/102 of 30 August 1995. 
101 Online information.  Viewed at:  http://africa .unwto.org/sites/all/files/pdf/ note_technique.pdf.