The national champion, seeded fourth, ousted the top seed Simon Rosner of Germany in five games 11-5, 5-11, 11-6, 11-13, 11-4 in a pulsating semi-final.
The Indian is ranked 28th in the world while the German is placed 11th.
But that did not unsettle Ghosal who showed his characteristic fighting ability and ensured victory in what proved a topsy turvy tussle.
In the title round, Ghosal will meet second seed Egyptian Mohamed Abouelghar.
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