The Chairman of the Food and Beverage Association of Ghana, John Awuni, has voiced concerns over the Ministry of Agriculture’s decision to allow only a few industry players to import 150,000 metric tonnes of rice. This measure comes in response to severe drought in the northern regions, impacting maize and rice production and raising food security concerns.
While Awuni praised the initiative, likening it to a successful Nigerian policy that reduced prices and ensured food supply, he criticized the selective participation. “The removal of duties on rice is a laudable and commendable step, especially during this time of crisis,” Awuni stated. However, he argued that limiting the importation to a few players is discriminatory and could harm the economy. “In the long run, this approach will not benefit consumers because every player in the industry is essential to the economy. Each player contributes to employment and economic activity, and the exclusion of some could lead to corruption and dissatisfaction.”
Awuni advocated for equal involvement of all industry players, suggesting that the government allocate import quotas fairly. “Rather than selecting a few players, the government could allocate import quotas to all participants, ensuring a fair and transparent process,” he said.
Citing former President Kuffour’s 2007 policy during a similar crisis, Awuni recalled how import duties were lifted for all players, resulting in immediate price reductions and benefits for consumers. “Kuffour allowed all players to import rice directly from Asia or elsewhere, and even removed duties on goods already stored in bonded warehouses. This approach resulted in immediate price reductions and benefitted consumers.”
Awuni urged the government to adopt a two-part strategy: first, remove duties on goods already in bonded warehouses to lower prices in the local market; and second, allow all industry players to participate in future rice imports to prevent shortages. He concluded by emphasizing inclusivity: “The minister’s initiative is positive, but it should be executed in a way that benefits all players and, most importantly, the Ghanaian consumer. Discriminating by only involving a select few will be counterproductive and could fail to deliver the desired outcomes.”
