Founding and Early Successes
Darko Farms was once the undisputed leader in Ghana’s poultry sector. Established in 1966 by Rev. Dr. Kwabena Darko, the company began with just 900 birds on a three-acre farm in Kumasi. By 1968, it had expanded to 100,000 egg-laying hens, marking the start of an ambitious rise in domestic poultry production. Throughout the 1970s and 1980s, the company became a cornerstone of Ghanaian agriculture, producing up to 5 million day-old chicks annually, supplying roughly half of the country’s demand. In addition to eggs and broiler meat, it operated a vertically integrated system that spanned feed production to meat processing.
Darko Farms received national recognition for its contributions to agriculture, becoming a benchmark for private sector innovation. Its early success was driven by reinvestment in operations and a vision to supply affordable protein to the domestic market.
Significance in Ghana’s Poultry Industry
Darko Farms helped shape the poultry sector in Ghana by building the country’s first fully integrated poultry production system. This structure supported the development of thousands of small-scale farms, which depended on Darko’s chicks, feed and veterinary inputs. At its peak, the company employed over 650 people directly and created opportunities for many others through its out-grower networks and distribution channels.
Its broiler and egg production helped reduce Ghana’s dependence on imported chicken. The company’s name became synonymous with fresh, locally produced poultry in key urban markets such as Accra and Kumasi. Former Trade Minister Alan Kyerematen described Darko Farms as the only truly integrated poultry enterprise in the country, reflecting the company’s dominance across the supply chain. For years, it served not only as a food supplier but also as an industry model.
Challenges in Recent Years (2018 to 2023)
Despite its legacy, Darko Farms entered a prolonged period of financial distress. A steady decline that began in the 1990s accelerated in the late 2010s. Rising feed costs, competition from cheap imported chicken and outdated infrastructure severely weakened its operations. Global shocks in commodity prices and a depreciating local currency made inputs such as maize more expensive, undermining profitability.
Imported frozen chicken from the European Union, Brazil and the United States flooded Ghana’s market. With an estimated annual import volume exceeding 180,000 metric tonnes, the competition became overwhelming. Imported chicken was often 30 to 40 percent cheaper than locally produced alternatives, making it difficult for Darko Farms to compete on price.
The company also faced operational setbacks. Equipment was aging, facilities were inefficient, and energy costs were high. Periodic outbreaks of avian influenza and Newcastle disease further disrupted operations. Although the COVID-19 pandemic briefly boosted demand for local chicks in 2020, it also introduced logistical and financial challenges that intensified the strain on the business.
By 2019, Darko Farms had cut over 1,000 jobs. Its operations were no longer viable without intervention.
Government Intervention and EXIM Bank Recapitalisation
In an effort to prevent the collapse of one of Ghana’s key agribusinesses, the government intervened under its One District, One Factory initiative. The company was identified as a distressed but strategically significant enterprise. Through the Ghana Export-Import Bank, the government approved GH¢22 million (approximately 3.6 million US dollars) to recapitalize the business.
Disbursements began in 2019 and were allocated for modernization of equipment, expansion of processing capacity and improvements in the feed mill and hatchery. The investment increased slaughtering capacity from 500 birds per hour to 2,000, and feed production rose from 40 tonnes per day to 96 tonnes. Hatchery output was scaled up to 6 million chicks per year. The abattoir received upgrades, including new chillers and generators, improving reliability.
Darko Farms also launched an out-grower scheme supported by the recapitalisation. Under this program, the company supplied chicks, feed and veterinary services to independent farmers, who raised the birds for processing. As of 2020, the scheme involved 200 out-growers and supported approximately 1,000 indirect jobs.
The government continued to advocate for policies that protect domestic poultry. In 2022, it proposed a 100 percent tariff on imported frozen chicken and limited foreign exchange access for poultry imports, aiming to make local production more competitive.
Current State of Darko Farms (2024 to 2025)
By 2025, Darko Farms has returned to operational status, though with challenges. The company now has the capacity to process up to 10,000 birds per day, and its hatchery and feed mill are functional. Direct employment has risen to around 250 jobs, with 500 additional jobs supported indirectly. Management projects that, at full capacity, the firm could re-employ more than 650 people and support over 1,200 jobs externally.
Financially, however, the company’s recovery is still fragile. Feed and fuel costs remain high, and domestic chicken continues to be more expensive than imports. The EXIM loan must be serviced from operating cash flow, which puts pressure on margins.
Consumer interest in fresh, local chicken is rising, which has helped Darko Farms regain some retail presence. Supermarkets and restaurants have begun stocking its products again. The company’s upgraded facilities meet international food safety standards, potentially positioning it for contracts with hotel chains and fast food operators.
Darko Farms vs Other Poultry Producers: A Regional Perspective
In Ghana, Darko Farms remains among the largest poultry producers, though other companies such as Akate Farms, Boris B’s Farms and Topman Farms have gained ground, particularly in egg production. The sector as a whole continues to face structural weaknesses, including high operating costs and limited protection from foreign competition.
In West Africa, the poultry industry in Nigeria offers a stark contrast. Nigerian producers benefit from more restrictive import policies and scale advantages. Companies like Chi Farms and Amo Farms operate at significantly higher volumes. Senegal and Côte d’Ivoire have also strengthened their poultry sectors through targeted investment and protectionist measures.
Darko Farms’ focus on innovation through out-grower models and improved processing capacity offers a potential path to resilience. Its push to supply fast food franchises like KFC reflects a broader strategy of linking production to stable demand sources.
The Broader Outlook
Darko Farms represents both the promise and the vulnerability of agribusiness in Ghana. Its rise demonstrated what was possible through private sector leadership, while its decline illustrated the risks of market liberalization and underinvestment. The company’s partial revival shows the potential impact of targeted state support, but long-term survival will depend on sustained production, competitive pricing and policy consistency.
For Ghana’s broader poultry industry, the fate of Darko Farms is a bellwether. Its recovery could catalyze renewed interest in domestic production. Its failure would underscore the structural challenges that continue to make local agribusinesses uncompetitive. The next few years will determine whether Ghana can build a sustainable poultry sector or remain reliant on imports to feed its growing population.
