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Farmers Renting Land Threatens Long-Term Agricultural Investment – Daniel Fahene Acquaye

Daniel Fahene Acquaye says increasing reliance on rented farmland is discouraging long-term agricultural investment in Ghana, urging reforms to improve land tenure security, productivity, youth participation and sector growth.

Mr. Daniel Fahene Acquaye, Chief Executive Officer of Agri-Impact Limited.
Mr. Daniel Fahene Acquaye, Chief Executive Officer of Agri-Impact Limited.
Stanley Senya
May 27, 2026

Ghana’s agricultural sector risks slower productivity growth and reduced investment if the country fails to address growing land tenure challenges that are forcing more farmers to rent land instead of owning it, according to Mr. Daniel Fahene Acquaye, Chief Executive Officer of Agri-Impact Group.

Speaking in an interview, Mr. Acquaye said increasing land acquisition costs, fragmented land ownership systems, family disputes, and insecurity over land rights are making it difficult for many farmers, particularly young people, to secure permanent access to farmland.

According to him, while land rental arrangements have become a practical option for many farmers seeking to expand production, they often discourage long-term investments that are essential for transforming agriculture into a modern and profitable business.

Farmers’ Day Must Become a Turning Point, Not Just a Ceremony, If Agriculture is to Attract Scalable Capital

“Many farmers today are cultivating land they do not own. While renting land provides temporary access, it creates uncertainty. 

A farmer who is unsure whether he or she will have access to the same land next season is less likely to invest in irrigation systems, soil improvement programmes, tree crops or other long-term productivity measures,” he explained.

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Mr. Acquaye noted that agricultural investments typically require several years before yielding significant returns, making secure land ownership or long-term lease arrangements critical for sustained growth.

“If you are planting cocoa, cashew, mango or oil palm, these are investments that can take years before generating income. No prudent investor will commit substantial resources to land that can be reclaimed unexpectedly or where tenure arrangements are unclear,” he said.

The Agri-Impact Group CEO observed that land insecurity has become one of the hidden barriers limiting agricultural modernization in Ghana, despite ongoing efforts to increase food production and attract young people into agribusiness.

He argued that while government programmes often focus on improving access to seeds, fertilizers, mechanization and financing, insufficient attention is given to the land access challenges confronting farmers.

“We cannot discuss agricultural transformation without discussing land. Access to affordable financing, mechanization and improved technologies becomes less effective if farmers do not have secure and predictable access to the land they cultivate,” he stated.

Mr. Acquaye further indicated that the growing preference for short-term rental agreements contributes to low productivity because farmers tend to focus on immediate harvests rather than investing in sustainable farming practices.

“When tenure is uncertain, the incentive is often to maximize short-term output instead of building long-term soil health. This can result in declining soil fertility and lower productivity over time,” he said.

He also highlighted the difficulties young agripreneurs face when attempting to enter commercial farming, noting that many struggle to secure suitable land despite possessing the technical knowledge and entrepreneurial drive required to succeed.

“Young people frequently tell us that finding land is one of their biggest challenges. Even where land is available, rental costs can be prohibitive and lease agreements may not provide sufficient security to justify major investments,” he explained.

Mr. Acquaye called for reforms aimed at strengthening land administration systems, improving documentation processes and encouraging long-term lease arrangements that provide greater certainty for farmers and investors.

He suggested that traditional authorities, landowners, government agencies and private sector stakeholders should collaborate to develop frameworks that balance landowners’ interests with the need for agricultural investment.

“There is a need to create win-win arrangements where landowners are protected while farmers also gain the confidence to invest for the long term. Agriculture requires patience and capital. Both depend heavily on secure access to land,” he said.

The agribusiness expert believes that addressing land tenure constraints could unlock significant investment opportunities across Ghana’s agricultural value chains, improve productivity and enhance food security.

“If we want agriculture to become a major engine of economic growth, job creation and export earnings, we must ensure that farmers have secure access to land. Land is the foundation upon which every other agricultural investment is built,” Mr. Acquaye added.

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