The Chief Executive Officer of the National Food Buffer Stock Company (NAFCO), George Abradu-Otoo, has said Ghana requires at least GH¢1.5 billion to establish a meaningful national food reserve system capable of stabilizing food markets, reducing post-harvest losses and supporting farmers during periods of surplus production.
According to him, the approximately GH¢300 million currently allocated for grain purchases falls far short of what is needed to create a strategic reserve capable of addressing food security challenges nationwide.
Speaking in an interview, Abradu-Otoo said the government had provided additional funding to support the company’s operations, but emphasized that current resources remain inadequate to achieve the desired impact.
He explained that an initial allocation of GH¢100 million, supplemented by an additional GH¢200 million announced by Finance Minister Dr. Cassiel Ato Forson, has enabled the company to begin purchasing grains from farmers and laying the foundation for a reserve system.
However, he stressed that a significantly larger investment is required to effectively absorb excess production during bumper harvests and prevent losses across the agricultural value chain.
“If we need to undertake meaningful mopping up of excess grains, we need no less than GH¢1.5 billion,” he said.
Abradu-Otoo described the government’s decision to prioritize food reserve development as a major policy breakthrough, noting that strategic reserves play a critical role in ensuring food security and stabilizing prices during periods of market volatility.
He expressed concern that Ghana has lagged behind several countries within the West African sub-region in establishing a comprehensive national food reserve despite its strong agricultural potential.
According to him, many neighboring countries, including Mali, have already developed food reserve systems that enable them to respond more effectively to food shortages and supply disruptions.
Agricultural experts have long argued that strategic grain reserves can help protect farmers from price collapses during harvest seasons while ensuring sufficient food supplies during emergencies and periods of scarcity.
The establishment of a robust food reserve system is also expected to support the government’s agricultural transformation agenda by creating reliable markets for farmers and reducing post-harvest losses that continue to affect the sector.
As Ghana seeks to strengthen food security and build resilience against climate and market shocks, stakeholders say increased investment in food storage and reserve infrastructure will be critical to achieving long-term agricultural sustainability.
