Government has earmarked US$3 billion of its planned US$10 billion New Economy investment for commercial agriculture, targeting rice, sugar, poultry, maize, soya bean, aquaculture, oil palm, vegetables and cocoa processing.
Finance Minister Dr Cassiel Ato Forson announced the allocation during the presentation of the 2027 Budget in Parliament, outlining plans to strengthen domestic production, processing and distribution.
Agriculture accounts for approximately 20% of Ghana’s economy, almost 40% of employment and nearly 25% of export earnings. However, the country continues to spend billions of dollars annually importing food and agricultural products that could be produced locally.
Dr Forson said the import bill weakens the cedi, exposes the economy to external price shocks and limits domestic job creation.
“Every avoidable import is more than a customs entry into our country. It is a farm that was not financed, a factory that remained idle, a transport contract that was never signed, and a job that was created elsewhere,” he said.
Rice Production And Import Restrictions
Government plans to establish rice development hubs across the Volta Basin, Western Ghana and Northern Ghana, bringing an additional 100,000 hectares under cultivation.
The hubs are expected to achieve yields of five to six metric tonnes per hectare and support approximately 125,000 jobs. Targeted tax incentives will cover irrigation, mechanisation, silos, modern mills, packaging and logistics.
Government will also amend public procurement laws to prioritise locally produced food in schools, hospitals and other public institutions.
From 2027, rice import licences will be tied to purchases from verified local farmers and millers, with commercial rice imports expected to be prohibited by the end of 2030.
“Beginning 2027, rice import licences will be tied to purchases from verified Ghanaian farmers and millers. The local purchase ratio will rise as domestic output expands and import quotas decline,” Dr Forson said.
Sugar Self-Sufficiency By 2030
Government is also targeting sugar self-sufficiency by 2030 through irrigated production zones, nucleus estates, organised outgrowers and commercially viable mills.
Import quotas will gradually decline as verified domestic production increases.
The programme will also develop maize and soya bean production to supply poultry feed manufacturers, alongside investments in aquaculture and oil palm.
Dr Forson said the interventions would connect farmers to storage, processing, transportation and markets to ensure increased production translates into commercial opportunities.
“The farm must no longer stand alone at one end of the value chain while the market waits at the other,” he said.
He added that the integrated approach would reduce agricultural imports, supply local industries, and create jobs across the agricultural value chain.
