While local businesses struggle to carve out their place in a market where many consumers favor imported goods, Ghana’s rice and sugar sectors are being swamped by smuggled products, putting the livelihoods of local traders, farmers, and even the meals on Ghanaian tables at risk, the Food and Beverages Association of Ghana (FABAG) warned on Monday.
In a letter to the Ghana Revenue Authority (GRA), FABAG said illegal imports, particularly through border posts at Aflao (Togo) and Elubo (Ivory Coast), have surged in recent months, flooding markets with goods that bypass taxes, quality checks, and regulations. Local producers and distributors, who rely on every sale to feed their families and keep factories running, are being pushed to the brink.
“While honest businesses pay their taxes and follow regulations, they now face unfair competition from illegal traders,” said Rev. John Awuni, Chairman of FABAG. “It’s not just business, it’s about the farmers growing the rice, the workers packaging it, and the families counting on those incomes to put food on the table.”
Industry observers point to a significant duty differential between Ghana and neighboring countries as a key driver of the problem, creating strong incentives for traders to bypass official channels. FABAG warned that continued inaction could threaten both Ghana’s formal food import sector and domestic rice production, putting jobs, revenue, and the nation’s food security at risk.
To combat the trend, FABAG is urging the government to take several urgent measures.
First, the association called for nationwide crackdowns led by GRA Customs to dismantle smuggling networks. “Every illegal sack of rice or bag of sugar undermines honest traders and the farmers who grew the crop,” the letter said.
Next, FABAG recommended an overhaul of border management, including digital monitoring systems at key points. This would help track shipments and ensure that goods crossing borders meet safety and tax standards.
The association also stressed the importance of public disclosure of enforcement results, saying transparency would reassure traders and consumers alike that the government is serious about protecting the market.
Additionally, FABAG urged stronger collaboration between the Ministry of Trade, National Security, and border patrol units to dismantle smuggling cartels. Coordinated action, they said, is essential because the illegal trade is organized and sophisticated.
Finally, FABAG called for a review and adjustment of import taxes and tariffs to level the playing field. “If smuggling becomes less profitable, local businesses can thrive, farmers can plan their harvests, and consumers can enjoy safe, locally produced rice and sugar,” the association said.
“Smuggling constitutes economic sabotage,” the letter said. “Ghana cannot continue to lose revenue and jobs because of negligence in enforcing trade laws.”
FABAG pledged to continue advocating for a transparent, accountable, and fair trade environment, one that protects national revenue while supporting the livelihoods of Ghanaian businesses, farmers, and the families behind every plate of rice and spoonful of sugar.
