The Ultimate Guide To Agricultural Investment in Ghana

"About 52 % of the labour force is engaged in agriculture, 29 % in services and 19 % in industry. Approximately, 39 % of farm labour force is women. Agriculture contributes to 54 % of Ghana’s GDP, and accounts for over 40 % of export earnings, while at the same time providing over 90 % of the food needs of the country. Ghana’s agriculture is predominantly smallholder, traditional and rain-fed (SRID, 2001)."

"About 136,000 km2 of land, covering approximately 57 % of the country’s total land area of 238,539 km2 is classified as "agricultural land area" out of which 58,000 km2 (24.4 %) is under cultivation and 11,000 hectares under irrigation. About 60 % of all farms in the country are less than 1.2 hectares in size, 25 % are between 1.2 to 2.0 hectares, with a mere 15 % above 2.0 hectares. The mean farm size is less than 1.6 hectares. Small-size and medium-size farms of up to 10.0 hectares account for 95 % of the cultivated land (SRID, 2001)."

Source: fao.org

Ghana consistently runs a trade deficit in the production of paddy rice and this offers great opportunities for commercial farming to plug this deficit and provide input to the local rice processing factories.

It is worthy to note that, the existence of planting for food and jobs together with tax exemption provide an enabling and incentivized environment to ensure a viable and profitable establishment of a commercial rice farm.

The global shea butter market is expected to reach a market value of US$3.5b by the end of 2028, with an expected CAGR of 5.2% over the next five years, according to GIPC website.

The demand for shea butter products in the northern part of the country has soared in recent times.

The successful implementation of Productivity Enhancement Program by COCOBOD will increase the yield in production actions to sustainably increase plant health and fertility, developing irrigation systems and rehabilitating aged and diseased crops. Increased yield on cocoa presents a viable opportunity in the Ghanaian cocoa industry

Cocoa beans contributed 60% of Ghana’s total export revenue from cocoa products in 2020; the availability of cocoa beans presents a huge opportunity for cocoa processing factories in Ghana.

GIPC informs that, with Ghana's rain cycles distorted due to climate change, farmers find it difficult to rely on rainfall to predict planting seasons.

Thus, the need for climate resilient and adaptable technology in Ghana's agricultural landscape.

According to GIPC website, research has shown that poultry and fish feed is not produced in commercial quantities due to lack of requisite machinery.

Thus, a call is being made to all potential investors to really consider this sector of Ghana's agriculture with a potential for massive returns.

There are many opportunities that exist in aquaculture production, states the GIPC, particularly in tilapia rearing using modern techniques that reduce waste and inefficiencies as well as reduce costs while boosting output and revenue.

Planting for Food and Jobs

The objective of this campaign is to provide job opportunities for the youth by increasing the production of crops in the country thereby decreasing the importation of food. It also seeks to modernize the agriculture sector of the economy in order to improve food security.

Food System Resilience Program (FSRP2)

This program is under the World Bank Multi-Phase Programmatic Approach (MPA), this campaign seeks to strengthen regional food system risk management, improve the sustainability of the productive base in targeted areas and to develop regional agricultural markets.

Ghana Agriculture Sector Investment Programme (GASIP)

The overall goal is to contribute to sustainable poverty reduction in the rural parts of Ghana. The programme is implemented along three key components which includes Value chain development, rural value chain infrastructure and; knowledge management, policy support and co-ordination.

Savanah Investment Programme (SIP)

This is an initiative by government to reduce importation of meat through increased commercial broiler production, enhance competitiveness of the poultry industry and contribute to improved nutrition security.

Youth in Agriculture

This is an initiative to motivate the youth to accept and appreciate farming/food production as a commercial venture, thereby taking up farming as a life time vocation.

European Union Ghana Agriculture Programme (EU-GAP) in-savannah-ecological-zone

This is initiative is to provide critical infrastructural investments and strengthen integrated business models along selected value chains to stimulate inclusive and sustainable economic growth.

Ghana CARES "Obaatan pa" Programme

The initiative is to ensure rapid competitive import substitution, support to commercial farming (particularly by the educated youth), increased food security, and the supply of raw materials (at scale, high quality and high reliability) for agro-processing industries for value-addition, job creation, exports, and industrialization.

The Savannah Zone Agricultural Productivity Improvement Project (SAPIP)

The Project's overall development goal is to restructure agricultural value chains in the Savannah Zone for food and nutrition security, employment creation, and wealth generation.

Ghana Commercial Agricultural Project (GCAP)

This initiative is to improve agricultural productivity and production of both smallholder and nucleus farms in selected project intervention areas of the recipient’s territory.

The Ghana Peri-Urban Vegetables Value Chain Project

The project is closely linked to the Government of Ghana’s strategy for poverty reduction: improving food security by increasing production and market access for vegetable both for domestic consumption and exports.