In a statement issued by the chamber , it said recent field data revealed that more than 1.2 million metric tonnes of rice, maize, and soya beans remain stranded in storage facilities and farms across Ghana’s major grain-producing regions. This, it noted, represents a paradox of “surplus amidst deficit,” as the country continues to face shortfalls in key food commodities despite large volumes of unsold local produce.
According to the CAG, Ghana’s annual rice consumption stands at about 1.9 million metric tonnes, while local production is estimated at 900,000 metric tonnes. Yet, almost two years’ worth of both milled and paddy rice reportedly remain unsold in warehouses and factories nationwide. The Chamber blamed the situation on market distortions, smuggling of rice through unapproved routes, and the inflow of expired imports, which together have resulted in significant tax losses and weakened local competitiveness.
The situation is no better for maize and soya beans. Ghana consumes approximately 3.3 million metric tonnes of maize annually but produces only about 2.5 million metric tonnes, leaving a shortfall of nearly 700,000 metric tonnes. Similarly, soya bean production, estimated between 225,000 and 250,000 metric tonnes, represents only about a third of the country’s potential capacity of 700,000 metric tonnes, even though domestic demand exceeds 300,000 metric tonnes and continues to rise.
CAG identified the Export and Import (Restriction on Exportation of Soya Beans) Regulations, 2020 (L.I. 2432) as a major cause of market distortion. The policy, which was intended to secure adequate local supply for the poultry and aquaculture industries, has instead led to a steep fall in farm gate prices and trapped thousands of bags of soya beans in warehouses, particularly in the Northern Region. The Chamber noted that the price of a bag of soya beans has fallen from GH¢650 to GH¢400, discouraging many farmers who are now abandoning the crop.
To address what it describes as a national emergency, the Chamber of Agribusiness has proposed several urgent policy actions. First, it is calling on government to impose a three-month moratorium on rice imports to allow local producers to clear existing stockpiles, provide relief to farmers and millers, and rebalance the market. Second, it is demanding the immediate repeal of L.I. 2432 to restore fair market conditions, eliminate warehouse gridlock, and encourage renewed investment in soya production.
The Chamber further recommended that the Ministry of Trade and Industry, in collaboration with the National Security, Ghana Revenue Authority, Ghana Standards Authority, and Food and Drugs Authority, should conduct a comprehensive audit of all rice currently on the market. This audit, it said, would ensure tax compliance, quality assurance, and the removal of smuggled or substandard products that threaten consumer safety and the local industry.
Beyond these immediate measures, CAG is urging government to establish a Strategic Grain Reserve Procurement Programme under the National Food Buffer Stock Company (NAFCO) to purchase surplus grains directly from farmers at sustainable prices. The programme, it explained, would help stabilize prices, ensure steady supply to the poultry, livestock, and food-processing industries, and enable Ghana to meet its food security commitments under the ECOWAS Regional Food Security Storage Strategy.
The Chamber also proposed the creation of a National Grain Price Stabilization Fund to guarantee predictable pricing for farmers and grain-based industries, thereby cushioning both producers and consumers from sudden market shocks.
Looking beyond the immediate crisis, CAG outlined a long-term framework for sectoral growth. It called for a five-year Ghana Rice Production Strategy led by the Ministry of Food and Agriculture and the Ministry of Trade and Industry, featuring phased import quotas aligned with rising local production capacity. It further urged increased investment in irrigation, mechanization, and research to improve the quality and competitiveness of local rice varieties, while promoting private-sector-driven agro-processing to enhance value addition.
Finally, the Chamber appealed for the formulation of a comprehensive Agriculture for Economic Transformation Policy that would harmonize government support and private sector participation to drive Ghana’s agricultural modernization agenda.
CAG concluded that safeguarding the investments of local farmers and agribusinesses must be a national priority, warning that failure to act promptly could cripple Ghana’s grains economy and undermine food security.
“Decisive action on these recommendations will not only resolve the current grain glut,” the Chamber stated, “but also reposition Ghana’s grains sector as a driver of sustainable growth and national resilience.”
