• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business Agribusiness

$1 trillion Sub-Saharan Africa food and beverage market remains largely untapped

5 years ago
in Agribusiness, Business, Editor's pick, highlights, Home, home-news, latest News
3 min read
0 0
0
135
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

RelatedPosts

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes

GACL Terminates Evatex Revenue Assurance Contract Amid OSP Probe

Cyber Security Authority Flags Rising Mobile Data Scam, Cautions Public

The food and beverage market in sub-Sahara Africa (SSA) is projected to grow by US$1 trillion in value by 2030, according to the World Bank.

While this presents a huge growth potential, the industry in Ghana remains largely import dependent, with few big players along the production and processing value chain.

But for many the small players like the kenkey and hibiscus tea/drink (sobolo) dotted along the streets of Accra, there is very little support in terms of capacity building and finance to help them expand and employ more hands.

This, according to Dr. Edward K. Brown – Senior Director, Research and Policy Engagements at Africa Centre for Economic Transformation (ACET), needs to change if the country is to take advantage of this huge market potential.

“Urbanisation is creating a huge demand for the local food and beverage industry, and there are some big players which have been here for years; but there is also a tremendous role that can be played by small and medium enterprises.

“But at the moment, if you look at the urban centres like Accra, Kumasi and Takoradi, a huge chunk of the products is imported. So, in many ways we are not taking advantage of our comparative advantage in the production of local products that would feed into the food processing industry,” Dr. Brown told the B&FT.

Dr. Brown is the co-author of ‘High-Potential Pathways for Productive Jobs’, a research series based on the ACET paper – The Future of Work in Africa: Implications for Secondary Education and TVET Systems, which highlights economic opportunities that spur the economic growth of SSA economies

Part of the problem, to him, is due to lack of government support in terms of finance and infrastructure like roads to link farms with market centres, as well as poor organisation.

Among other things, the sector is also saddled with rising input costs. Many inputs such as glass and plastic for packaging still have to be imported; and duties, which are calculated in foreign currencies, drive production costs higher. Others include depreciation of the cedi, imports and illicit products.

He however said the burgeoning industry, coupled with the country’s comparative advantage in producing products – largely agric-related raw materials – that can feed into the market, makes it compelling for government and the private sector to find ways of helping smaller players to grow, expand and create jobs; and be enabled to tap into the growing market locally and in the SSA region, while providing market for the agriculture produce.

Agriculture-driven transformation

Increasing productivity and output in a modern agricultural sector, according to the study, is the way forward for Ghana and African countries if they are to stand any chance of benefiting fully from the growing food and beverage industry.

This is because it is the only way to sustain agro-processing and a host of services upstream and downstream from farms, creating jobs and boosting incomes: “For example, rising incomes, urbanisation, and growing food consumption in cities provide enormous opportunities for agribusiness,” the study said.

It further revealed the growing food and beverage market, if harnessed optimally, will bring about an expansion of employment in off-farm activities and agriculture-related manufacturing, and provide many productive jobs – including for workers leaving farms who are prone to end up unemployed or working informal jobs in cities or towns.

A more productive agriculture sector will also solve one of the greatest problems facing SSA countries today – unemployment – as it will attract more young people, “rejuvenating a sector dominated by aging farmers”.

“Attracting youth into agriculture is particularly important, given that rapid urbanisation is putting pressure on already stretched resources in cities and leaving rural areas with skills gaps. In addition, a modernised farm system can also attract young people to become service providers to the sector and spur a vibrant fabrication sector,” the study read.

The role of government

The success of any attempt to become a key participant in the food and beverage space will depend largely on the policies put in place by African governments, Dr. Brown said.

“Policies and regulations must also create an enabling environment for the business of farming – and agribusiness in general – to be profitable; in particular, strengthening market linkages for smallholder former to access markets at lower cost,” he added.

More importantly, he said, both the private sector and government must interact on how to build capacity, provide logistics and supporting infrastructure – like roads from the farm to market, as well as storage facilities.

Without government support in the form of finance and infrastructure like roads to link farms to market centres, as well as an enabling environment, he said, no SSA country will be able to make the most of the projected US$1 trillion market.

Meanwhile, to create jobs and raise productivity in African agriculture, Dr. Brown also noted that considerable attention needs to be focused on land access.

Tags: $1 trillionAfrica Centre for Economic Transformationagribusinessfood and beverage marketSSA
No Result
View All Result

Highlights

Gov’t Reopens Talks With PayPal to Restore Full Service Access in Ghana

Financial Sector Assets up 34.6% in 2024 to GHS 525.59 Billion

Banking Sector Soundness Remains Robust in 2024 Amid Strong Profitability, Adequate Capital Buffers

Sha’Carri Richardson Withdraws from US Trials Following Arrest

From Singuluma to El Kaabi: Can CHAN 2024 Unleash the Next Hat-trick Hero?

Ghana to Welcome King’s Baton Relay on August 8 Ahead of 2026 Commonwealth Games

Trending

Features

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes

August 2, 2025

Parliament Adjourns Sine Die After Intense Legislative Session Marked by Reform Calls and Tributes Parliament has adjourned...

GACL Terminates Evatex Revenue Assurance Contract Amid OSP Probe

August 2, 2025

Cyber Security Authority Flags Rising Mobile Data Scam, Cautions Public

August 2, 2025

Gov’t Reopens Talks With PayPal to Restore Full Service Access in Ghana

August 2, 2025
Bank of Ghana

Financial Sector Assets up 34.6% in 2024 to GHS 525.59 Billion

August 2, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.