Regulating Agriculture Sector: Agribusiness Chamber CEO Calls for Establishment of National Agro-Industry Authority
Chief Executive Officer of the Chamber of Agribusiness Ghana, Anthony Morrison, has called for the creation of a National Agriculture and Agro-Industry Development Authority to bolster Ghana’s agribusiness and agricultural sectors.
He asserts that such an authority would be pivotal in regulating food imports and fostering the development of the agro-industry.
Speaking during NorvanReports’ X Space Discussion on Sunday, December 22, themed “Enabling the Private Sector: Infrastructure, Energy, and Logistics,” Mr. Morrison emphasized the need for deliberate actions to address Ghana’s agricultural challenges.
Proposed Role of the Authority
Mr. Morrison proposed that the Authority be equipped with a Raw Materials Council to provide real-time data on food production. This data would encompass metrics such as quantities, acreage, and geographical distribution.
“We need a timely agriculture information management system,” he added, citing examples from the Emirates, where similar initiatives have been successful.
He also highlighted the pressing need to reduce Ghana’s reliance on food imports, which currently stands at an estimated $10 billion annually, excluding agricultural inputs like fertilizers, seeds, and machinery.
Infrastructure and Post-Harvest Losses
The Chamber CEO outlined significant gaps in Ghana’s agricultural infrastructure, which have contributed to the sector’s inefficiencies.
He disclosed that post-harvest losses cost the country hundreds of millions of dollars annually, including $200 million in the vegetable sector and $300 million in grains and cereals such as maize, rice, and millet.
“Infrastructure in rural areas, where 90% of Ghana’s agricultural activities take place, is severely underdeveloped, with only about 17% of infrastructure investment directed to these areas,” Mr. Morrison lamented.
He criticized the government’s limited investment in agriculture, pointing out that annual allocations amount to less than $1 billion, a fraction of the estimated $2 billion needed to fully develop the sector.
Additionally, he noted Ghana’s heavy dependence on imported seeds, with over 60% of rice and maize seeds and 99% of vegetable seeds sourced from abroad.
“The largest contributors to Ghana’s agriculture sector are urban farmers, providing 60% to 65% of financial support. Government allocations remain minimal,” Mr. Morrison stated.
Recommendations for Reform
To ensure a sustainable transformation of Ghana’s agriculture sector, Mr. Morrison called for:
- Deliberate Infrastructure Development: Prioritizing rural areas critical to agricultural production.
- Increased Investment: Scaling up government funding to at least $2 billion annually to address production and infrastructure gaps.
- Policy Harmonization: Streamlining efforts across government agencies to avoid duplication and inefficiencies.
- Enhanced Irrigation: Expanding Ghana’s irrigable land, currently estimated at 2 million hectares, to combat climate-related challenges.
He also recommended separating the Ministry of Trade and Industry into distinct entities to focus more effectively on industrialization and agro-industry development.
Way Forward
Mr. Morrison concluded by urging policymakers to adopt an intentional and coordinated approach to revitalize agriculture and agribusiness.
He highlighted the sector’s critical role in food security, job creation, and overall economic growth, stressing the need for bold reforms to unlock the sector’s full potential.