How to boost agriculture and cut Ghana's over $3.5bn food import bill, Alhaji Seidu Agongo says

Ghana has some of the best arable lands in the world. However, it also has one of the largest food import bills. In 2023, food imports cost Ghana over $3.5 billion. This drains foreign exchange and harms local farmers.

The country imports nearly all edible items, from rice to offal. Local production struggles due to limited long-term policy support. Ghana has a young population facing high unemployment rates. The 2021 Census showed that almost 40 percent of Ghanaians are aged 15-35 years.

A World Bank report from 2020 revealed that 12 percent of youth are unemployed. More than half of them are underemployed. Many young people search for jobs without success. Farming could be an option for these youths, but it is not popular.

As the population grows, Ghana fails to produce enough food. This creates a food insufficiency issue that threatens national security.

**Past Efforts**

This problem is not new for Ghana. Since independence, the country has struggled with food production. Various governments have tried to address this issue through different interventions.

One notable effort was Colonel I.K. Acheampong’s Operation Feed Yourself in 1972. This program aimed to encourage Ghanaians to farm more and boost traditional farming efforts.

The government supported this initiative with subsidized inputs and credit access. They also recruited extension officers to help farmers improve their practices.

Public awareness campaigns generated enthusiasm and participation among citizens. While results were initially positive, they could not be sustained after Acheampong's regime.

Subsequent governments launched similar programs with similar goals.

**Planting for Food and Jobs**

The latest initiative is Planting for Food and Jobs (PFJ), introduced in 2017 by the Ministry of Food and Agriculture. This program aims to support farmers in producing food and livestock.

Despite its good intentions, reports indicate that PFJ faced many challenges leading to limited success. The rising food import bill suggests these agricultural programs did not achieve their goals sustainably.

Millions of cedis have been invested in these initiatives, including nearly GHS3 billion into PFJ's first phase from 2017-2023.

**Tracking Mistakes**

Given the scarce resources used for these programs, we must ensure better outcomes moving forward. It’s essential to analyze what went wrong in previous efforts as new interventions are planned.

Agriculture should be led by professionals with expertise in the field. Allowing politics to dictate agricultural policies can lead to poor outcomes.

There are several areas where Ghana can improve its agricultural sector:

1. **Rice Production:**
Rice is a staple but domestic production meets only 40% of demand.
Investing in irrigation and improved seed varieties can boost local production.
Partnerships between government and private sectors can enhance processing capabilities.

2. **Poultry Business:**
Ghana imports about 95% of its poultry meat annually.
Modernizing poultry farms and feed production can increase local supply.
Supporting smallholder farmers with financing will be crucial.

3. **Livestock Processing:**
Meat imports exceeded $210 million in 2023.
Expanding local livestock farming will reduce reliance on imports.
Developing meat processing plants is essential for growth.

4. **Value-Added Processing:**
The food processing industry needs development to reduce imported processed foods.
Investing in agro-processing infrastructure will add value to crops like cassava and maize.

5. **Irrigation Management:**
Lack of irrigation limits agricultural productivity significantly.
Expanding water management projects will allow year-round crop production.

6. **Youth Participation:**
With a large workforce aged between 15-64 years, youth involvement is vital.
Training programs and financial support can enhance agribusiness participation among youth.

**Conclusion**

Ghana can transform its agriculture by utilizing its land, water resources, and youthful workforce effectively. Reducing agricultural imports will save foreign exchange while creating jobs and ensuring food security.

Investments in irrigation, mechanization, livestock farming, and agro-processing can help Ghana become self-sufficient in food production while boosting economic growth as noted by the International Trade Administration in 2023.

The writer is a businessman who founded Heritage Bank Limited before its collapse.