Ghana’s Grain Sector Faces Collapse as 100,000 Tonnes of Maize and Rice Remain Unsold
Ghana’s grain sector is facing a looming crisis, with over 100,000 metric tonnes of maize and rice from the 2024 harvest still unsold, leaving farmers burdened with debt and threatening the survival of local processors.
According to the Chamber of Agribusiness Ghana (CAG), the glut is being worsened by a surge in cheap imports and the smuggling of substandard grains, which are forcing many farmers to sell their produce at prices far below production cost.
With the 2025 harvest season approaching, the Chamber has warned that the crisis could deepen—undermining livelihoods, collapsing processing mills, and putting national food security at risk.
In a statement, CAG explained that smuggled maize and rice, which evade duties and quality checks, are being sold at artificially low prices on the local market. The Chamber cautioned that if urgent measures are not taken, entire subsectors of Ghana’s maize and rice industry could collapse. Already, some mills and processors are operating far below capacity, while others have shut down completely.
“This not only jeopardises farmer incomes but also weakens the domestic value chain, making Ghana increasingly dependent on foreign imports and eroding food sovereignty,” the Chamber stressed.
CAG also raised concerns about alleged collusion between smuggling syndicates and corrupt border officials, noting that tax evasion from illicit grain imports is costing the state significant revenue.
The Chamber is urging government to take decisive policy action, including:
- Tighter border controls to combat smuggling.
- Mandating state institutions such as the School Feeding Programme, Armed Forces, and Prisons Service to source food from local producers.
- Introducing guaranteed minimum prices to stabilise farmer incomes.
- Providing financial support to millers to purchase grain at harvest.
- Investing in rural roads, storage facilities, irrigation systems, and cold chain infrastructure to boost productivity and resilience.
CAG further called for stronger farmer cooperatives to make local maize and rice more competitive against imports, while pressing for an urgent high-level dialogue between government, private sector players, and farmer associations ahead of the new harvest season.
“Investing in local rice and maize is investing in Ghana’s economic independence, jobs, and food sovereignty. The time to act is now,” the Chamber emphasised.
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