Ghana’s heavy dependence on imported rice is inflicting a deep economic strain on the nation, as new research by the Institute for Fiscal Studies (IFS) warns that the country risks losing control of its food security if immediate reforms are not made to revamp domestic rice production.
Dr Said Boakye, Senior Research Fellow and Acting Executive Director in a presentation in Accra yesterday, painted a stark picture of how rice importation has surged over the past four decades despite repeated policy interventions.
His presentation was titled “Increasing Importation of Rice in Ghana: Can the Country Transform Its Fortunes in the Rice Sector.”
According to the IFS, Ghana’s per-capita rice consumption increased almost fivefold from 12.4 kilograms in 1980 to 61.05 kilograms in 2022, but local production has consistently fallen short of meeting demand. The deficit has been filled by imports, which have ballooned in recent years, worsening the country’s balance of payments and exchange rate pressures.
The report reveals that even though several government programmes have targeted rice self-sufficiency including the National Rice Development Strategy, Planting for Food and Jobs, and the Medium-Term Agriculture Sector Investment Plan, their impact has been modest due to poor implementation, weak coordination, and lack of continuity.
Dr Said Boakye stressed that Ghana cannot continue to rely on short-lived initiatives. “Ghana cannot keep repeating the same policy measures and expect significantly different results,” he noted, calling for a complete overhaul of the country’s rice policy framework.
The study attributes the surge in rice imports to multiple structural weaknesses within the local rice value chain.
Among the key factors identified are low yields, limited access to improved seeds, high input costs, inadequate irrigation, poor mechanization, and significant post-harvest losses.
The IFS found that average yields on Ghanaian rice farms are less than half of what is achieved in other West African countries with similar conditions.
Moreover, the report highlights that imported rice continues to dominate Ghana’s urban markets due to superior quality, standardized packaging, and competitive pricing advantages that locally produced rice still lacks.
This situation, the study cautions, has discouraged local millers and farmers, further deepening dependence on foreign suppliers.
The IFS also expressed concern over the foreign exchange burden caused by rice imports. With annual imports now costing Ghana hundreds of millions of dollars, the country’s limited foreign reserves are under strain.
“Rising imports are contributing to exchange rate depreciation and inflationary pressures, undermining efforts to stabilise the economy,” the report emphasised.
Beyond the economic impact, the Institute warns that dependence on imported rice poses a serious food security risk, especially in times of global supply disruptions or currency fluctuations.
It argues that achieving rice self-sufficiency is not only an economic goal, but also a strategic necessity for national resilience.
To reverse the trend, the IFS recommends a comprehensive and sustained national plan that goes beyond ad hoc interventions. The proposed strategy includes: Expanding irrigation infrastructure and mechanisation to increase yields; Supporting smallholder farmers with access to credit, improved seeds and fertilizers.
Others are Investing in modern milling and packaging facilities to enhance the competitiveness of local rice; Enforcing quality standards and marketing campaigns to boost consumer confidence in Ghana rice and Implementing effective import management policies to protect local producers while scaling up production.
The report further calls for stronger institutional coordination, particularly among the Ministry of Food and Agriculture (MoFA), Ghana Irrigation Development Authority (GIDA) and the private sector.
It stresses that achieving transformation will require political commitment, policy consistency, and long-term investment.
Dr. Boakye concluded that Ghana has the potential to not only meet its domestic demand, but also become a net exporter of rice if the government adopts a results-driven approach.
“With the right investment and effective implementation, Ghana can transform its rice sector from a net importer to a competitive regional producer,” he asserted.
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