Sector overView:

Agriculture accounts for about 40 percent of Ghana’s GDP and employs more than half of the workforce and generates about 55 percent of the foreign exchange earnings. 57 percent of the country’s 23.9 million hectares total land area is suitable for agricultural purposes.Great investment opportunities exist in this sector including the provision of agricultural inputs and agrochemicals, processing of agricultural and dairy products, floriculture, value addition and post-harvest technology, irrigation technology and more.

Growth:

The sector shown a steady growth rate over the recent years after declining between 2006 to 2010.However, there are clear indications that the sector has a strong potential to develop into a multibillion-dollar industry. Ghana is the second largest producer of cocoa in the world. Demand for Cocoa continues to climb as China now imports about 90% of Ghana’s total cocoa production. The cost of cocoa is 205 Ghana Cedis per 48kg bag for the 2011/12 crop.

Other main leading agricultural export products include timber, oil palm, kola nuts, fresh pineapples, tuna, processed fish etc.

Competitive Advantages

  • Over two thirds of the land in Ghana is fertile, and needs little or no fertilizers/chemical to grow crops in large quantities.
  • The government has interest in agribusiness and is ready to support any credible investor who will bring improvements.
  • Ghana is the second leading producer of cocoa in the world.
  • Diversity of commodities.
  • Well-endowed drainage basin, a well-established agricultural research system and relative proximity to the European market.
  • A big share of the African quota of the EU market in fruits and vegetables export

Opportunities:

The huge potential of agriculture in Ghana presents an unexploited investment opportunity. Ghana has Major stakeholders and government are looking for ways to partner with investors outside the country to improve agri-business through modern technology, to ensure food security in meeting international requirements.

  • Provision of agricultural inputs such as improved seeds and agrochemicals including fertilizers, pesticides and herbicides. Veterinary drugs, vaccines and chemicals; animal feed and feed ingredients are also required.
  • Provision of agricultural inputs such as improved seeds and agrochemicals including fertilizers, pesticides and herbicides. Veterinary drugs, vaccines and chemicals; animal feed and feed ingredients are also required.
  • Processing of agricultural products such as cereals (maize, rice, millet) starchy crops (yam, cassavasweet potato and plantain) and other staple foods.
  • Dairy products: processing of the products as well as the supply of machinery to establish hatcheries for day-old chicks.
  • Investments required in the agro-processing industry to add value, reduce post-harvest losses, promote price stability and expand demand for local agricultural produce.
  • Developing irrigable land is another key area. While Ghana has a potential irrigable area of 346,000 hectares, only 10,000 hectares have been developed.

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