Editorial: Market access crucial to absorb excess food, reduce high PHLs & protect farmers’ incomes

Member of Parliament for Tano North, Dr. Gideon Boako – who happens to be a financial economist, has called on government to allow the export of surplus food produce.

He believes this will be a remedy to country’s recurring food gluts, arguing that restrictions on external sales are worsening post-harvest losses and squeezing farmers’ incomes.

The MP for Tano North argues that when supply consistently outpaces domestic demand prices collapse, leaving farmers unable to recover production costs. The result, he warns, is mounting waste, weaker rural incomes and declining incentives to expand output.

Without alternative channels, large volumes of perishable goods risk spoilage – deepening financial losses across the agricultural value chain.

Beyond immediate hardship for farmers, the economic implications are broader. Food gluts depress farm-gate prices, reduce rural spending power and weaken credit repayment capacity with knock-on effects for agro-dealers, transporters and local banks.

In August 2024, Ghana’s government adopted a ban on the exportation of grains including maize, rice and soya beans to ensure food security in the country.

However, some analysts say allowing exports could stabilise prices, improve foreign exchange earnings and reduce waste, while giving producers the confidence to sustain output.

In response to the current situation, the Ministry of Food and Agriculture says it is addressing the problem through longer-term structural reforms. These include strengthening the processing, marketing, distribution and export segments of the agricultural value chain to absorb excess production and add value locally.

As part of the plan, a poultry processing factory is being established in Bechem to support large-scale processing, packaging, cold-chain management and value addition. The facility is intended to help Ghanaian poultry products meet both domestic and international standards.

Additional processing plants are planned for other regions to create a decentralised network capable of reducing post-production losses, cutting imports and positioning Ghana as a potential poultry export hub within the sub-region.

The debate highlights a familiar policy dilemma: whether to shield domestic supply through restrictions or open markets to protect farmer incomes.

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