A Strategic Guide for Investors: Opening Opportunities in Ghana’s Rice Industry

Jun 26, 2025 | Agriculture, Ghana | 0 comments

The thought that rice makes us fat is not entirely true; instead, the fact is that rice is low in fat. Consuming rice in an appropriate portion and combining it with other nutritious foods can help incorporate it into a healthy diet. Even though rice does not contain cholesterol, its carbohydrates provide energy, making it suitable for those watching their cholesterol intake. Like in other countries, it has enormous significance in Ghana. Ghana’s per capita consumption stands at approximately 52 kg per person annually.

Ministry of Trade and Industry: Boosting local production

In 2023, the Ministry of Trade and Industry proposed to parliament a law banning or restricting imports of many goods, including rice. This move aims to boost local production. The government has introduced these measures to address health issues and other reasons to boost regional rice production. Analysts also expect a 16% increase in paddy rice output to 1.1 million metric tons in Ghana during the rice season in 2023–24. 

Ghana has allocated a huge amount of money for domestic rice production and processing, aiming for a 30% rise in output to 2.4 million metric tons annually within the next five years. This entire step undoubtedly benefits farmers and investors, allowing them to invest or cultivate more and earn a considerable profit.

Beans and rice at the market in Tamale in the Northern Region of north Ghana in West Africa

Researcher in Ghana: Dr. Gharwa Mensah's vision

Dr. Gharwa Mensah is a prominent researcher in Ghana who is also part of a team working on increasing production within the next few years. According to his research, implementing a 360-degree strategy could satisfy the plan for the next five years in Ghana’s rice industry, and he believes that this initiative will create opportunities for farmers and investors. However, he emphasizes the importance of first addressing the challenges in the rice production sector to ensure robust production.

Challenges Facing Ghanaian Rice Farmers

Many obstacles afflict Ghanaian rice farmers, affecting their output and the general expansion of the rice sector. These include restricted water supplies, changing rainfall patterns brought on by climate change, poor drainage and erosion-inducing damaged soil, and ongoing pests and diseases.

While low yields result from seed recycling and poor quality standard testing, ineffective use of pesticides and a lack of farmer awareness worsen these problems. Post-harvest challenges, including poor processing facilities, milling machinery, and storage silos, further strain this sector. Other issues affecting farmers include low farm mechanization levels and limited access to financial resources, which hinder the adoption of modern technologies. Gharwa’s 360-degree approach will help to capture the target market and solve the problem effectively.

Implementing a Comprehensive 360-Degree Approach

A 360-degree approach is essential to comprehensively addressing these multifaceted challenges. He first divides this approach into two categories: one that solely relies on digital technology and the other that incorporates strategic approaches that include technology. 

Technological Innovations Driving Efficiency: Dr. Mensah believes technology and innovative farming can solve these problems. He wants to ensure irrigation infrastructure initiatives guarantee farmers access to water during dry seasons. He also wants to promote climate-resilient agriculture to help farmers adapt to climate change and protect their livelihoods.

Dr. Mensah promotes organic farming and balanced fertilizer for healthy soil. He thinks working with local communities will improve crop yields and soil fertility. Teaching farmers about integrated pest management (IPM), a chemical-free way to control pests and diseases.

As rice farmers struggle with post-harvest losses, he promotes advanced processing and storage facilities to preserve rice quality and reduce waste. He strives to improve financial access through personalized financial services and public-private partnerships to fund rice sector investment.

Dr. Mensah integrates precision farming into farmers’ daily routines using IoT devices, drones, and satellite photos. These sensors will help farmers maximize resource use by monitoring crop health, soil moisture, and pests. Live weather predictions, pest alerts, and best practices will be available via mobile apps and remote extension services that will reach even the most isolated farmers. Promoting farm mechanization and new agriculture technology training can modernize farming. These approaches boost productivity, making farming more efficient and appealing to young people.

Using digital price data, farmers will be able to negotiate fair agreements and plan production. Mobile banking and digital payments ensure secure transactions and credit, improving financial inclusion. Blockchain technology delivers supply chain transparency, traceability, and quality, while e-commerce platforms eliminate intermediaries.

Data analytics and AI algorithms increase value chain productivity and sustainability by optimizing planting plans, yield estimates, and risk management. Dr. Mensah’s holistic approach addresses many of Ghana’s rice farmers’ concerns, establishing a solid rice industry.

This will enhance certified, high-yield, disease-resistant seed types, guaranteeing farmers the best seeds and increasing output and resilience to unfavorable situations.

A woman carries rice harvested from her small farm in Wapoli, Saboba District, Ghana.

Barcode Integration

Once rice production is complete, the packaging will display a barcode showcasing a real-life video of a Ghanaian farmer, showing that they are using various technologies to produce high-quality products. This barcode will also provide the most authentic calorie data and show how much organic or purified rice there is, thereby fostering customer trust. Reaching a global audience is also integral to strategic planning through a 360-degree approach. This barcode will significantly aid competition management, targeted marketing, and efficient marketing strategies. As part of the 360-degree approach, craft unique content that connects with the target audience. By capturing genuine videos emphasizing the significance of the Ghanaian rice industry and utilizing technology to attract investors and customers.

By adopting this comprehensive 360-degree approach, Ghana can effectively address most of the challenges its rice farmers face, leading to improved productivity, sustainable growth, and a more resilient rice sector.

Why should investors participate and adopt this approach to ensure a profitable business?

Undoubtedly, Ghana is a beautiful place for investment. Ghana exports some rice to its neighbor as part of regional trade dynamics.  Ghana exports a significant amount of rice to Burkina Faso, contributing to regional trade in West Africa. Togo also receives rice exports from Ghana, benefiting from cross-border trade relations. These neighboring countries are vital destinations for Ghanaian rice exports, leveraging regional economic integration and trade agreements within the West African sub-region. 

Ghana’s domestic rice production (paddy) increased from 463,000 MT in 2011 to 119,000,000 MT in 2022 (MoFA). Finally, when the government aims to increase output, investors or individuals who take the initiative to improve manufacturing will reap incredible benefits and build a profitable portfolio of businesses. The government of Ghana has allocated US$684 million to enhance domestic rice production and its processing infrastructure.

Dr. Gharwa Mensah’s research, utilizing innovative technologies and governmental policies, strategically offers investors various avenues to capitalize on Ghana’s rice market. By blending all approaches, there is a high probability of minimizing risks while increasing profitability and resilience in Ghana’s evolving agricultural landscape.

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