Business News of Thursday, 15 January 2026

Source: thebftonline.com

Economy loses US$1.9bn annually through post-harvest losses

File photo of rotten tomatoes File photo of rotten tomatoes

Over the decades, the country has continued to experience significant post-harvest losses, year after year.

Currently, these losses are estimated at about US$1.9billion annually, almost equivalent to the value of food imports into the country.

The nation imports about US$2billion worth of food each year, yet wastes nearly US$1.9billion worth of locally produced food.

This is disheartening, as farmers go through a tedious production process only for much of their produce to spoil due to the lack of proper storage facilities.

In the 2026 Budget, when allocations for agricultural infrastructure, such as irrigation, electricity, roads, mechanisation services and buffer stock are combined, government spending on agriculture and agribusiness stands at about US$13billion.

This amount is more than six times the value of annual post-harvest losses. While the allocation shows commitment to the sector, the challenge remains how effectively it addresses post-harvest losses, which currently cost the country US$1.9billion each year.

Programmes Officer at the Alliance for a Green Revolution in Africa (AGRA), Basiru Musah, disclosed this in an interview at a regional dialogue organised in Tamale by the Ministry of Trade, Agribusiness and Industry (MoTAI) in collaboration with Agri-Impact Limited, with support from the Mastercard Foundation, PwC and the Development Bank Ghana (DBG).

Farmers in Oti Region struggle as dried cassava chips pile up, buyers scarce.

He stressed the need to prioritise agro-processing and post-harvest management. Ironically, he said the value of post-harvest losses in yam alone is about US$320million annually, despite the labour-intensive process involved in producing the crop.

“Every single year, Ghana loses about US$320million from post-harvest losses in yam alone. This is unacceptable. If we do not invest in storage infrastructure, warehousing and good connecting roads, any attempt by government to increase production will only increase the volume of post-harvest losses,” he warned.

He also referred to the recent experiences of farmers who suffered heavy losses in the past few months and welcomed government’s decision to allocate US$200million to the Buffer Stock Company to purchase excess produce. He said this should be turned into a clear and consistent policy.

According to him, if senior high schools and other government institutions are required by policy to purchase made-in-Ghana food products, it would help the private sector to plan ahead and invest with confidence.

He, therefore, called for policies that would make such interventions more sustainable and attractive to investors.

Musah expressed concern about the low level of investment in storage infrastructure for yam in particular, and urged government to partner the private sector to invest in preservation and storage facilities.

Drawing a comparison with the Ghana Education Trust Fund (GETFund), he said the fund has played a crucial role in supplying skilled labour by supporting educational infrastructure.

“When we train our young people, we must also create opportunities to absorb the skills they acquire. We cannot invest in education and then allow graduates to sit at home without jobs. If GETFund represents the supply side of skilled labour, then we should also establish an AgriFund to drive demand for that skilled labour through agribusiness and agro-processing,” he said.