Home - ‘FDA said no’ - Kurt Okraku reveals $5m Guinness deal lost by GFA

Ghana Football Association (GFA) President Kurt Okraku has appealed to Parliament to review restrictions on alcoholic beverage sponsorship in sports, revealing that Ghanaian football lost a potential deal worth more than $5 million annually with Guinness Ghana Limited after the Food and Drugs Authority (FDA) rejected the proposed partnership.

Mr Okraku made the appeal when he appeared before Parliament's Select Committee on Youth and Sports, chaired by Henry Ernest Norgbey, to discuss the state of Ghanaian football and measures to restore public confidence in the Black Stars.

According to the GFA president, Guinness Ghana had approached the Association with plans to invest heavily in the Ghana Premier League, but the proposed partnership could not materialise because of the FDA's restrictions on alcohol-related sponsorship in sports.

He said the Association held several meetings with the company in an attempt to secure the deal before the regulator declined to approve it.

“We were approached by Guinness Ghana Limited, wanting to invest heavily in the Ghana Premier League. We did whatever we had to do. We had a series of meetings. At the end, FDA said no. The deal was, if I'm not mistaken, over $5 million a year. We lost it,” he told the committee.

Mr Okraku argued that Ghanaian sports were losing out on substantial private-sector investment because of the restrictions, while major international football leagues continued to attract sponsorship from alcoholic beverage companies.

He therefore urged Parliament to take another look at the existing regulatory framework and consider removing the provision that gives the FDA authority over sponsorship arrangements involving alcoholic beverage companies.

“Mr Chairman, if there's one thing that you can do to help sports and football, that would be for you to lead the charge to completely take out that provision that gives the power to FDA to decide on what they can use their resources to support in respect of sports or football,” he appealed.

Beyond the sponsorship concerns, the GFA president identified poor playing surfaces, inadequate stadium infrastructure and insufficient investment in technical development as some of the major challenges affecting Ghana's ability to compete successfully at international tournaments.

He maintained that sustained investment in grassroots and youth football, coach education, scouting and the development of quality playing facilities was necessary to build competitive national teams.

Mr Okraku also called on the government to consider scrapping import duties on uniforms and other essential equipment for the Black Stars, arguing that such a move would reduce the financial burden associated with preparing the national team for international assignments.

He stressed that improving the fortunes of Ghanaian football would require collective responsibility, with the government playing a critical role in providing the infrastructure and resources needed to support the game.

The GFA president's appeal comes amid broader concerns about the financial and structural challenges confronting Ghanaian football, particularly the need to attract substantial corporate investment into the domestic league and strengthen the country's football development system.

In response, Committee Chairman Henry Ernest Norgbey assured the GFA delegation of Parliament's support, pledging the committee's commitment to efforts aimed at strengthening sports development in the country.

The FDA restrictions

The FDA's Guidelines for Advertisement of Regulated Products, FDA/DRI/DMS/GL-ADV/2023/01, prohibit alcoholic beverage advertisements from associating alcohol with sporting activities. They also require advertisements or publicity promoting products in connection with sponsored programmes and events to be submitted for FDA approval.

The public health rationale

The guidelines are intended, among other things, to reduce alcohol advertising exposure among minors and vulnerable groups and encourage responsible consumption.