Wednesday, 21 January

Ministry of Trade launches contract farming programme to secure raw materials for industries

Business
Elizabeth Ofosu-Adjare, Minister for Trade, Agribusiness and Industry

To tackle persistent raw material shortages confronting local industries, the Ministry of Trade, Agribusiness and Industry is rolling out a commercial contract farming programme designed to secure consistent supply for manufacturers.

Under the initiative, large-scale farms will be linked directly to factories through contractual agreements, reducing supply disruptions and limiting competition between household consumption and industrial demand.

The Minister, Elizabeth Ofosu-Adjare, underscored that value addition remains at the heart of government’s industrial agenda.

She said Ghana is deliberately shifting away from the export of raw materials toward local processing and manufacturing for both domestic and international markets.

According to her, adding value supports import substitution, boosts export revenues, preserves foreign exchange, and creates sustainable employment.

She also disclosed that the ministry has commenced a review of the current Trade Sector Support Programme, with plans to develop a new five-year framework aligned with emerging economic priorities and growth opportunities.

Touching on the African Continental Free Trade Area (AfCFTA), Madam Ofosu-Adjare said government is stepping up efforts to prepare Ghanaian businesses for export competitiveness, with particular focus on packaging, standardisation, and quality assurance.

As host of the AfCFTA Secretariat, Ghana, she noted, is strategically positioned to access a continental market of about 1.5 billion people with a combined GDP exceeding US$3.4 trillion.

The minister added that the Ghana Standards Authority (GSA) is collaborating with counterpart institutions across Africa to harmonise product standards, a move that will allow Ghanaian exports to enter other markets without prolonged certification processes and significantly ease cross-border trade under AfCFTA.

She reaffirmed the ministry’s commitment to implementing these reforms and expressed gratitude to staff and stakeholders for their continued support as government works to strengthen Ghana’s trade, agribusiness, and industrial sectors.

Source: classfmonline.com/Pear Ollennu