2027 Budget: Government to establish rice development hubs in Western and Northern Ghana – Ato Forson

The government of Ghana has announced plans to establish rice development hubs in the Western and Northern regions of the country, as part of efforts to increase local rice production, generate employment opportunities and minimize post-harvest losses. Finance Minister Dr Cassiel Ato Forson revealed this initiative during the presentation of the 2027 Budget Statement and Economic Policy to Parliament.

The hubs will be equipped with modern amenities such as irrigation systems, mechanization services, storage facilities, rice mills, packaging and logistics infrastructure to enhance the efficiency of rice production and processing.

Dr Forson disclosed that the initiative aims to bring an additional 100,000 hectares of land under rice cultivation, with targeted yields ranging from five to six metric tonnes per hectare. Furthermore, the program is anticipated to create approximately 125,000 jobs. To incentivize investments in these areas, the government plans to introduce tax breaks for projects related to irrigation, mechanization, silos, modern mills, packaging, and logistics.

In another effort to bolster the local agriculture sector, Dr Forson announced plans to amend public procurement laws. The new legislation will ensure that foodstuffs bought by the government for schools, hospitals, and other public institutions are exclusively sourced from Ghanaian producers. This move will not only provide a consistent market for local farmers but also ensure that government spending contributes directly to domestic agricultural production and job creation.