Required Report: Required - Public Distribution Date: April 08, 2022

Report Number: GH2022-0006

Report Name: Grain and Feed Annual

Country: Ghana

Post: Accra

Report Category: Grain and Feed

Prepared By: Josh Taylor

Approved By: Russell Nicely

Report Highlights:

Forecasts of below average rainfall and extended dry spells in most parts of the country by the Ghana
Meteorological Agency, looming shortage and soaring global prices of fertilizer, and a further cutback
on fertilizer subsidy rate are set to erode the grain production gains of GOG’s Planting for Food and
Jobs program. Also, a weakened domestic currency, sharp increases in global prices of wheat, and high
inflation are likely to induce a change in the consumption patterns of lower-income earners. Wheat
consumption will drop slightly, rice and corn consumption as well, mostly driven by higher prices.

THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY USDA STAFF AND NOT NECESSARILY
STATEMENTS OF OFFICIAL U.S. GOVERNMENT POLICY
Commodities:
Wheat

Production:
Wheat is not grown in Ghana thus all wheat on the Ghanaian market is imported.

Consumption:
MY2022/23 total wheat consumption is forecast slightly down at 812,000 metric tons (MT) by Post, less
than three percent with respect to the current year’s estimate of 832,000 MT. This is mainly due to
recent sustained increases in the prices of wheat products resulting from the fast-rising global prices of
wheat, aggravated by the ongoing Russia-Ukraine conflict. Like most wheat import dependent nations
across the world, the impact of this war is being felt on the Ghanaian market as the price of wheat flour
has been revised upward for three consecutive times since the start of the year, once before the Russia-
Ukraine conflict and twice after.

The first increase in the domestic price of wheat this calendar year was largely attributed to rising
inflation in the country and increased customs charges due to the Government of Ghana’s (GOG)
decision to reduce the benchmark value discount rate1 from 50 percent to 30 percent. Consumer
inflation is at its highest level since 2016, having reached 15.7 percent year-on-year in February 2022
after nine months of consecutive increases. The subsequent two wheat price increases, however, were
due to a combination of high inflation, weakening domestic currency (the local currency, the cedi has
depreciated markedly against the dollar and all other major trading currencies), and the rising global
prices of wheat, oil, and gas. Another price increase in wheat flour products across the country is
anticipated by retailers before the end of the first quarter of 2022.

Bread remains the major wheat flour product on the Ghanaian market despite the recent growth in pastry
consumption and the proliferation of pizza shops. For many urban dwellers in Ghana, having bread for
breakfast is the preferred choice and this is particularly so for those consumers who fall in the lower-
income bracket. As breakfast, bread is eaten together with cocoa/chocolate drink, tea, and porridge
(corn, rice, wheat, millet, or corn/millet-soy blend). With the sustained and expected increases in the
price of bread, it is expected that some of the lower-income consumers of bread would substitute
“koose”, a low-priced fried cowpea (black-eyed pea) paste for bread in MY2022/23. This drop in
demand for wheat flour products due to higher prices will be large enough to offset the increase in
wheat flour demand due to population growth, urbanization and growing middle-class.

Hard wheat flour remains the preference of the Ghanaian consumer but there has been appreciable
growth in the use of soft wheat flour lately. Currently, about 75 percent of wheat flour is used to make
bread, while the remaining 25 percent is used for cakes and other pastries. Ghanaian consumers prefer
high quality hard wheat flour which produces the desired high-top fluffy loaf bread. The estimated per
capita consumption of wheat in Ghana is about 25 kg per year. Bread is considered a staple by urban
dwellers in Ghana and until the recent sharp price increases, wheat consumption had continued to

1
The Benchmark Value is Customs’ predetermined value of an imported good against which duties paid by importers at
Ghana’s ports are calculated. The Benchmark Value Discount Policy was introduced in April 2019 by the GOG to make the
Ghanaian ports competitive, reduce smuggling and increase government’s revenue from the port. The policy provided a
discount of 50% on the delivery values of all imported general goods excluding vehicles.

1
increase in line with continued urbanization. Also, the growing middle-class increasingly seeks out
other wheat flour products like pizza, croissants, cakes, and biscuits.

Trade:
MY2022/23 imports are forecast at 700,000 MT, unchanged from the MY2021/22 estimate as importers
grapple with several constraints including soaring global wheat prices and higher freight charges
(mainly driven by the Russia-Ukraine conflict), increase in the payable import duty at the clearing ports,
and depreciation of the local currency against the dollar and other major trading currencies. About 44
percent of wheat imports came from Russia and Turkey in MY 2020/21. This means that the ongoing
conflict will impact Ghana’s wheat imports significantly, considering that Turkey sources much wheat
from Russia for its wheat flour supplies to Ghana.

Faced with the constraints identified above, importers are speculating on a return to normalcy in the
near-future and are refraining from making substantial purchases. Post estimates MY2021/22 imports at
about 37 percent lower than the preceding year’s. Major suppliers of wheat to Ghana include Canada,
Russia, Turkey, France, Latvia, and Lithuania, with Canada typically accounting for about half of the
market share. About 50 percent of total supplies from Turkey is pre-bagged hard wheat flour. Hard
wheat classes comprise about 70 percent of Ghana’s imports and the remaining 30 percent is soft wheat.

Wheat imports attract a 5.0 percent Import Duty, 15.0 percent VAT, 0.5 percent ECOWAS levy, 0.5
percent Export Development Investment Fund (EDIF) levy, 1.0 percent Inspection fee, and 0.75 percent
of FOB value as Integrated Customs Management System (ICUMS), a single system platform for
customs clearance service charge. In addition, the Government of Ghana (GOG) includes a National
Health Insurance Levy of 2.5 percent to be collected by the VAT Secretariat.

Top Ten Exporters of Wheat to Ghana over the past Five Years (MT)
Country 2017 2018 2019 2020 2021
Total 639,490 923,367 938,156 1,013,621 1,105,621
Canada 291,435 383,115 370,344 408,349 464,465
Russia 144,050 326,340 261,600 182,351 251,969
Turkey 109,830 150,722 145,200 188,689 235,641
France 6,154 - 46,528 73,292 49,073
Latvia 443 403 - 45,740 43,000
Lithuania 2,289 18 - 20,000 42,000
Cote d'Ivoire 12,596 10,838 10,104 8,087 9,360
Egypt 450 250 447 2,274 5,340
Germany 4 5 14 132 2,659
India 373 442 383 569 577
Others 71,866 51,234 103,536 84,138 1,537
Source: Trade Data Monitor LLC, 2022

The export forecast in MY2022/23 is reduced by about 38 percent to 60,000 MT from the current year’s
estimate of 96,000 MT. This is because millers want to ensure that there is enough supplies for the
domestic market. Exports are mainly to the neighboring countries of Togo, Burkina Faso, and Niger.

2
Stocks:
Ending stocks are forecast significantly lower at 95,000 MT in MY2022/23, down by about 56 percent
from the MY2021/22 estimate of 217,000 MT. This is due to reduced imports, which are not matched
by proportionate reductions in domestic use. Stocks will be depleted to meet consumption demands.

Policy:
The announcement of a reduction in the benchmark value discount rate for imported general goods from
50 percent to 30 percent by the GOG in February 2022 has caused a rise in the payable duty on wheat
imports at the clearing ports. This is partly responsible for the increase in wheat flour prices on the
domestic market.

Marketing:
Local mills produce hard flour and soft flour for bread and pastries respectively. The addition of pastry
flour to their product mix is in response to the growth in domestic demand for pastries. This is directly
related to the expansion in the number and capacity of Ghana’s biscuit factories as well as the entry of
many domestic pastry producers. Currently, there are four major wheat-milling companies in Ghana,
with a total installed capacity of about 1,500 tons per day but according to industry sources they operate
at 80 percent due to the market size.

Blending hard wheat with soft wheat at varying percentages is gaining popularity with millers but care
is taken not to cause significant change in the acceptable flour quality and be rejected by the Ghanaian
bread baker. There is increasing demand for soft wheat flour by biscuit factories and pastry makers. The
less popular soft wheat flour is primarily used to produce cakes and pastries. Ghanaians prefer flour
produced from hard wheat to achieve the desired soft fluffy bread. In Ghana it is mandatory for all
wheat flour products to be fortified with micronutrients (Vitamin A, B1, B2 B6, Niacin, Folic Acid, Iron
and zinc).

Flour prices have risen in Ghana because of the higher cost of imported wheat, depreciation of the local
currency, and rising inflation. For example, a 50 kg bag of flour sold at a retail price of about
GHȼ315.00 (U.S.$42.00) in MY2021/22, up by about 85 percent from GHȼ170.00 (U.S.$22.67) in
MY2020/21. As a result, the price of bread has increased. The cost of a 0.70 kg loaf of bread in
MY2021/22 is GHȼ13.00 (U.S.$1.73), up from GHȼ9.00 (U.S.$1.20) in the previous year, an increase
of about 44 percent. Nonetheless, bread continues to be one of Ghana’s staple foods, mainly eaten at
breakfast and as a convenient snack during the day. (Average Exchange Rate: U.S.$1.00=GHȼ7.50).

The wheat flour is packaged into 50 kg, 25 kg, 10 kg, 5 kg, and 2 kg bags with brand names labeled on
the bags. The millers have varying methods of distribution; (i) by contract- where the wheat is milled on
order by a trader, wholesaler, or baker; (ii) by direct sales to traders at factory premises; or (iii) through
wholesale outlets. The price of flour is determined by the cost of production and type of flour (hard
wheat and soft wheat mixtures) and thus the four millers do not have a uniform price. Industry sources
reveal that another wheat flour price increase is imminent.

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Production, Supply and Distribution Data Statistics:
Wheat 2020/2021 2021/2022 2022/2023
Market Year Begins Jul 2020 Jul 2021 Jul 2022
USDA USDA USDA
Ghana New Post New Post New Post
Official Official Official
Area Harvested (1000 HA) 0 0 0 0 0 0
Beginning Stocks (1000 MT) 226 226 376 409 0 217
Production (1000 MT) 0 0 0 0 0 0
MY Imports (1000 MT) 1106 1106 950 700 0 700
TY Imports (1000 MT) 1106 1106 950 700 0 700
TY Imp. from U.S. (1000 0 0 0 0 0 0
MT)
Total Supply (1000 MT) 1332 1332 1326 1109 0 917
MY Exports (1000 MT) 96 96 150 60 0 10
TY Exports (1000 MT) 96 96 150 60 0 10
Feed and Residual (1000 10 12 12 12 0 12
MT)
FSI Consumption (1000 850 815 900 820 0 800
MT)
Total Consumption (1000 860 827 912 832 0 812
MT)
Ending Stocks (1000 MT) 376 409 264 217 0 95
Total Distribution (1000 1332 1332 1326 1109 0 917
MT)
Yield (MT/HA) 0 0 0 0 0 0

(1000 HA) ,(1000 MT) ,(MT/HA)

MY = Marketing Year, begins with the month listed at the top of each column
TY = Trade Year, which for Wheat begins in July for all countries. TY 2022/2023 = July 2022 -
June 2023

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Commodities:
Rice, Milled

Production:
Domestic rice production for MY2022/23 is forecast at 450,000 MT, a decrease of about 18 percent
below the MY2021/22 estimate of 550,000 MT. According to the Ghana Meteorological Agency
(GMeT), low rainfall and extended dry spells are expected to be recorded in most parts of the country
during the planting period for rice. This unfavorable weather forecast will affect rice production in the
country.

Last season, many rice farmers were disappointed with the delayed supply of the government’s
subsidized fertilizers as well as a reduced subsidy rate of 38 percent instead of 50 percent as in the
preceding years. These two factors were cited as the reason for the reduction in yield obtained as
fertilizer application was not done at the recommended time nor at the recommended rate. The subsidy
rate reduction made fertilizer more expensive so farmers could not procure enough for their fields.
Fertilizer is now almost inaccessible to the farmers. This is due to the soaring global prices, driven by
the Russia-Ukraine conflict.

The government has announced a further cutback on the fertilizer subsidy rate under its flagship
agricultural transformation project, Planting for Food and Jobs (PFJ), from the preceding year’s reduced
subsidy rate of 38 percent to 15 percent. The reduction in the subsidy rate coinciding with the rise in
global fertilizer prices, coupled with supply shortages, will make fertilizer highly expensive and will
impact planting decision between rice or alternative crops that require less or no fertilization. Many
upland rice producers in particular will opt to plant alternative crops like legumes.

Harvested area under rice is forecast lower than the MY2021/22 estimate. Even if available, fertilizer
will be so highly expensive farmers will not be able to afford enough for their planted fields, affecting
yields considerably.

Rice is grown throughout all regions of Ghana, primarily by smallholders in rainfed conditions. The top-
five production regions in descending order are the Volta, Northern, Upper East, Ashanti, and Western.
In most cases, rice is grown once per year, but where irrigation is available, producers may plant two
crops per year. The primary planting seasons are April/May for the southern part of the country and
May-July for the northern part. September/October is the harvesting time for the south and October-
December for the north. In the Northern and Upper East regions, producers can plant in July/August and
harvest in October/November. Rice production is generally at the subsistence level in valley
bottoms/low lying areas, employing only traditional methods with limited irrigation and mechanization.

Consumption:
Rice is the second most important cereal after corn in Ghana and is a major staple food. MY2022/23
consumption is forecast slightly lower at 1.50 MMT, down by almost four percent from Post’s
MY2021/22 estimate of 1.56 MMT. Per capita rice consumption is estimated at about 49 kg per year.
With Ghana’s population now estimated at 32 million in 2022, and a growth rate of 2.12 percent, rice
consumption would have been expected to increase accordingly. However, this will not be the case due
to recent sustained increases in the price of rice across the country, mainly due to high inflation and the

5
reduction of the Benchmark Value Discount rate by government. Thrown into the mix of factors
responsible for the recent rise in the price of rice is the depreciation of the local currency against the
major trading currencies.

Rice remains a main part of the diet in many Ghanaian homes due to its relative ease of preparation but
due to rising prices, some consumers within the lower-income bracket will likely substitute rice with
other affordable food stuffs like the traditional starchy staples of plantains, cassavas, yams, cocoyams,
and sweet potatoes. Urban consumers represent 55 percent of Ghana’s population and account for about
80 percent of total imported rice consumption. Ghanaian urban consumers prefer imported rice due to
its perceived higher quality. There is increasing demand for high quality rice and consumer preferences
have been moving towards fragrant and long grain white rice. A lesser proportion of domestically
produced rice that gets processed to meet the quality standard of imported rice earns the patronage of
urban dwellers.

Increasing urbanization, a large and growing expatriate community, a growing entrepreneurial middle-
class, an economic recovery from the devastation of COVID-19, and a resurging hospitality industry
will no doubt contribute to increases in rice consumption. Nevertheless, this increase will not be enough
to offset the decrease in consumption resulting from the response to price increases by the lower-income
earners.

Trade:
Ghana’s MY2022/23 rice imports are forecast at 1.0 MMT, an increase of about 11 percent over the
MY2021/22 estimate. This increase is in response to the shortfall in domestic supply that will be
induced by lower-than-expected domestic production. Major importers revealed that demand has slowed
lately so less imports are anticipated for the rest of the current marketing year. Also, the continuing
depreciation of the cedi against the dollar is a disincentive to high imports. Furthermore, reduction in
the Benchmark Value Discount rate constitutes another constraint on rice imports now.

Rice imports are largely driven by the population increase and urbanization as well as rapid growth of
the hotel, restaurants, and catering service industry. Vietnam, India, Thailand, China, and Pakistan are
the major rice suppliers. Different grades of rice are imported ranging from fragrant Thai/Vietnamese
rice and U.S. long grain rice to the cheaper 70 percent broken rice sourced from other countries such as
Cote d’Ivoire. United States’ market share has shown some signs of recovery lately, after plummeting
drastically to just one percent in 2015. Currently only one major importer handles U.S. rice.

Traders perceive the United States as a reliable supplier of premium quality rice but have increasingly
turned to Asian rice, particularly Thai/Vietnamese jasmine rice, whose quality image has improved
substantially. There is also increased promotional activity of Thai and Viet origin brands of rice on
Radio, TV, and billboards. Aromatic rice is becoming the preferred rice of those shopping in the
“quality” segment of the market, chosen for its special taste (60 percent of consumers buy this rice
because of its taste). High-end restaurants and eateries rely heavily on aromatic rice to deliver
dependable quality and taste to their customers. Some retailers have revealed that there is now growing
demand for U.S. rice by some health-conscious consumers who perceive fragrant rice as having a higher
glycemic index.

6
In Ghana, both imported and domestic rice are sold in the same market in the urban centers, but
domestic supply can be irregular. About 70 percent of the rice sold through retail outlets in Ghana is
imported. Importers prefer to buy rice in bulk and rebag locally into 50 kg, 25 kg, and 5 kg, to
accommodate consumer preferences and to maximize their profits. Rice importers sell to wholesalers,
retailers, and directly to consumers. Traders then retail the rice on the open market. Imported rice sold in
5 kg bags is preferred by customers because of portability. Several smaller private companies, however,
actively import packaged rice in 1 kg and 2 kg bags of various types, brands, and qualities.

Top Ten Exporters of Rice to Ghana over the past Five Years (MT)
Country 2017 2018 2019 2020 2021
Total 640,237 827,966 1,026,68 846,851 597,256
Vietnam 352,933 488,016 736,363 650,468 379,612
India 62,936 59,596 45,893 52,278 69,629
Pakistan 5,276 18,114 48,016 57,606 46,933
China 551 24,683 27,284 7,489 41,711
Thailand 194,146 211,515 144,838 47,204 39,505
United States 18,341 10,448 6,177 4,257 7,887
Ukraine - - - - 5,000
Taiwan - - - 50 1,440
United Arab 1,525 3,969 308 1,080 1,332
Emirates
Cambodia 23 3,617 3,961 2,316 952
Others 4,506 8,003 13,835 24,102 3,253
Source: Trade Data Monitor LLC, 2022

Rice exports for MY2022/23 are forecast at 10,000 MT, unchanged from the MY2021/22 estimate.
Exports to the neighboring countries, mainly Burkina Faso, Mali, Nigeria, and Togo usually occur as
paddy. Rice farmers sell their harvested produce to aggregators from these neighboring countries
because they offer better prices than local millers.

The link below provides access to a news item on food exports from Ghana to the neighboring
countries: Ghana exports food to Burkina Faso, Cote d’Ivoire - Graphic Online

Stocks:
Ending Stocks for MY2022/23 is forecast at 130,000 MT, a decrease of about 32 percent compared to
Post’s MY2021/22 estimate of 190,000 MT, mainly due to the reduced forecast domestic production.
Regardless of the small reduction in consumption, stocks depletion will be inevitable to meet the
substantial demand.

Policy:
Rice remains a very political topic in Ghana. In 2017, the GOG introduced a 50 percent subsidy on rice
seed and fertilizer under the PFJ campaign, to make it affordable for producers to increase rice
production. Under the program, about 10 percent of the seed rice were imported by licensed
agrochemical companies and the remainder supplied by local seed growers. The PFJ agenda is still
being pursued by the GOG and is expected to reach rice self-sufficiency. It is worth noting that the

7
subsidy rate for fertilizer has been slashed to 15 percent for the current cropping season. The GOG still
retains their vision to reduce rice importation by raising domestic production through the PFJ campaign.

The announced reduction in the benchmark value discount rate from 50 percent to 30 percent by the
government received mixed reactions. Though rice farmers acknowledged that this is a step in the right
direction, they advocated for a complete removal of the discount to give local rice producers a
competitive advantage in terms of pricing. Importers are concerned about the increased customs charges
at the ports due to this restructured policy but concede that the government has been sensitive to their
plight by not scrapping the discount completely as earlier proposed. The direct effect of this change in
policy is partly responsible for the increase in imported rice prices on the market.

Marketing:
Although U.S. long grain rice was historically preferred by Ghanaians due to its high quality and
superior taste, it lost market share to Asian rice due to the higher pricing for U.S. rice that was available
to the Ghanaian market. Fragrant long grain white rice from Asia (mainly Thailand and Vietnam) has
displaced U.S. rice. Overall, rice imports primarily from Vietnam, Thailand and India have risen
considerably to fulfill Ghana’s increasing demand.

Currently, the retail price of a 25 kg bag of U.S. rice averages GHȼ170.00 (about U.S.$22.67); Thai rice
averages GHȼ320.00 (U.S.$42.67); and Vietnamese rice averages (GHȼ175.00 (U.S.$23.33). The
domestically produced rice averages GHȼ200 (U.S.$26.67) per 25 kg bag. The current market prices
favor U.S. rice and offers an opportunity to regain lost market share through various promotional
activities. Imported rice provides greater variety at more affordable prices than domestically produced
varieties.

The local rice (parboiled, white, and brown) is perceived to have higher nutritional qualities but is less
preferred by most consumers due to perceived poor quality. Nonetheless, the GOG has created demand
for the planned increase in domestic rice production by linking it to the home-grown National School
Feeding program through the guaranteed purchases by the reinvigorated National Food Buffer Stock
Company. (Average Exchange Rate: U.S.$1.00=GHȼ7.50).

8
Production, Supply and Distribution Data Statistics:
Rice, Milled 2020/2021 2021/2022 2022/2023
Market Year Begins Oct 2020 Oct 2021 Oct 2022
USDA New USDA New USDA New
Ghana
Official Post Official Post Official Post
Area Harvested (1000 HA) 260 260 275 260 0 255
Beginning Stocks (1000 MT) 355 355 325 310 0 190
Milled Production (1000 MT) 570 570 600 550 0 450
Rough Production (1000 MT) 826 826 870 797 0 652
Milling Rate (.9999) (1000 MT) 6900 6900 6900 6900 0 6900
MY Imports (1000 MT) 950 950 950 900 0 1000
TY Imports (1000 MT) 1050 950 950 950 0 1000
TY Imp. from U.S. (1000 MT) 6 6 0 0 0
Total Supply (1000 MT) 1875 1875 1875 1760 0 1640
MY Exports (1000 MT) 0 15 0 10 0 10
TY Exports (1000 MT) 0 15 0 10 0 10
Consumption and 1550 1550 1600 1560 0 1500
Residual (1000 MT)
Ending Stocks (1000 MT) 325 310 275 190 0 130
Total Distribution (1000 MT) 1875 1875 1875 1760 0 1640
Yield (Rough) (MT/HA) 3.1769 3.1769 3.1636 3.0654 0 2.5569

(1000 HA) ,(1000 MT) ,(MT/HA)

MY = Marketing Year, begins with the month listed at the top of each column
TY = Trade Year, which for Rice, Milled begins in January for all countries. TY 2022/2023 =
January 2023 - December 2023

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Commodities:
Corn

Production:
Domestic corn production for MY2022/23 is forecast low at 2.5 MMT, a decrease of about seven
percent below the MY2021/22 estimate of 2.7 MMT. Corn production in Ghana is predominantly
rainfall dependent, and the unfavorable weather forecast announced by the Ghana Meteorological
Agency means corn yields will be affected. Just as with rice farmers, last season’s experience with a
delayed supply of government’s subsidized fertilizers and a cutback on the subsidy rate will be a source
of discouragement to some corn farmers. Factor in the soaring global prices of fertilizer and the GOG’s
announcement of further cutbacks to the fertilizer subsidy rate for the upcoming cropping season, and
reduced domestic production is envisaged.

Faced with a looming shortage and high prices of fertilizer, some corn farmers will also resort to
alternative crops that require less or no fertilization. Some corn farmers will intercrop their fields with
nitrogen fixing crops thereby reducing planting areas dedicated to corn. Harvested area for MY2022/23
has been forecast slightly low at 1.05 million HA. This represents about five percent decrease from the
MY2021/22 estimate. Insufficient fertilizer application, and the lack of it in some cases, will result in
reduced yields.

The link below provides access to a news item on how some corn farmers plan to cope with the high
input costs: Farmers likely to reduce farm sizes over high input cost - Ghana Business News

Corn is grown in all regions of Ghana. The top-five production regions in descending order are Eastern,
Ashanti, Bono East, Ahafo, and Northern. Corn is grown once per year in the north of the country,
planting in June and harvesting from August through October. Farmers in the south of the country
usually crop corn twice per year, planting in March/April and harvesting in August/September during
the major growing season. Minor season planting is usually done in August/September and harvesting
done in December/January.

Consumption:
Consumption forecast for corn is slightly lowered at 2.95 MMT in MY2022/23, a decrease of about
three percent from the MY2021/22 estimate of 3.05 MMT. Corn is the most important cereal in Ghana
and remains the number one staple food. Per capita consumption of corn was estimated at about 63 kg
per year in 2019. A population increase is expected to boost corn consumption but higher prices will
induce some consumers to substitute affordable traditional starchy staples like plantains, cassavas,
yams, cocoyams, and sweet potatoes.

Over the years, human consumption of corn has faced increasing competition from the poultry sector.
Estimates from industry analysts suggest that human consumption constitutes about 85 percent of the
domestic corn production and livestock accounts for the remaining 15 percent. However, the recent
price shocks recorded for corn (reaching more than a 200 percent increase in price over a two-year
period) forced several larger commercial poultry farmers out of operation. This decline in the demand
for feed corn will have an impact on the total consumption of corn in MY2022/23.

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Trade:
Ghana’s MY2022/23 corn imports are forecast high at 300,000 MT, an increase of 200 percent over the
MY2021/22 estimate of 100,000 MT. This increase is due to the lower-than-expected domestic
production. A larger proportion of imported corn will be used for feed. Corn imports are regulated by
the GOG and an import permit is required.

Top Ten Exporters of Corn to Ghana over the past Five Years (MT)
Country 2017 2018 2019 2020 2021
Total 26,811 43,713 3,959 3,625 87,146
Argentina 24,760 21,385 1,542 1,518 73,142
South Africa 1,895 21,216 1,492 1,564 13,639
Cote d'Ivoire 54 428 523 - 165
Thailand - - 1 18 78
United States - 43 216 127 55
Turkey - 25 - - 46
Ukraine 50 - - - 18
Brazil - 250 153 323 3
Zambia 1 - - - -
France 50 - - 50 -
Others 1 366 32 25 -
Source: Trade Data Monitor LLC, 2022

Exports of corn are mainly to neighboring countries and are not regulated. Industry sources note the
trend of significant purchases of corn being made by aggregators from neighboring countries lately.
Exports are forecast low at 10,000 MT in MY2022/23, largely due to the intermittent shortages that
have been observed in the past few years. Traders prefer selling to the aggregators from the neighboring
countries because these offer better prices for the corn.

Stocks:
Ending Stocks for MY2022/23 is forecast at 130,000 MT, a decrease of about 55 percent compared to
Post’s MY2021/22 estimate of 290,000 MT. The reduction is largely due to the reduced domestic
production forecast.

Policy:
Corn importation continues to be regulated by the GOG, and a permit is required to import corn into the
country. Corn production, like other targeted crops for national food security has received considerable
support from the GOG under its flagship agricultural transformation agenda, PFJ. Since 2017, corn
farmers have benefited from the GOG’s subsidized inputs policy. Indeed, majority of the target
beneficiaries under the fertilizer subsidy program have been corn farmers.

Marketing:
Corn is mostly sold in large quantities in designated aggregators’ markets all over the country and on the
open market but there is a new development of corn being listed as one of the commodities of trade on
the Ghana Commodities Exchange platform. The most common packaging for corn for sale is in units of
100 kg, 50 kg, and 25 kg bags. Sales at farm gate and wholesale level are usually done in 100 kg bags

11
while retail level sales are usually done in the 25 kg bags or smaller non-standardized units. The price of
corn has been very volatile post COVID-19 pandemic, and currently a 50 kg bag of corn sells for
GHȼ170.00 (U.S.$22.67). (Average Exchange Rate: U.S.$1.00=GHȼ7.50).

Production, Supply and Distribution Data Statistics:

Corn 2020/2021 2021/2022 2022/2023
Market Year Begins Jul 2020 Jul 2021 Jul 2022
USDA USDA USDA New
Ghana New Post New Post
Official Official Official Post
Area Harvested (1000 HA) 1100 1100 1100 1100 0 1050
Beginning Stocks (1000 MT) 546 546 583 560 0 290
Production (1000 MT) 3000 3000 2760 2700 0 2500
MY Imports (1000 MT) 42 44 100 100 0 300
TY Imports (1000 MT) 45 45 100 100 0 300
TY Imp. from U.S. (1000 0 0 0 0 0 0
MT)
Total Supply (1000 MT) 3588 3590 3443 3360 0 3090
MY Exports (1000 MT) 5 30 5 20 0 10
TY Exports (1000 MT) 5 30 5 20 0 10
Feed and Residual (1000 MT) 500 500 600 500 0 450
FSI Consumption (1000 MT) 2500 2500 2500 2550 0 2500
Total Consumption (1000 3000 3000 3100 3050 0 2950
MT)
Ending Stocks (1000 MT) 583 560 338 290 0 130
Total Distribution (1000 MT) 3588 3590 3443 3360 0 3090
Yield (MT/HA) 2.7273 2.7273 2.5091 2.4545 0 2.381

(1000 HA) ,(1000 MT) ,(MT/HA)

MY = Marketing Year, begins with the month listed at the top of each column
TY = Trade Year, which for Corn begins in October for all countries. TY 2022/2023 = October
2022 - September 2023

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 Appendix I

Tariff Table for Wheat, Corn, and Rice

{Culled from Chapter 10 of the ECOWAS Common External Tariff (CET)2}

Cereals

Notes.
1. (A) The products specified in the headings of this Chapter are to be classified in those
headings only if grains are present,
whether or not in the ear or on the stalk.
(B) The Chapter does not cover grains which have been hulled or otherwise worked.
However, rice, husked, milled, polished, glazed, parboiled, or broken remains classified
in heading 10.06.
2. Headings 10.05 does not cover sweet corn (Chapter 7).

Subheading Note.
1. The term “durum wheat” means wheat of the Triticum durum species and the hybrids derived
from the inter-specific crossing of Triticum durum, which have the same number (28) of as that
species.

Heading T.S.N Commodity Standard RATES

Description Unit of
Quantity IMPORT Export
Duty
Import VAT Import
Duty Excise

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
10.01 Wheat
and
meslin.
-Durum
wheat:
1001.11.00.00 -Seed kg 5% 0% 0%
1001.19.00.00 -Other kg 5% 15% 0%
-Other
1001.91.00.00 -Seed kg 5% 0% 0%
1001.99.00.00 -Other kg 5% 15% 0%
10.05 Corn.
1005.10.00.00 -Seed kg 5% 0% 0%
1005.90.00.00 -Other kg 20% 15% 0%

2
The ECOWAS Tariff and Statistics Nomenclature is a common customs nomenclature based on the harmonized system of
description and coding of goods (HS) adopted by the Community. It is a 10-digit Tariff and Statistical Nomenclature defining
the list of goods making up the Tariff and Statistics Nomenclature categories of the CET. The tariff is applicable to all non-
member states of the ECOWAS.

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10.06 Rice.
-Rice in
the husk
(paddy or
rough):
1006.10.10.00 -Seed kg 5% 0% 0%
1006.10.90.00 -Other kg 5% 15% 0%
1006.20.00.00 -Husked kg 20% 15% 0%
(brown)
rice
-Semi-
milled or
wholly
milled
rice,
whether
or not
polished
or glazed:
1006.30.10.00 -In kg 20% 15% 0%
packings
of more
than 5 kg
or in bulk
1006.30.90.00 -In kg 20% 15% 0%
packings
of 5 kg or
less
1006.40.00.00 -Broken kg 20% 15% 0%
rice

The ECOWAS tariff nomenclature has been migrated from 2007 to the 2012 version (HS2012)
introduced by the World Customs Organization (WCO). On 25th October 2013, ECOWAS Member
States adopted the ECOWAS Common External Tariff with the 5-tariff band structure below:

Categories Percentage of Duties Goods Description

0 0% Essential social goods.
1 5% Goods of primary necessity, raw goods, and Capital
Goods.
2 10% Intermediate goods and inputs
3 20% Final Consumption goods or finished goods
4 35% Specific Goods for Economic Development

Ghana began full implementation of the ECOWAS CET in 2016. Follow this link; ECOWAS Common
External Tariff (CET) – ECOWAS Trade Information System(ECOTIS) for more information on the
ECOWAS CET.

End of Report.

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Attachments:

No Attachments

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