The Minister for Food and Agriculture, Eric Opoku, has outlined the government’s plans to transform agriculture into a profitable enterprise through the establishment of processing facilities across the country to provide ready markets for farmers.

Addressing Parliament's Assurance Committee on Thursday, July 9, the minister said the initiative forms part of the National Democratic Congress (NDC) government's flagship Feed Ghana programme, which includes a sub-programme known as Feed the Industry.

According to him, the policy is designed to increase food production, create jobs and strengthen the country's food security by linking farmers directly to agro-processing industries

"In the NDC Manifesto, we made a firm promise to introduce a programme called Feed Ghana, and then under that programme, we have a sub-programme called Feed the Industry. The two together should lead to increased food production, job creation, and food security for our nation.

"Basically, these are the three things that we are looking for as a nation."

Mr Opoku explained that the ministry is moving away from a system where farmers produce without guaranteed buyers, noting that the new strategy will ensure production is based on existing industrial demand.

"Every producer produces in anticipation of demand. If farmers continue to produce under what we call anticipatory demand, when things go awry, they won't know what to do.

"And so, we are establishing an integrated system under which farmers will produce for specific industrial processes."

The minister said the poultry sector is the first to benefit from the initiative through the government's Nkoko Nkitinkiti programme, under which day-old chicks and other inputs are being distributed to farmers to boost local poultry production.

To complement the increased production, he disclosed that the government is constructing a poultry processing centre at Bechem to absorb the output of farmers.

"When we started the distribution of the Nkoko Nkitinkiti, the day-old chicks, the pullers, and the rest of them to the farmers, we anticipated that the distribution, in addition to the campaign for mass participation in the sector, would lead to an increase in production.

"Now, when people produce, where do they sell? So, we decided to establish a poultry processing centre at Bechem so that when the farmers produce, the processing sector will be their uptake point, creating a ready market for them, increasing job opportunities, and then they will package them nicely and distribute them across the country and even beyond the country."

He revealed that construction of the processing facility is progressing steadily.

"As we speak, that project, the report we have received, is almost 50% complete. We have the assurance of the contractor that, by December at the latest, the project will be completed and commissioned for the benefit of our people."

Mr Opoku said the integrated approach would unlock opportunities along the agricultural value chain, stressing that value addition creates significantly more employment than primary farming alone.

"Studies have shown that one job created in primary agriculture can lead to three or four additional jobs created in the processing space.

"So, if you can do this, you move agriculture from the level of just farming for survival to agriculture as an enterprise. That is what the Feed the Industry programme is all about."

The minister further announced that the government, in collaboration with a private investor, is establishing a soy processing plant in Tamale to create a reliable market for soybean farmers.

"The ministry, in partnership with a private entity, is establishing a soy processing plant in Tamale. As we speak, we have placed the advert for the procurement of the equipment.

"As soon as the equipment is installed, the factory will then have a buy-back arrangement with the farmers… They will give them their inputs."

He added that the ministry has already organised thousands of farmers into commodity-based cooperatives to facilitate partnerships between producers and processing companies

"We have already established cooperatives around the country. In fact, there are records. We have registered about 73,000 commodity-based cooperatives.

"These factories can work with the cooperatives for them to produce. Once they have the assurance of the readiness of markets, they will be able to produce sufficiently to feed this industry."

Mr Opoku also disclosed that another private investor is working with the ministry to establish a sorghum processing plant in northern Ghana.

"Even last week, a private entity also engaged with us. They are also establishing a sorghum processing plant in the northern enclave… and they are requesting our involvement to enable us to operationalise that facility as soon as possible.

"And so across the country, we are working with the private sector to set up these strategic industries to serve as ready markets for our farmers."

He further revealed that investors from China and India have expressed interest in processing maize for export, with the government facilitating the establishment of five processing plants in the country's major maize-producing districts.

The minister said the overall objective of the programme is to reposition agriculture as a commercially viable sector capable of generating wealth and employment.

"We want to transition from agriculture as a survival activity, just for feeding the house and feeding the family, to agriculture as an enterprise, where farmers can really recoup their investments, make it profitable, and use that opportunity to create jobs for our nation."