Audio By Carbonatix
The Chamber of Agribusiness Ghana is in disagreement with the government's proposed plan to construct a 60,000-tonne grain silo to store produce from farms across the country.
Agriculture Minister, Bryan Acheampong, announced that the government is looking at establishing its first modern silo facility following the dry spell that hit parts of the country.
He indicated that the project, costing about $64 million, is part of the government’s efforts to halt postharvest losses and store enough grain to address the country’s food security challenges.
But in a press statement, the chamber raised concerns about the cost involved and the proposed facility location.
They want the government to refocus on supporting farmers, improving irrigation systems, and enhancing agriculture research.
“While we appreciate the government's efforts to address food security concerns, we believe that the project's cost and location require urgent review. The Chamber is very concerned with the project cost, the $64 million price tag, considering the current economic climate and competing priorities for agricultural development,” the statement read.
It continued: “This amount could be re-aligned to allocate a portion to support farmers, improve irrigation systems, deploy post-harvest infrastructures, and enhance agricultural research”.
According to the Chamber, its research reveals the Eastern region’s Kwahu, which will be holding the establishment, is not a grain-growing region to have such a facility.
The region's agricultural production is primarily focused on fruits, vegetables, cocoa, roots, and tubers rather than grains.
It believes the Bono, Ahafo, Ashanti, Volta and Upper West regions which are the primary hubs for maize and rice production should rather be the focused areas for the location of the silo.
“Investing in grain silos in these regions would yield greater economic benefits and have a more significant impact on the country's food security. The current project's location and a strategic reserve of this nature require careful consideration of accessibility, storage facilities, and transportation networks. We fear that a poorly chosen location could lead to inefficiencies and increased costs,” the statement said.
The chamber says research findings indicate "investing in grain storage infrastructure is crucial, but location and cost are critical factors to consider”.
The chamber wants the government to undertake a feasibility of the location of the facility while they engage with relevant stakeholders to align the investment, according to the needs of the industry.
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