Farmers in the Upper East Region of Ghana are facing challenges with the harvest of rice due to an oversupply in the market, leading to warehouses and farms being overwhelmed with over 500,000 bags of produce in just one warehouse.
Madam Glberta Akuka, a member of the BBN farmers network of rice parboilers Cooperative, highlighted the low patronage of locally produced rice, especially the processed variety, which has affected the production cost of members. She emphasized the importance of supporting local farmers by purchasing their rice to help them stay in business.
Speaking after a meeting of the Peasant Farmers Association of Ghana (PFAG), Madam Akuka urged the Government to find ways to offload the surplus rice from farmers, as warehouses were filled with packed paddy and processed rice with no market in sight.
She mentioned that despite efforts to collaborate with the Ghana Commodity Exchange (GCX) to sell some of the produce, the conditions set by the company were not conducive for business, as they were not purchasing on a ready cash basis, leaving cooperatives like hers financially strained.
The continuous influx of imported rice into the market was also highlighted as a concern, as it further affected local rice sales and the ability of farmers to sell their produce.
Mr. Richard Akuka, the Marketing Manager for rice in Fumbisi, echoed these sentiments, expressing concern over the surplus rice remaining in fields and warehouses, especially with the looming threat of rainfall, which could lead to disaster.
He mentioned that despite efforts by some companies to purchase rice, much of the produce remained unsold, with some traders offering low prices that would not help farmers pay back their loans.
There are fears that if the government does not intervene to address the oversupply issue, it could adversely affect rice production for the upcoming 2024 season. Despite increased rice production in recent years, the lack of a viable market poses a significant challenge to farmers in the region.
Source: Source name, Fatima Anafu-Astanga