Market Trends of Ghana Seeds Industry
Grains and Cereals Lead the Market
The grains and cereals segment, particularly maize, rice, and sorghum, experienced significant growth in Ghana's seed market. The Ministry of Food and Agriculture (MoFA) reported that certified seed production for maize increased from 9,500 metric tons in 2021 to 10,446 metric tons in 2023. This growth was partly attributed to the ongoing success of the Planting for Food and Jobs (PFJ) program, which continued to provide subsidized improved seeds to farmers.
In 2023, rice seed sales demonstrated even more substantial growth, with certified rice seed production reaching 6,005 metric tons. This increase is associated with the adoption of new aromatic rice varieties developed by the Council for Scientific and Industrial Research (CSIR) and released in 2023. These varieties, including "CRI-Enuoye" and "CRI-Amankwatia," have gained popularity due to their high yield potential and desirable cooking qualities.
The development of value-added services and infrastructure for grains and cereals has been a key factor in the seed market's expansion. The Ministry acquired 80 warehouses under the "One District One Warehouse" government program, aiming to increase national grain storage capacity. The program is expected to reach 150 operational warehouses by 2024. This expansion has reduced post-harvest losses and enabled farmers to store their produce for extended periods. Additionally, maize and rice have become major staple foods in Ghana, with consumption increasing annually, leading to significant demand for seeds. Consequently, farmers have shown increased willingness to invest in high-quality seeds, as they now have greater assurance of return on investment.
Growing Demand for Certified Seeds
Quality seeds are essential for a thriving agricultural sector and play a crucial role in achieving Ghana's national food security objectives. Agriculture remains the primary driver of Ghana's economy.
In Ghana, seed production is regulated for several key crops, including corn, rice, cowpea, soybean, sorghum, and peanut. Corn and rice seeds comprise the majority of certified seed production. The Ghana Seed Inspection Division (GSID) of the Ministry of Food and Agriculture (MOFA) is responsible for inspecting and certifying seeds at all stages of production, from breeder's seed to foundation seed and certified seed.
Government subsidy programs have significantly contributed to the increased production of certified seeds in the country. According to the Ministry of Food and Agriculture, Ghana's total production of certified seeds increased from 24,854 metric tons in 2021 to 26,354 metric tons in 2023, representing a growth of approximately 6.0%. Additionally, government initiatives have led to an increase in the number of registered private seed companies supplying certified seeds, from 280 in 2021 to 450 in 2023.
Various authorities have launched initiatives to further stimulate the demand for certified seeds in the region. For example, in November 2022, the Board of Directors of the African Development Fund approved a USD 27.9 million grant to Ghana for developing the agricultural value chain in the Savannah region. This grant will provide farmers with farm inputs to produce climate-resilient rice, maize, and soybean, as well as support the production of certified seeds.