Ghana has received an US$18.8 million grant from the African Development Bank (AfDB) to expand domestic rice production, improve processing and help reduce an annual import bill estimated at US$500 million.
The funding was announced by Ghana’s Minister for Food and Agriculture, Eric Opoku, during the launch of the Regional West Africa Resilient Rice Value Chains Development Project (REWARD-Ghana) in Tamale on November 10.
The grant forms part of the government’s drive to make Ghana self-sufficient in rice by 2028. It comes as the country’s milled rice production has risen from approximately 685,000 metric tonnes in 2022 to 960,000 metric tonnes in 2025.
Despite that increase, domestic output currently supplies only 56 per cent of Ghana’s rice consumption. The remaining 44 per cent is largely covered by imports.
Rising demand and import dependence
Rice is Ghana’s second most important cereal after maize. Population growth, urbanisation and changing consumer preferences have increased demand faster than local production.
Consumption is forecast to reach about 1.8 million metric tonnes during the 2025/26 season, with population growth and urbanisation identified as the main drivers.
Imports from Vietnam, India and Thailand have traditionally filled the shortfall between domestic supply and national demand.
Ghana spends between US$320 million and US$500 million each year importing rice. The cost places pressure on the country’s foreign exchange reserves and leaves consumers exposed to changes in international prices and possible disruptions to supply.
The AfDB-backed project is intended to support both farming and the wider rice value chain, including processing capacity. The stated objectives are to increase local production, strengthen the ability to process rice domestically and reduce the amount Ghana spends on imports.
Government attempts to close the gap
Successive Ghanaian governments have introduced initiatives aimed at narrowing the difference between local supply and consumption.
Those programmes include Planting for Food and Jobs and the National Rice Development Strategy II (NRDS II). Their focus has included the use of improved seeds, expanding irrigation, adopting modern farming technologies and developing local processing.
The latest funding comes as Ghana seeks to build on the rise in milled rice production recorded between 2022 and 2025, while addressing the continuing supply gap before its 2028 self-sufficiency target.