Rice import permits could require 50% local purchases, says Ato Forson

Rice importers may have to buy locally produced rice equivalent to half of their planned imports before they can obtain permits under a government proposal.

Finance Minister Dr Cassiel Ato Forson announced the proposed condition during a forum with students and staff at Kwame Nkrumah University of Science and Technology (KNUST) in Kumasi. He was discussing the US$13 billion New Economy Programme.

Under the proposed system, an importer planning to bring in 100,000 metric tonnes of rice would need to provide evidence of having purchased 50,000 metric tonnes from Ghanaian farmers before receiving approval.

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Dr Ato Forson said the policy was intended to reduce Ghana’s dependence on imported rice while creating a guaranteed market for local producers. The government also believes the measure could protect rural livelihoods and support increased domestic production.

The Finance Minister further proposed stricter rules governing purchases by institutions funded by the state. Those organisations would be expected to buy Ghanaian rice, especially for meals served to students under the Free Senior High School (Free SHS) programme.

He questioned why local rice farmers continued to struggle to find buyers when the government spends between GH¢4.5 billion and GH¢5 billion each year on Free SHS.

Of that total, approximately GH¢3.5 billion is allocated to feeding students in senior high schools. Dr Ato Forson suggested that state-funded food purchasing should provide stronger support for Ghanaian producers.

He also raised concerns about government procurement in the textile industry. The minister asked why uniforms for the military and police were being imported from foreign suppliers while domestic manufacturers, including Juapong Textiles and Akosombo Textiles, were struggling to remain operational.

The proposals form part of wider plans to give preference to locally produced goods through government purchasing and trade policy. Dr Ato Forson said several of the measures would be introduced as legislation.

He added that the proposed laws would include sanctions against individuals and public institutions that failed to comply with the requirements.

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