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Local Rice Industry Under Threat: Illegal Imports Cause Collapse

According to the General Agricultural Workers Union (GAWU), the country’s rice industry is suffering as a result of an increase in illegal rice imports into the country’s markets.

Although official data indicated a decrease in rice imports over the previous three years, the observed decrease “is not reflective on the ground” since a significant quantity of foreign rice was illegally brought into the nation.

A market evaluation and investigations conducted by the organization in border areas, according to GAWU General Secretary Mr. Edward Kareweh, revealed that some rice brands on the market were imported from Burkina Faso, Cote d’Ivoire, and Togo.

In comparison with rice grown locally, he claimed that rice imported illegally was 20–30% less expensive.

He warned that if local rice producers couldn’t successfully compete, the circumstances would wipe out the local rice business.

Because Burkina Faso and Togo now account for a large portion of the country’s rice imports, the system has become overpopulated.

“When we say that our import values are declining, we are not able to capture the illegal entry of the rice, and that is the one that is choking the system because it is cheaper,” Mr. Kareweh said.

Last Tuesday, President Nana Addo Dankwa Akufo-Addo informed Parliament that imports of rice decreased by almost 45% between 2021 and 2023.

In 2022, the President stated in the State of the Nation Address that the amount of rice imported was 805,000 metric tonnes; in 2022, it was 650,000 MT; and in 2023, 440,000 MT.

The GAWU claimed that although there was an increase in rice consumption, there was a decrease in imports, which should have helped the local industry.

“Farmers in the northern part of the country have harvested their rice, but they cannot get it to market. A rice mill at Savelugu has been complaining that they will shut down because when they process the rice, there is no market for it.

“This is because the rice market is flooded with imported rice,” Mr. Kareweh said.

Government processes, according to Mr. Kareweh, are failing to address the issues facing regional rice producers, which leads to the illegal importation of rice.

To combat the canker, he invited cooperation and a coordinated effort from all the different players throughout the value chain.

GAWU

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