Ghana’s ambitious plan to slash its US$2 billion annual palm oil import bill faces significant hurdles without deeper research, targeted innovation, and a clear market strategy, according to the head of the country’s agribusiness chamber.
Anthony Morrison, CEO of the Chamber of Agribusiness Ghana, supports the government’s goal but cautions that merely expanding farmland won’t guarantee success.
Official figures reveal a stark gap: Ghana produces just 50,000 metric tons of palm oil each year but consumes roughly 250,000 metric tons. This forces heavy reliance on imports, draining foreign exchange.
While the Mahama administration has announced a strategy to boost local production, Morrison stresses that Ghana must avoid the pitfalls seen in major producing nations like Malaysia. He points to their struggles with environmental damage and sustainability issues as critical lessons. Simply planting more trees isn’t the answer.
“What exactly do we want? How do we plan to achieve it, and by when?” Morrison questioned, highlighting the need for defined goals and timelines. He argues that success demands thorough research into high-yield, disease-resistant palm varieties suited to Ghana’s specific climate, alongside technological innovations in processing to improve efficiency and quality. Getting the market balance right is equally crucial.
“Are we targeting exports, supplying local industries like pharmaceuticals and cosmetics, or focusing on household needs for cooking? We need a clear view,” he explained, noting palm oil’s often-overlooked industrial uses in products from lipstick to aviation lubricants.
Morrison also underscored the vital need for strong sustainability frameworks from the outset to protect Ghana’s environment. He believes tapping into palm oil’s deep cultural roots in West Africa could drive both local production and consumption.
However, without this comprehensive approach – blending research, innovation, smart market mapping, and sustainability – Morrison fears Ghana risks falling short of realising the full economic potential of its palm oil sector. The plan could remain just that: “a plan”.
