The National Food Buffer Stock Company (NAFCO) says it is struggling to absorb excess rice and grains from farmers nationwide due to a major funding gap, revealing it needs at least GH¢770 million to fully execute the government’s local food procurement plan.
The disclosure follows mounting frustration among rice farmers, who have accused NAFCO of failing to purchase their produce despite President John Dramani Mahama’s directive for schools to prioritise locally grown rice over imports.
Speaking on Citi Breakfast Show on Tuesday, May 5, NAFCO spokesperson Emmanuel Arthur admitted that the GH¢100 million released by government so far falls far short of what is needed to buy the large volumes of grains currently sitting with farmers.
He explained that NAFCO had initially informed government that no less than GH¢770 million was required to effectively mop up excess produce, but authorities opted to release a smaller amount as a temporary measure.
“When the directive came, we made it clear that we needed at least GH¢770 million to purchase the quantities available from farmers, but government said it could only provide GH¢100 million for a start,” he said.
Mr Arthur added that government has promised an additional GH¢200 million in the 2026 budget to support the exercise, but NAFCO is still waiting for the funds to be released.
The delay has intensified concerns among local rice producers, many of whom say they are struggling with unsold stock and financial losses.
The procurement initiative was introduced to support local agriculture and reduce Ghana’s dependence on imported rice, particularly under the Free Senior High School feeding programme.
