Forson Reaffirms Rice Quota Policy: Importers Must Buy 50% Local Before Getting Permits

Finance Minister Dr Cassiel Ato Forson has reaffirmed a proposed policy requiring rice importers to purchase 50 percent of their intended import volume from local farmers before being granted permits, describing it as a practical measure to secure markets for Ghanaian producers and reduce the country's heavy dependence on foreign rice.

Speaking to students and the KNUST community on Monday, November 10, ahead of the 2027 Budget presentation, Forson explained the mechanics: an importer seeking to bring in 100,000 metric tonnes of rice would need to show evidence of purchasing 50,000 metric tonnes from local farmers before receiving approval for the remaining volume .

"If you want to bring rice into the country, no problem. But if you are to bring in, let's say, 100,000 metric tons of rice, you have to show evidence that you have bought from our farmers probably 50,000 metric tons of rice before we give you the amendment to bring those rice into the country," he said .

The Free SHS Leverage

Forson paired the import quota proposal with a directive on public procurement, insisting that food purchased to feed Senior High School students under the Free SHS programme must come from Ghanaian producers. He questioned why local rice farmers continued to struggle for buyers while the government spends between GH¢4.5 billion and GH¢5 billion annually on Free SHS, with approximately GH¢3.5 billion allocated to feeding students .

"My money, as I'm collecting on behalf of the people of Ghana, if you want Ghana's money to buy your rice, that rice must be Ghana's rice," Forson said .

He warned that the measures would not remain mere announcements, stating that businesses flouting the new rules would face punishment .

A Deficit Decades in the Making

The policy targets a structural gap that has persisted despite repeated government interventions. Ghana consumed approximately 1.71 million tonnes of rice in 2025 but produced only about 960,000 tonnes, yielding a deficit of nearly 751,000 tonnes and a self-sufficiency rate of 56 percent. The shortfall cost the country about US$320 million in imports .

The human cost of that gap has been visible for years. In 2025, the Association of Rice Farmers, Millers, and Maize Growers reported over 200,000 tonnes of unsold paddy and milled rice from the previous season, with farmers unable to find buyers while cheaper imported rice flooded the market . The National Food Buffer Stock Company (NAFCO) said in May 2026 that it needed GH¢770 million to purchase excess rice from farmers, but had received only GH¢100 million .

Agriculture Minister Eric Opoku had signalled the direction of policy in June 2026, announcing at the West Africa Rice Investment Roundtable that import permits would be tied to verifiable procurement from and partnership with Ghanaian rice producers. "We are not raising tariffs that punish consumers. We are not imposing bans that create shortages. We are redirecting the existing value in the rice trade towards building our own productive capacity," Opoku said at the time .

Budget Timing and Parliamentary Adjustments

Forson will present the 2027 Budget Statement and Economic Policy to Parliament at 6 p.m. on Thursday, November 12, under the theme "New Economy." Speaker of Parliament Alban Bagbin disclosed on Tuesday that he had approved the Finance Minister's request for an evening presentation, and that Parliament would adjust its sitting schedule to ensure members were not fatigued before the address .

"I granted the Minister for Finance that the budget, which is to be presented on Thursday, to be presented in the evening. And he gave good reasons why he wants it to be presented in the evening," Bagbin said .

The Broader 'New Economy' Context

The rice policy sits within a wider US$10 billion, four-year investment programme targeting agriculture, energy, critical minerals, textiles, tourism, and pharmaceuticals. The government intends to commit 1.5 percent of GDP annually to the programme, supplemented by 0.5 percent from revenue measures, while reducing the primary surplus target from 1.5 percent to 0.5 percent of GDP to create fiscal room .

The Minority in Parliament has challenged the government to account for existing flagship programmes, including the 24-Hour Economy, before launching new ones. Former Finance Minister Dr Mohammed Amin Adam argued that Ghanaians "deserve a credible plan, backed by realistic financing, measurable outcomes, and accountability for results" .

For rice farmers in the northern regions and the Volta Basin, the quota policy's success will hinge on enforcement and on whether the promised procurement actually materialises. The Buffer Stock Company's funding shortfall suggests that good intentions have previously outpaced resources.

Key Points:

· Policy: Importers must purchase 50% of intended import volume from local farmers before receiving permits

· Mechanism: Evidence of local procurement required before import approval

· Public procurement: Free SHS feeding must use Ghanaian rice; government spends ~GH¢3.5bn annually on student feeding

· Deficit context: 2025 consumption ~1.71m tonnes vs. production ~960,000 tonnes; 56% self-sufficiency

· Budget presentation: Thursday, November 12, 2026, at 6 p.m.; theme "New Economy"

· Enforcement warning: Forson says violators will be punished.