Government directs NAFCO to release 50,000 bags of grain to settle ECOWAS obligation

The Government of Ghana has directed the National Food Buffer Stock Company to release 50,000 bags of grain to settle an outstanding obligation to the Economic Community of West African States. The directive was announced by the Minister of Food and Agriculture, Eric Opoku, during NAFCO’s Annual General Meeting on September 26, 2026.

The obligation dates back to a 2018 grain-borrowing arrangement connected to support for Ghana’s School Feeding Programme. According to the minister, the government has now directed NAFCO to use part of its available grain stocks to settle the outstanding obligation to the regional bloc.

Mr Opoku said NAFCO currently had 20,433 metric tonnes of grain in storage, which he said was sufficient to support the repayment. He linked the availability of the grain to improvements in domestic agricultural production and the government’s Feed Ghana Programme.

Ghana produced an estimated 4.6 million tonnes of maize in 2025 against national demand of about 3.6 million tonnes, according to figures cited by the minister. That would represent an estimated surplus of about one million tonnes, although the availability of food stocks can vary by location, crop, season and storage conditions.

The release of the grain is significant because food reserves are part of Ghana’s national food-security system. NAFCO was established to help stabilise agricultural markets, support food storage and make grains available for programmes and interventions when required.

The ECOWAS obligation also highlights the role of regional cooperation in food security. West African countries face periodic food-supply challenges caused by weather events, production disruptions, market conditions and other factors. Grain reserves can therefore play a role in supporting regional arrangements when countries have obligations to one another.

At the NAFCO meeting, the minister also reported an improvement in the company’s financial performance. According to figures presented, NAFCO moved from a reported net loss of 19 billion cedis in 2024 to a reported net profit of 91.7 billion cedis before tax in 2025. Its gross profit margin was also reported to have increased from 1.61 per cent to 13.96 per cent.

NAFCO Chief Executive Officer George Abradu-Otoo attributed the reported improvement to stronger controls over auditing, procurement and food-safety functions. He said management had taken steps to control expenditure and improve the company’s operational systems.

The company is also working to expand storage infrastructure, with plans aimed at ensuring that every district in Ghana has access to a warehouse for food storage. A wider network of warehouses could help reduce post-harvest losses and improve the distribution of food stocks across regions.

For farmers, storage capacity can be important because inadequate storage can contribute to post-harvest losses and force producers to sell crops quickly when market conditions are not favourable. A stronger national storage network can provide additional capacity for managing seasonal production and food-security interventions.

For consumers, the government’s grain programme is relevant to the availability and management of staple foods such as maize. The reported production surplus provides an indication of national output, but food availability at household level also depends on distribution, prices, transportation, storage and market conditions.

The 50,000 bags being released to ECOWAS will therefore be drawn from national stocks while the government and NAFCO continue managing domestic food-security requirements. The authorities have indicated that current stock levels are sufficient to meet the repayment obligation.

The development also provides a measure of how agricultural production, public food reserves and regional commitments intersect. Ghana’s ability to meet the ECOWAS obligation using available grain stocks will depend on continued management of reserves and future production.

As the 2026/2027 agricultural cycle progresses, attention will remain on maize production, storage capacity, food prices and the ability of institutions such as NAFCO to support both domestic food security and regional commitments.

Source: Ghana News Agency and MyJoyOnline.