Ghana's vegetable industry expects food prices to ease if the government follows through on plans to improve agricultural enclave roads. According to the President of the Vegetable Producers and Exporters Association of Ghana, Dr Felix Mawuli Kamassah, the road investments outlined in the 2026 Budget remain central to lowering logistics costs across producing areas.
Dr Kamassah stated that deteriorated feeder roads are a major factor in inflation, with farmers absorbing high transport charges before passing these costs to consumers. He noted that fresh produce from remote communities often requires tricycles or motor carts to reach accessible roads. He said that by the time produce such as plantain or vegetables is moved to the roadside, the cost has doubled because drivers avoid damaged routes. He added that this increases prices in urban markets, including Accra, Kumasi, and Takoradi.
Finance Minister Dr Cassiel Ato Forson announced a three-year programme to construct 1,000 kilometres of agricultural enclave roads. The government has allocated GH¢828 million (US$63.6 million) for the project, targeting major food-producing zones to reduce transport costs and post-harvest losses. Dr Kamassah said the shift from cocoa-focused roads to broader food basket corridors could lower market prices if completed on schedule.
VePEAG is monitoring roads listed in the budget and expects the programme to provide cost relief to producers and consumers. Dr Kamassah also highlighted the government's plan to supply mechanisation support to 50 districts through Farmer Service Centres. The budget allocates GH¢690 million (US$53 million) for machinery, including tractors, trailers, disc ploughs, seed drills, and sprayers. He said that delays in accessing mechanisation reduce yields and increase production costs.
He also stressed the importance of irrigation, pointing to disruptions from erratic rainfall patterns. The budget includes commitments to scale up irrigation and rehabilitate facilities under the Ghana Irrigation Development Authority. Dr Kamassah said that irrigating existing land would increase production and stabilise prices.
For the export sector, he noted that lower domestic logistics costs would improve competitiveness against suppliers in Kenya and Morocco.
Food inflation in Ghana fell from 27.8 per cent in January to 9.5 per cent in October, supported by favourable weather and government interventions under the Feed Ghana Programme. Analysts note that poor roads and supply chain inefficiencies remain key contributors to price volatility.
The 2026 budget outlines further investment of over GH¢1.7 billion (US$132 million) in roads, processing zones, and value chains. Seven agro-processing plants are scheduled to open across multiple regions to handle crops such as yams, rice, and cashew, reducing post-harvest losses and providing markets for farmers.
Dr Kamassah said that the timing of delivery will determine the impact. He said that the roads, machinery, and irrigation facilities must be completed on time to reduce food prices for consumers.
Source: News Ghana