The Oil Palm Research Institute under the Council for Scientific and Industrial Research (CSIR) has called on the government to allocate funding to the Institute, as it can boost the country's economy.

During an engagement with the Minister for Food and Agriculture, Eric Opoku, on Saturday, June 21, officials from the industry touted the economic potential of Ghana’s oil palm sector emphasizing the urgent need for government support to scale up production and research efforts.

“We need the government to come to our aid. We need funds for our research activities. We have the planting materials, but the government is not buying,” one representative stated. “We have a lot of oil palm seedlings in our nursery, but the government is not coming on board. We are pleading with the government to please come to our aid.”

Ghana’s annual palm oil consumption stands at approximately 450,000 metric tons, largely driven by demand for vegetable oil.

However, domestic production accounts for only 300,000 metric tons, creating a substantial deficit of 150,000 metric tons, which is met through imports.

Ghana’s oil palm exports have declined by more than 50% in 2024, according to the Oil Palm Development Association of Ghana (OPDAG).

The association’s president, Samuel Avaala, attributes this sharp downturn to insufficient government backing and the influx of cheaper foreign alternatives, which have put immense pressure on local producers.

Speaking with Joy Business, Mr Avaala made a strong appeal for protective measures to safeguard the domestic oil palm industry.

He urged the government to take decisive action against the uncontrolled importation of foreign palm oil, which continues to undercut local businesses.

"We want to develop it ourselves, and it is in a state where we are not going to be competitive compared to our neighbors. Let's play it safe. It's around 50%. But in recent times, what has happened is that it is probably crossing the 50% mark, leaving the local side to take less than 50%," he said.

The association stressed the urgency of investing in local production capacity to close the widening gap in palm oil supply. Avaala underscored the importance of sound policy measures, exchange rate stability, and efficient liquidity management, stating that a more favorable economic environment would bolster growth in the sector.

Meanwhile, the government is set to launch a comprehensive agribusiness export policy to promote Ghanaian farmers and agribusinesses to export their products more easily and successfully.

This was revealed by the Deputy Minister of Trade, Agribusiness and Industry, Sampson Ahi, on Saturday, June 21.Addressing the media, he noted that the new policy, which will be unveiled in July, is a part of President John Dramani Mahama's strategy for driving sustainable export growth.

“The president is talking about sustainable exports and he is chairing a committee to make sure that we export what we produce.

“If we want to do exports then we have to add value to whatever we produce and I have seen that a lot of farmers are adding value to their produce, they are packaging very neatly so most farmers are now ready for the international market,” he stated.

He added that the President will be chairing the national committee that will oversee the implementation of the agribusiness export policy.

“We in the Ministry of Trade, Agribusiness we have a programme in place to launch the policy with regards to the agribusiness where we will spell out benefits, advantages that exporters can take.

“I am sure we will launch it somewhere next month. When we do that we will engage the exporters so that they can take advantage of what the government has for them,” Ahi stated.

In April this year, Finance Minister, Dr. Cassiel Ato Forson, met with representatives from British International Investment (BII) to explore strategic opportunities, particularly in agribusiness and the financial sector in a significant move to deepen foreign investment in Ghana.