Adnan Adams Mohammed
The Institute of Statistical, Social and Economic Research (ISSER) of the University of Ghana has raised concerns on Ghana’s high dependent on imports including staple foods like grains, meat and poultry to meet local demand.
The institute said, such activity is posing severe risks of external shocks destabilising the economy.
As contained in a report on the 2023 Mid-Year Budget Review released by ISSER fortnight ago, it indicated that, food items still dominate Ghana’s monthly import bill in the first half of 2023, led by produce from Asia and Europe cautioning that with high inflation already biting consumers from looming global recessions, unrest and climate pressures, further volatility in international food prices could have severe impact on Ghana.
“Ghana is very dependent on food imports and highly vulnerable to external shocks.”- the report stressed.
The researchers say self-sufficiency in key staple foods through increased domestic production should be a national priority.
This requires concerted efforts by government and private sector players to bolster output and processing of items like rice, vegetable oils and fish where demand outstrips local supply.
Strengthening intra-regional trade, particularly under the African Continental Free Trade Area is also identified as vital to improving food security and insulating African countries from global headwinds.
However, government’s plan to restrict imports of food items in a Bill submitted to Parliament through the Trade Ministry have been suspended.
Parliament, last week, halted the presentation of the Legislative Instrument aimed to restrict the importation of 22 selected strategic products into the country.
Acknowledging the significant impact such instruments can have due to their constitutional and legal implications, the Speaker of Parliament urged leadership to resolve the matters surrounding the regulation, taking into consideration concerns of industry players.
The Minority caucus raised concerns about the regulation’s implications, prompting calls for further engagement with the Minister for Trade and Industry, K.T Hammond.
The Speaker, Alban Bagbin, emphasised the need for the minister to address these concerns before laying the Legislative Instrument before the house.
“Try to resolve these matters before we move on because we are dealing with instruments. And you know the impact of these instruments; that is why I am saying we should try and resolve it.”
“Laying of an instrument has nothing to do with numbers, but because of the nature of the instrument you laid and the constitutional and legal effects of the laying, you better meet and discuss and resolve the issues before we move on,” Mr. Bagbin said.
When passed, the Instrument could help government to control imported food inflation which, for past years which have been driving the total inflation up.
