Government plans new procurement rules to boost local food purchases

The government is planning changes to Ghana’s procurement laws to require public institutions to buy food from local farmers, in a move aimed at turning government spending into a guaranteed market for Ghanaian produce.

Finance Minister Dr Cassiel Ato Forson said the proposed reforms would use the government’s purchasing power to support farmers, tackle food gluts and create jobs in the agricultural sector.

He said the policy would particularly target public institutions that spend government money on food, arguing that such spending should benefit local producers instead of creating demand for imported food.

Dr Forson pointed to the Free Senior High School programme as an example of the market the government could create for farmers through public procurement.

“Ghana’s budget for free secondary education is GH¢5 billion, and feeding accounts for about half of this amount. Let us even say GH¢3 billion,” he said.

According to him, the scale of the spending presents an opportunity to connect farmers directly to a large and reliable market, especially at a time when some producers are struggling to sell their output.

“Yet, farmers are complaining about a glut. Why can we not use the Government’s purchasing power and procurement laws to stop importing food to feed our children?” Dr Forson asked.

He said the proposed changes would ensure that public funds are used in a way that supports Ghanaian farmers and keeps more economic activity within the country.

“The time has come to use the procurement laws to require those spending government money to buy from our farmers,” he added, stating that government spending should translate into jobs and stronger local businesses.

DR/MA