Ghana is an average resource-rich West African nation and majority of its 28 million population falls within the lower middle-income category. In recent years, the rate at which people migrate to the urban areas in Ghana continues to increase with attendant changes in people’s diet generally. Changes in the diet of Ghanaians is accompanied by a growing demand for processed foods. While it is obvious that Ghana’s retail outlet is now a haven of sort for all manners of processed foods such as processed fruit juice, yogurt and milk drinks; assorted brands of other consumer products like ice cream, biscuits and other wheat-based products, spread, frozen meat, vegetables, margarine, mayonnaise, processed tomatoes, candy and chocolates but a huge quantity of these processed foods – about three quarter to be precise – drain the country of hard earned forex because they are imported products. Let’s see the food processing opportunities in Ghana!
Available investment statistics show that local food processing in Ghana offer a great investment opportunities to you if you are looking for an entrenched place where the demand for packaged food products is growing steadily and the investment atmosphere is accommodating. We hope to provide you with some insights into how you can tap into the promising food processing opportunities in Ghana when it matters most.
Ghana’s economic and industrial outlook
Experts in economics at the African Development Bank have projected an economic growth rate of 8.7 percent for Ghana in 2017. The cocoa-rich and gold endowed Ghana maintained a recorded a growth rate of 5.8 percent for 2016 up from 3.7 and 4.0 percent recorded for 2015 and 2014 respectively.
Though the industrial sector in Ghana is by far more organised and developed when compared to its neighbouring West African nations, yet Ghana continues to ensure the success of its industries with the right policies. For example, Ghana has put in place some national policies to aid the local production and processing of crops like tomatoes, cocoa, palm oil, fruits and cassava among others. These measures appear to have the needed political will and are presently yielding positive results as the industrial sector in Ghana experienced a growth rate of about 9.1 percent in 2015 according to a report by the ADB.
The evolution, challenges and food processing opportunities in Ghana
Until about a decade ago when Ivory Coast put Ghana in the second position, Ghana was the first global cocoa producer by volume for a long time. The country still produce large quantities of high-quality cocoa beans just as growth in its food industry is being influenced by its growing population of people with more disposable incomes as well as the prospect of exporting products to neighbouring countries in the sub-region.
Several major international business conglomerates like Cadbury, Nestle, Unilevers and Guinness maintain factories in Ghana where products such as margarine, cocoa-based products such as chocolate and candy are being manufactured and exported from Ghana to the outside world.
A few of the major barriers to food industry in Ghana include the poor quality of some local raw materials for food processing and high cost of production. However, these challenges are being assuaged by the government with the right policies being put in place.
What are the best food processing businesses to invest on in Ghana?
Several high rewarding in-demand food processing opportunities in Ghana:
- cocoa-based drinks and chocolates/candy. Since cocoa beans are readily available locally in Ghana, think of how to process this crop into value-added finished products like chocolate bars and chocolate confectionery based on the advice of professionals
- turn fruits such as mangoes, coconuts, pineapples and oranges into fruit drinks and smoothies and we will be by your side to provide the right recipes that will make your products unique and marketable
- palm oil based products: soups, biscuits, stock cubes, mayonnaise, cheese analogue…
- spreads (see our previous blog post about spread production in Africa)
We provide the expert and technical advice that will make you a proud owner of a profitable food processing business in Africa.
The facts about Africa Processing
Africa Processing is a UK-based food processing company that comprises of five companies each company specialising in different areas of food processing. The five companies have joined forces to benefit local food production initiatives and capacity in Africa. At Africa Processing, our fields of expertise include business plan, food product development, factory engineering, machinery and equipment configuration, production startup and on-site training. The composite food solutions for Africa on offer at Africa Processing include bakery, spread, cheese analogue, confectionery, baby food, sport nutrition, dairy alternatives, fruit processing, drinks…