Ghana launches Tree Crop Diversification Project

The government, through the Ministry of Food and Agriculture, the World Bank, COCOBOD, and relevant stakeholders, has launched the Tree Crop Diversification Project (TCDP) for economic enhancement and resilience.

The initiative is designed to reshape Ghana’s agricultural sector and foster sustainable economic growth through the diversification of tree crops.

The project, which proposes a two-pronged approach focusing on both cocoa and other strategic tree crops will also improve market access, and bolster the competitiveness of the private sector, addressing child labour and gender inequality within the industry.

The launch was on the theme: “Sowing the Seeds of the Future: Unlocking Ghana’s Tree Crop Potential for Inclusive and Sustainable Transformation.”

The total project cost is $227.5 million, which includes a $27.5 million contribution from the COCOBOD, spanning six years.

Dr. Bryan Acheampong, Minister for Food and Agriculture, said Ghana’s tree crop sector was vital to agriculture and the economy, generating income for over 1.6 million farming households, including commercial producers beyond diversification the sector offered significant opportunities for economic diversification, job creation, poverty reduction, food security, foreign exchange earnings, and a substantial contribution to Gross Domestic Product (GDP).

The Minister said despite having ample arable land for cocoa production, Ghana faced significant threats from deforestation, climate change, and other environmental issues, leading to a marked decline in suitable land.

“If current trends continue, many cocoa-farming households will suffer, along with a drop in the country’s foreign exchange revenues,” he added.

He said the project would directly benefit cocoa, cashew, coconut, and rubber farmers, improving productivity and incomes for 52,775 farmers and their households.

Dr. Acheampong said approximately 40 per cent of these beneficiaries would be women, located across 11 districts in six regions, namely Western North, Eastern, Savana, Bono, Bono East, and Eastern.

He said additionally, the project would support 5-10 input suppliers and 10 nurseries, while providing matching grants, technical assistance, and improved market access to approximately 185 small and medium-sized enterprises in cocoa, cashew, and coconut processing.

“The project is expected to create around 20,000 jobs at an investment of $4,200 per job, with a significant focus on employing 60 per cent women and engaging youth,” he stressed.

The Minister urged all stakeholders, government agencies, NGOs, the private sector, and especially the farmers to collaborate in this endeavour.

Mr. Willian Agyapong Quaittoo, Chief Executive Officer, Tree Crop Diversification Authority (TCDA), said the Authority’s governing board’s top priority was to establish a world-class institution that fostered a competitive, sustainable, and market-driven tree crop industry in Ghana.

He said over the medium term, the board anticipated significant industry transformation through the Ghana TCDP, focusing on Policy and Regulatory Development, Market Responsiveness and Private Sector Growth.

The CEO said resources from the Ghana TCDP would be allocated to support inclusive and sustainable transformation in the cashew, coconut, and rubber value chains.

“Additionally, the Authority is forming new strategic partnerships to attract resources for transforming the mango, oil palm, and shea value chains,” he added.

Source: GNA

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