Message from Ambassadors

The Potential for Japanese Companies
Harnessing Technology for
the Expansion of Investment
in Ghana’s Agri-Business
Genevieve Edna ApalooAmbassador of the Republic of Ghana to Japan
Genevieve Edna Apaloo was appointed as Ambassador of Ghana to Japan in January 2022. She is Ghana’s first female
Ambassador to Japan. Before Tokyo, she was the Deputy Chief of Mission and Head of Chancery of the Embassy of Ghana
in US. She has also served as the Director of the Asia and Pacific Bureau of the Ministry of Foreign Affairs and Regional
Integration from September 2017 to October 2019, during which time she was very instrumental in the implementation of
Ghana’s Foreign Policy, vis-à-vis the Asian Pacific Region, and, notably, facilitated a number of visits by the President of theRepublic of Ghana to some key countries of the Region, including, Japan.

Introduction
Ghana, a dynamic and diverse nation located on theWest coast of Africa, with over 32 million people, is aland of rich culture, abundant resources, and endlesspossibilities. In addition to its rich resource wealth,Ghana is widely recognised as one of the most politicallystable countries in Africa, with a democratic system thathas remained consistent for over three decades. Its
unwavering commitment to democratic values andprinciples continues to reinforce its position as a beaconof stability on the continent, attracting businesses andtourists seeking the safety and security it provides.
Ghana’s strategic location as the closest country to
the “Centre of the World” makes it a prime location forfirms looking for quick access to the African market andbeyond. As the secretariat of the African Continental
Free Trade Area, Ghana is ideally positioned to serve as
a gateway to Africa’s rapidly growing market. The
country’s strategic location, combined with recent
economic reforms aimed at promoting private sector
growth and foreign investment, make Ghana one of themost promising economies in sub-Saharan Africa.
Ghana’s economy is one of the most diversified on
the continent with a strong agricultural sector and athriving manufacturing industry. The country is one of
the world’s largest producers of cocoa beans and is also
involved in the production of gold, oil, and otherminerals. Services such as telecommunications, finance,
and tourism have been growing in significance. TheGovernment has taken steps to improve infrastructure
442024.5and promote foreign investment. The country attracts
tourists with its historical sites, cultural festivals, andnatural beauty. The Cape Coast Castle and Elmina
Castle, both UNESCO World Heritage Sites, are notable
for their connection to the transatlantic slave trade.
Ghana’s diverse culture is showcased through colourful
festivals, traditional music, and dance.

Trade and Investment Opportunities(Priority Sectors)
Ghana has been a country of increasing interest for
trade and investment opportunities in West Africa. Thecountry has a stable political environment, a diversified
economy, and rich, natural resources. The following aresome of the major potential trade and investment
opportunities in the country, investors are however, freeto invest in any sector of their choice:• Natural Resources and Mining: Ghana is one of theworld’s top producers of gold and cocoa. The mining
sector offers opportunities for investors interested inmineral extraction and processing.
• Oil and Gas: The country has discovered offshore oiland gas reserves in recent years. The oil and gas
industry presents significant investment potential,
particularly in exploration, drilling, and relatedservices. The sector has many opportunities forJapanese companies in the oil and gas space.
• Infrastructure Development: Ghana has beenworking on improving its infrastructure, including

roads, ports, and energy. Investment in infrastructure
projects could be attractive for companies specializingin construction, transportation, and energy.
• Renewable Energy: With a growing focus onsustainable energy, Ghana offers opportunities forrenewable energy projects such as solar, wind, andhydroelectric power.
• Information and Communication Technology(ICT): The ICT sector is gaining momentum inGhana, with a growing number of tech startups and arising demand for digital services. The focus of Ghana
for this sector is in Business Process Outsourcing,where back-office jobs can be processed in Ghana forJapanese companies.
• Tourism and Hospitality: Ghana’s rich cultural
heritage and historical significance make it a potential
hub for tourism. Opportunities exist in areas like ecotourism, hospitality services, and cultural events.
• Manufacturing: There is potential for value-added
manufacturing, such as textiles, clothing, andprocessed agricultural products.
• Financial Services: Ghana’s financial sector isexpanding, creating opportunities for investment inbanking, insurance, and fintech.
• Real Estate: As the economy grows, there has been
an increased demand for residential, commercial, andindustrial properties.

Agri-businesses
For purposes of this piece, it is important to throw more
light on this vital sector of the Ghanaian economy. Agribusinesses play a critical role in the growth anddevelopment transitions of a developing country likeGhana. Typically, these comprise business activities
that contribute to the food security and nutrition of thepopulation. Activities of agri-businesses include thesupply of agricultural inputs, the production andtransformation of agricultural products, and theirdistribution to final consumers. Agri-businesses include
firms in the agriculture sector and those in the industry
and service sectors that contribute to the agriculture
production value chain.
The agricultural sector in Ghana is estimated atUSD 3.31 billion in 2023, and is expected to reach USD
3.77 billion by 2028. Agriculture is critical to Ghana’s
foreign exchange revenues and general economicprosperity. Ghana is gradually moving toward selfsufficiency by increasing agricultural productivity andprofitability, increasing access to finance, promoting
resilience, optimizing economic inclusion, improving
nutrition, and advancing the country’s competitive
advantage through evidence-based interventions suchas targeting food security interventions at the districtlevel, promoting the production of diverse, nutrientdense foods. The Agricultural sector in Ghana is alsocollaborating with commercial enterprises, particularly
those in the agricultural industry, to develop theiroperations and enhance their services to meet nationaland global standards.
In order to further promote the stake of agriculture
and agri-businesses as the catalyst for industrial
productivity and economic growth in Ghana,Government through its investment policies andprogrammes seeking investments and partnerships in
the agriculture and agri-businesses for the growth anddevelopment of the sector.
Japanese companies have a significant potential inharnessing technology for the expansion of investment
in Ghana’s agri-business. Ghana’s agriculture sector has
vast untapped potential, and technology can play acrucial role in unlocking these potentials and drive
sustainable growth.
The following are some ways Japanese companies
can leverage technology to expand their investments in
Ghana’s agri-business for the mutual benefit of bothcountries:• Precision Farming: Japanese companies may
consider introducing advanced precision farming
techniques to increase agricultural productivity andefficiency. This may include the use of drones, satellite
imagery, and machinery to optimize irrigation,
fertilization, and pest control, leading to higher yields
and reduced resource wastage. The promotion of2024.5

45Agricultural sector overview

Source: Ghana Investment Promotion Center

community and cooperative-holder farming byGovernment would create the needed economies ofscale to warrant Japanese investments in theseprecision farming techniques.
• Digital Agricultural Platforms: Relative to othermarketing technologies such as the internet andspecialized applications, agri-business firms mostly
use digital platforms such as the use of audio-visualmedia, online, social media, and other digital tools
more intensely to market their produce, especially inthe wake of the pandemic. Japanese companies candevelop or invest in digital platforms that connect
farmers to markets, information, and financialservices. Such platforms can enhance market access,provide real-time pricing information, and facilitate
financial transactions, enabling farmers to makeinformed decisions and access essential resources.
• Sustainable Farming Practices: Implementing
sustainable farming practices is crucial for preserving
the environment and ensuring long-term productivity.
Japanese companies may venture into introducing
eco-friendly technologies, such as water-efficientirrigation systems, renewable energy solutions, andclimate-smart agriculture practices to promotesustainable agri-business in Ghana.
• Supply Chain Management: Inputs and outputs for
agri-businesses need to be transported before the value
chain could be completed. In the case of firms engaged
462024.5

in primary production, it is widely known thattransportation has been a limiting factor to achieving
higher value-added. Even before COVID-19,
generally, only 58% of agri-business firms had easy
access to transport, with as much as 42% reporting
poor road network and irregular transportation.
Technology can improve supply chain efficiency andtraceability, which is essential for both local andinternational markets. Japanese companies may beattracted to invest in systems that track the movementof agricultural products from farm to market, ensuring
quality control and reducing post-harvest losses.
• Agricultural
ResearchandDevelopment:
Collaborating with local research institutions,Japanese companies could also invest in agricultural
R&D to develop crop varieties that are better suited tolocal conditions and have higher yields or improved
resistance to pests and diseases. The opportunities towork with state crop, soil and animal research
institutions in Ghana abound and Japanese companies
may consider collaborating with such research
institutions for their mutual benefit• Financial Inclusion: More than one in ten (11%)
percent of agri-businesses in the agriculture sector
reported a decrease in the supply of agriculture
financing before the lockdown. About 31.5 percent ofagribusinesses in the agriculture sector have recently
reported a decrease in the supply of agriculturefinancing. The main reasons given for the decrease in
the supply of agriculture financing were as a result of
the high interest rate and inaccessibility of financial
products. Technology can play a vital role in enhancing
financial inclusion for smallholder farmers in Ghana.
Japanese companies can invest in fintech solutions
that offer affordable and accessible financial services,such as mobile banking and microloans, empowering
farmers with the necessary capital to invest in theirbusinesses.
• Training and Capacity Building: Japanesecompanies can contribute to the development of theagri-business sector in Ghana by providing training
and capacity building programmes for farmers. These
programmes can focus on modern farming techniques,
sustainable practices, and the efficient use oftechnology in agriculture.
• Food Processing and Preservation: Investing in foodprocessing and preservation technologies can help
reduce post-harvest losses and add value to agricultural
products. Japanese companies can seize theopportunity to set up processing facilities to produce
value-added products for both domestic consumption
and export, taking advantage of the local content
provisions under the AfCFTA, to enter the larger
Africa market with their products.
• Public-Private Partnerships: Collaborating with theGhanaian Government and local organizations
through public-private partnerships can create a
conducive environment for technology-driven agribusiness expansion. Such partnerships can address
regulatory challenges, infrastructure development,and knowledge sharing.
By harnessing technology and combining Japaneseexpertise with Ghana’s agricultural potential, Japanesecompanies have vast invest opportunities in the country,
and the existence conducive investment laws in Ghana’s
agricultural sector could further enhance Japanese
investment in the country’s agri-business sector. Ghana
on its part stand to also benefit from improve foodsecurity and to foster economic development in thecountry.

best in the West African sub region and in addition,
Ghana has a youthful population, with about 67% of
the labour force falling within the ages of 15 to 64years.
ii. Tax Incentives: The food and agriculture industry
offer several incentives for companies and ready-togo investors, which are (1) A 5-10-year tax holiday
for companies in the agriculture sector (2)Concessionary corporate income tax rates (3) Tax
losses for companies within the agriculture sector
can be carried forward for up to 5 years. (4) Tax
exemptions on the importation of machinery andequipment for manufacturing.
iii. Land Acquisition and Management: Land ownershipis legislated under the Land Act 2020, Act 1036. The
Model Lease Agreement (MLA) for large-scalecommercial transactions seeks to protect the interestof large-scale farmers’ access to farming communities.
iv. Storage and Warehousing: The Kotoka International
Airport in Accra has a 10,000 square-meter of
perishable cargo center, which provides cold room
facilities for handling and temporary storage for
perishable produce for export. Government has
targeted the construction of 30 warehouses, eachwith a capacity of 1000 Metric Tonnes, under the
one-district one-warehouse initiative.
v. Policy Initiatives: (1) Savanah Investment Programme(SIP) - An initiative by government to reduce theimportation of meat through increased commercial
broiler production to enhance competitiveness of thepoultry industry and contribute to improved nutrition
security. (2) Youth in Agriculture- This is an initiative
to motivate theyouth to accept and appreciate
farming/food production as a commercial venture,
thereby taking up farming as a life time vocation.
お問い合わせJOI 事業企画部
E-mail: bd@joi.or.jp

駐日ガーナ共和国大使館
Email：tokyo@mfa.gov.gh
https://tokyo.mfa.gov.gh/

Key Investment Highlights
i. Human Resources: Ghana’s current literacy rate isreported to be 69.0% as of 2021, making it one of the2024.5

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