The Ghana Seeds Market size is estimated at USD 9.29 million in 2024, and is expected to reach USD 11.09 million by 2029, growing at a CAGR of 3.60% during the forecast period (2024-2029).
- Ghana’s seed sector has grown significantly over the last decade; with the development and availability of improved and locally adapted seed varieties, the adoption rate is still marginal, with just about 30 percent of farmers using improved varieties as of 2022.
- As a result of population expansion and a steady land degradation rate, the per capita land is anticipated to decrease in Ghana. The decreasing per capita availability of arable land is a significant concern for ghana agricultural production. However, it is considered to be a driver for the seed industry. The need to produce more from the decreasing per capita arable land to get higher returns can be possible using high-yielding and hybrid varieties. This trend encourages farmers to shift their focus from conventional seed sources to packaged seeds that promise better returns.
- Moreover, the demand for seeds across the country is still untapped and provides multinational corporations with various opportunities for expansion and a broad customer base. Also, the increased area under cultivation of vegetables on account of the changing dietary preferences of the population, as well as the increased cash flows received by farmers on history of vegetable cultivation, is further driving the growth of the seed market in Ghana.
- Furthermore, several players are taking initiatives to boost the growth of the seed market. For instance, an initiative like “1” Household, 1 Garden” “un by Agrihouse Foundation in Ghana is motivating and supporting the people of ghana to contribute to the growth of the seed market.
Growing Demand for Certified Seeds
Quality seeds are a prerequisite to thriving agriculture and constitute a significant pathway for achieving national food security goals for Ghana, where agriculture is the prime mover of the national economy.
Crops such as corn, rice, cowpea, soybean, sorghum, and peanut are mainly regulated for seed production in Ghana, among which corn and rice seeds form the bulk of certified seed production. The Ghana Seed Inspection Division (GSID) of the Ministry of Food and Agriculture (MOFA) is the Government of Ghana’s institution mandated to inspect and certify seeds produced at every stage of seed production from the production of Breeder’s seed, foundation seed, and certified seed.
Government initiatives such as subsidy programs are a prominent factor behind the increased production of certified seeds in the country. For instance, according to the Ministry of Food and Agriculture, Ghana, the total production of certified seeds in Ghana in 2020 was 17,204.94 metric tons which increased by approximately 44.5% and reached 24,854 metric tons in 2021. Furthermore, due to government initiatives, the number of registered private seed companies supplying certified has also grown from 203 in 2020 to 452 in 2021.
Moreover, initiatives launched by several authorities are further boosting the demand for certified seeds in the region. For instance, in November 2022, The Board of Directors of the African Development Fund approved a USD 27.9 million grant to Ghana to develop the agricultural value chain in the Savannah region. The grant will support farmers with farm inputs to produce climate-resilient rice, maize, and soybean. It will also support the production of certified seeds.