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Home Agribusiness

Smugglers now control Ghana’s rice and sugar market – Importers blame gov’t inaction

by Agriwatch
November 17, 2025
in Agribusiness
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Smugglers now control Ghana’s rice and sugar market – Importers blame gov’t inaction
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Importers say smugglers have taken control of Ghana’s rice and sugar market. They warn that government inaction has allowed illegal trade to grow unchecked.

The Food and Beverages Association of Ghana (FABAG) says smuggling has now reached alarming levels. The group insists the situation is destroying legitimate businesses and draining state revenue.

FABAG says the problem has been building for months. It reports massive volumes of rice and sugar entering the country through unapproved routes. It names Aflao and Elubo as two entry points where the situation has become severe.

The Association says these activities have “virtually taken over the rice and sugar market in Ghana.” It argues that legal importers have been “pushed to the brink” as smuggled goods flood the system.

According to FABAG, the State is losing millions of cedis. It blames the losses on weak enforcement and long-standing bureaucratic delays.

The group says it has repeatedly warned authorities. It says these warnings were ignored. It describes the government’s posture as “negligence” that has allowed smugglers to thrive.

FABAG wants to know who benefits from the lack of action. It argues that legal businesses pay taxes, follow the rules, and employ Ghanaians. It says these same businesses are being crushed by illegal traders.

The Association points to the duty gap between Ghana and neighbouring countries as the main cause. It says the “significant duty differential” encourages traders to bypass official channels.

FABAG is calling for immediate and forceful intervention. It wants a nationwide task force to crack down on smuggling networks. It wants border operations overhauled. It demands digital monitoring systems at key borders.

It also calls for public disclosure of enforcement results. It says this will show accountability. It wants Trade, National Security, and Border Patrol units to work together to “dismantle smuggling cartels.” It also wants taxes and tariffs reviewed to make compliance easier.

FABAG describes smuggling as economic sabotage. It says continued inaction will collapse the formal food import sector. It warns that local rice producers will also suffer.

It says government will lose vital revenue and the agricultural sector will be hit hard. The Association insists Ghana needs strong and transparent enforcement to protect the economy.

FABAG is urging government to act now. It says leadership is needed to protect public health, revenue, and the country’s future. It promises to keep speaking out and to work with stakeholders to push for a fair and accountable trade environment.

 

Source: Myjoyonline.com

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