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According to the latest grain and feed forecast report by the United States Department of Agriculture (USDA), there’s a projected increase of nearly six percent in wheat imports into Ghana. The forecast estimates that imports will reach 900,000 metric tonnes, compared to the 850,000 metric tonnes imported last year.
This anticipated growth in wheat imports is attributed to importers seeking to bolster their stocks in anticipation of increased demand driven by an improving economy. Ghana currently imports over US$230 million worth of wheat annually, as reported by the Observatory of Economic Complexity (OEC).
Similarly, the USDA predicts a slight uptick in total wheat consumption for 2024, reaching 850,000 metric tonnes. This reflects a one percent increase compared to last year’s consumption of 840,000 metric tonnes. The expected return to economic stability is anticipated to restore wheat consumption to its previous growth trajectory, aligning with the upward trend driven by population growth.
Wheat flour products are particularly popular among Ghanaian consumers, especially in urban areas, with bread being a staple in most households. Economic challenges in recent years, such as high utility tariffs, inflation rates, and currency depreciation, have impacted disposable income, leading to a decline in wheat consumption. However, the decreasing inflation rate, notably in food inflation, presents a positive outlook for the market.
Despite a reduction in flour prices globally in 2023, the report highlights a concerning trend where the price of bread in the Ghanaian market continues to rise. This disparity, despite a decrease in the cost of flour, remains an area of concern.
The primary suppliers of wheat to Ghana include Canada, Turkey, France, Poland, Lithuania, Germany, Latvia, Senegal, Côte d’Ivoire, and China, with Canada dominating the market, holding more than half of the market share.
