Ghana’s fruit and vegetable sector holds immense economic potential, with an estimated annual revenue of $900 million. However, this opportunity remains largely untapped due to the lack of adequate cold chain infrastructure, according to a recent report by the United States Department of Commerce. The absence of cold storage facilities and refrigerated transportation systems has not only hindered the sector’s growth but also limited job creation opportunities for the country’s youth.
Cold chain solutions, which involve maintaining the temperature of perishable goods from production to consumption, are critical for reducing post-harvest losses and ensuring food safety. Despite their importance, Ghana and many other sub-Saharan African countries face significant challenges in developing these systems. The Department of Commerce highlighted several barriers, including a lack of local awareness about the need for cold storage, limited financing options, and unreliable electricity supply. These issues have left the cold chain sector underdeveloped, stifling the potential of Ghana’s agricultural value chain.
The consequences of this gap are stark. According to the Chamber of Agribusiness Ghana (CAG), the country loses approximately $600 million annually due to post-harvest losses across various agricultural products. Tomatoes alone account for $60 million in losses each year. Anthony Selorm Morrison, CEO of CAG, has repeatedly pointed to neglected rural infrastructure, inadequate storage facilities, and insufficient research support as key contributors to the problem. He emphasized that poor road networks and unreliable transportation systems make it difficult for farmers to efficiently move their produce from farms to markets, exacerbating losses.
The situation is not unique to Ghana. Across sub-Saharan Africa, the United Nations’ Food and Agriculture Organization (FAO) estimates that over 40% of food spoils before reaching consumers. For fresh fruits and vegetables, this figure can climb as high as 60%. This alarming rate of food waste underscores the urgent need for temperature-controlled storage and transportation services. The impact extends beyond consumer access to fresh produce; it also affects the livelihoods of smallholder farmers, who supply 70% of Africa’s food. These farmers face significant financial losses due to spoilage, which in turn wastes critical environmental resources like water and soil and contributes to methane emissions from decomposing food.
In Ghana, the lack of access to electricity in rural areas further compounds the problem. Without reliable power, the development of cold chain infrastructure becomes nearly impossible, leaving farmers with few options to preserve their produce. This not only limits their income but also restricts the country’s ability to meet domestic and international demand for fresh fruits and vegetables.
The untapped potential of Ghana’s cold chain sector represents a missed opportunity for economic growth, job creation, and food security. Addressing these challenges will require significant investment in infrastructure, increased awareness of the benefits of cold storage, and improved access to financing and reliable energy. Without these steps, the cycle of post-harvest losses and wasted potential will continue to hold back Ghana’s agricultural sector and its broader economy.
