QUALITY IMPROVEMENT OF DOMESTIC RICE -

SUPPORT FOR VALUE CHAIN ACTORS

Introduction

•Agriculture -mainstay of the Ghanaian Economy

•Contributes to about 39% of GDP

•Employs about 51% (4.2 million)

of the working population

•The National Food and Agriculture Sector Policy

(FASDEP II) has vision of-

•Modernized agriculture,

•Culminating in structurally transformed economy,

•Evident in food security,

•Employment opportunities,

•And reduced poverty

The vision is linked to Global, Regional, Sub-

regional and National Development programmes

such as

•MDG Goals, GPRS II and CAADP of NEPAD

•The common goal is food security, employment

creation, income generation and poverty

reduction

The crop sub-sector in particular quality and

competitive rice production

•provides a major option to exploit towards

achieving these goals

•This is because the rice crop has contributed to

the Green Revolution in South-East Asia and

other parts of the Sub-Saharan African continent

•Rice production in Ghana is however lacking

behind levels of consumption

•Ghana produces only 30% of its rice

requirements

•Imports 70%

•Amounting to about 500, 000 tons/year

• Costing about $218m

CHALLENGES TO INCREASED LOCAL RICE PRODUCTION AND CONSUMPTION

•The poor quality of paddy produced

•Inadequate and inefficient processing and milling

equipment resulting in poor quality milled rice

•Inadequate and poor post harvest infrastructure

• High cost of inputs

•Inadequate funding

•Others

This project proposal under the NRDS seeks

• to provide guidelines that will give support to post harvest handling of rice in relation to

• processing, storage, distribution and marketing of paddy

•to enhance quality of milled rice, competitiveness, marketing and consumption

JUSTIFICATION

Improved rice processing techniques aimed at

•Increasing the acceptability, marketing and

consumption of local (Ghana grown) rice needs to

be pursued

•This project seeks to offer equipment support and

strengthen the capacities of stakeholders (post

harvest) of the rice sector

JUSTIFICATION CONT’D

• Contribute to improving competitiveness,

quality, enhance income generation, food

security and import substitution

INTERVENTION ZONES & TARGET GROUPS

•Communities in rice growing areas where

substantial quantities of paddy rice are produced

•Communities undertaking rice processing and

milling as income generating activities

•Target groups: farmers, rice processors

(parboiling), millers, artisans, haulage companies,

traders and consumers

MAIN OBJECTIVE

• To improve the quality, competitiveness and

consumption of domestic rice

SPECIFIC OBJECTIVES 

• To offer strategic support to rice value chain actors (VCAs) for production of quality rice

• To build the capacities of rice VCAs in post production handling of rice

• To promote linkage of rice VCAs to credit sources to ensure reliable access to inputs, equipment and market

• To facilitate reliable pricing and market information system for use by stakeholders along the value chain

COMPONENTS

1. Equipment support

2. Capacity building

3. Credit support system

4. Market information systems

A. EQUIPMENT SUPPORT

Outputs Activities

Quality of paddy produced enhanced

•Capacity building in quality control of paddy production•Installation and test run of harvesters and threshers

Standard rice mills installed and operating

•Installation and test run of mills•Training in safety precautions, operation and maintenance of mills

A. EQUIPMENT SUPPORT CONT’D

Existing one-pass

mills improved

•Carry out modification

•Build capacity of millers in

the operation and

maintenance of mills

Equipment spare

parts provided and

mills maintained and

operational

•Access the frequently

needed parts of mills

•Acquire/fabricate to build

stock of needed spare parts

A. EQUIPMENT SUPPORT CONT’D

Quality of milled/ parboiled rice improved

•Build capacities of millers in milling operations and maintenance

•Build capacities of processors in improved parboiling technology

B. CAPACITY BUILDING

Outputs Activities

Groups /associations of VCAs formed and operational

•Formation and registration of groups/associations•Capacity building in effective group management

Rice quality standards developed

•Identify and assess the existing quality control practices•Build capacity of processors in regulatory and quality standards

B. CAPACITY BUILDING CONT’D

Packaging and labelling introduced

•Training of stakeholders in packaging of rice using appropriate packaging material•Training in branding and adoption of standard weights for marketing rice

Capacities of traders enhanced

•Register buyers and suppliers•Capacity building of traders in grading and sorting of appropriate varieties

C. CREDIT SUPPORT SYSTEM

Outputs Activities

Linkages between MFIs and value chain actors (VCAs) /associations established and functioning

•Sensitize stakeholders (including micro-finance institutions) on platform creation

•Organise platform meetings for interactions

Adequate credit made available to VCAs and recovered

•Capacity building in basic business management practices•Capacity building in credit management

D. MARKET INFORMATION SYSTEMS

Output Activities

Market inform- ation system devel-oped and operat-ional

•Assessment/evaluation of business

enterprises of VCAs

•Data collection on prices/market trends

•Collation and analysis of data

•Create a database of price and market

information

•Develop communication system for MIS

via media, cell phones, internet,

information centres

COSTS AND FINANCING

Component Cost (GHS)

1. Equipment support 60m 60%

2. Capacity building 5m 5%

3. Credit support system 30m 30%

4. Market information system

5m 5%

Total 100m 100%

IMPLEMENTATION STRATEGY

• An inception workshop to launch project

• Identification of stakeholders to discuss components and guidelines for implementation

• Development of work plans and budgets

• Development of operational manual

• Development and implementation of M&E system

PROJECT ORGANIZATION AND MANAGEMENT

NRDS Coordinating Unit

Zonal Rice Quality Control Unit

National Rice Quality Control Unit

Regional Rice Quality Control Unit

District Rice Quality Control Unit

MONITORING AND EVALUATION

• Coordinate and manage project

• Periodic monitoring, evaluation and review of project activities

• Periodic reports on activities carried out

• Acquisition and supervised distribution of logistic support

RISKS AND ASSUMPTIONS

• Timely availability of funds

• Commitment of current and successive Gov’ts

• Favourable agro-climatic conditions

• Commitment of project implementation partners

• Good bilateral relations continue to exist between Ghana and development partners

QUALITY IMPROVEMENT

PROJECT 2

QUALITY IMPROVEMENT OF DOMESTIC RICE –

INFRASTRUCTURAL DEVELOPMENT

Main objective • To develop strategic infrastructure for storage,

processing, marketing and distribution of quality rice

Specific Objectives • To provide appropriate storage/warehousing

facilities for paddy and milled rice

SPECIFIC OBJECTIVES CONT’D

• To provide threshing and drying patios for sustained production of quality rice

• To provide adequate access roads, water, electricity and communication facilities to rice producing and processing areas

• To develop rice commodity markets at strategic locations across the country

• Development of rice commodity markets

COMPONENTS

1. Storage facilities/warehousing development

2. Drying patios construction

3. Access roads and utility services development

4. Commodity market development

STORAGE FACILITY/WAREHOUSING DEV’T

Output Activities

Storage structures rehab./constructed

•Assessment of conditions and capacities of existing storage structures •Zone and map producing/processing areas for equitable citing of storage structures

Capacity building

•Training in maintenance of storage structures•Capacity building in warehouse mng’t

DRYING PATIOS CONSTRUCTION

Output Activities

Drying patios constructed/ rehabilitated

•Zone and map producing/processing areas for equitable citing of patios•Evaluate bids and award contracts

ACCESS ROADS AND UTILITY SERVICES DEVELOPMENT

Output Activities

Access roads constructed

•Identify, map out and cost potential farm tracts, feeder and trunk roads •Evaluate and award contracts

Utility services provided

•Identify, map out and cost potential utility services needed •Evaluate and award contracts

COMMODITY MARKET DEVELOPMENT

Output Activities

Rice commodity market established

•Identify, map out and potential market sites•Develop market structures

Rice value chain developed

•Undertake market feasibility studies•Facilitate formation of VCAs •Build capacity of actors on GAPs, GHPs, GMPs

COSTS AND FINANCING

Component Cost (GHS)

1 Storage facility/warehousing support

60m 60%

2 Construction of drying patios 5m 5%

3 Dev’t of roads and utility services 30m 30%

4 Dev’t of rice commodity markets 5m 5%

Total 100m 100%

IMPLEMENTATION STRATEGY

• An inception workshop to launch project

• Identification of stakeholders to discuss components and guidelines for implementation

• Development of work plans and budgets

• Development of operational manual

• Development and implementation of M&E system

PROJECT ORGANIZATION AND MANAGEMENT

NRDS Coordinating Unit

Zonal Rice Quality Control Unit

National Rice Quality Control Unit

Regional Rice Quality Control Unit

District Rice Quality Control Unit

MONITORING AND EVALUATION

• Coordinate and manage project

• Periodic monitoring, evaluation and review of project activities

• Periodic reports on activities carried out

• Acquisition and supervised distribution of logistic support

RISKS AND ASSUMPTIONS

• Timely availability of funds

• Commitment of current and successive Governments

• Favourable agro-climatic conditions

• Commitment of project implementation partners

• Good bilateral relations continue to exist between Ghana and development partners