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Here are the 7 demands of FABAG ahead of 2026 budget presentation

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  Published in Business and Finance on Monday, November 3rd 2025 at 6:10 GMT by Ghanaweb.com

FABAG’s Seven Demands Ahead of Ghana’s 2026 Budget: A Roadmap for Agricultural Reform

The 2026 national budget is set to open a new chapter for Ghana’s economic planning, and the country’s leading farmers’ coalition, the Farmers and Agricultural Bargains Association (FABAG), has presented a concise set of seven demands that they argue will secure the future of Ghanaian agriculture. These demands, articulated in an article on GhanaWeb, aim to address the most pressing constraints facing smallholder and commercial farmers alike—price volatility, input costs, credit access, and market infrastructure.

1. Stable Price Guarantees for Key Staples

FABAG’s top priority is the establishment of a price support mechanism for the country’s staple crops—maize, cassava, rice, and plantain. The association argues that current market fluctuations leave farmers vulnerable, especially when international price shocks ripple through local supply chains. By setting a guaranteed minimum price, the government could offer farmers a safety net and reduce post-harvest losses caused by price wars in local markets.

2. Subsidized Fertilizer and Input Prices

Input costs, particularly fertilizers, account for a substantial share of production expenses. FABAG demands that the budget earmark funds to subsidize fertilizers and other critical inputs, such as pesticides and improved seed varieties. The association contends that lower input costs would raise yields and improve profitability, thereby encouraging more farmers to adopt modern agronomic practices.

3. Expanded Credit Facilities and Loan Guarantees

Access to affordable finance remains a bottleneck for many Ghanaian farmers. FABAG’s proposal includes the creation of a dedicated agricultural credit facility that offers low-interest loans, coupled with a government-backed guarantee scheme to reduce the risk for banks. By easing the credit constraint, the association believes farmers can invest in farm infrastructure, mechanization, and off‑farm diversification projects.

4. Strengthening Rural Extension and Training Services

The fourth demand calls for a significant boost to the country’s extension service network. FABAG highlights that many smallholder farmers lack timely access to modern farming techniques, pest management strategies, and market information. The coalition proposes allocating budget resources for training workshops, mobile extension units, and digital platforms that can deliver real‑time advice and best‑practice guidance to remote farming communities.

5. Development of Storage and Post‑Harvest Infrastructure

Post‑harvest losses in Ghana run into as much as 30 % for certain crops. FABAG’s fifth demand stresses the need for improved storage facilities, cold chains, and processing units. By investing in warehouses, silos, and small‑scale processing plants, the association argues, farmers can add value to their produce, reduce spoilage, and increase income streams.

6. Improved Transport and Market Access

Access to reliable transport infrastructure is critical for farmers to reach markets within reasonable timeframes. The sixth demand pushes for the rehabilitation of rural roads, the creation of dedicated farm supply routes, and the establishment of centralized marketplace hubs. By reducing transport costs, farmers can secure better prices for their produce and attract private investment into logistics services.

7. Policy and Regulatory Reforms for Agricultural Investment

Finally, FABAG calls for a suite of regulatory reforms that would simplify the process of obtaining land rights, accessing agricultural insurance, and registering agricultural businesses. The association argues that a clearer, more predictable regulatory environment will unlock private capital and foster agribusiness innovation across the value chain.

Linking to Broader Context

The article on GhanaWeb links to the official Ministry of Finance budget preview page, which outlines the current allocation of the National Budget 2025 and the projected fiscal stance for 2026. Reviewing that source reveals that agriculture currently receives about 8 % of the total budget, but FABAG’s demands would significantly expand this share by allocating additional funds for input subsidies and rural infrastructure.

Another link within the piece directs readers to a previous coverage of FABAG’s 2023 demand letter, which highlighted similar concerns—particularly the call for a fertilizer subsidy and a guarantee on small‑scale agricultural loans. The continuity of these demands underscores the persistent nature of the challenges faced by Ghana’s farming sector.

A third hyperlink points to a government press release announcing the appointment of a new agricultural advisory council, a body intended to oversee the implementation of the 2026 budget. FABAG’s demands suggest that the association would welcome representation on this council to ensure that farmer interests are directly reflected in policy decisions.

What These Demands Mean for Ghana

Agriculture remains the backbone of Ghana’s economy, contributing roughly 24 % to the GDP and employing more than 40 % of the population. Yet the sector has struggled with low productivity, high input costs, and inadequate market linkages. FABAG’s seven demands represent a comprehensive strategy to tackle these issues from multiple angles—price stabilization, cost containment, credit facilitation, capacity building, infrastructure development, logistics, and regulatory reform.

If the 2026 budget adopts even a portion of these proposals, it could usher in a new era of agricultural resilience. For example, a fertilizer subsidy of 10 % could lower production costs by GHS 200–300 per acre, directly translating into higher net returns for farmers. Likewise, a dedicated credit line of GHS 500 million could enable thousands of smallholders to acquire essential equipment, thereby boosting yields and income.

The demands also signal a shift towards inclusive development. By prioritizing rural extension services and market access, FABAG is advocating for a system that connects farmers directly with consumers and value‑added processing opportunities, reducing the power imbalance that often favors intermediaries.

Conclusion

The FABAG demands outlined on GhanaWeb lay out a clear, actionable blueprint for enhancing Ghana’s agricultural sector ahead of the 2026 budget. By insisting on price guarantees, input subsidies, credit guarantees, robust extension programs, improved storage, better transport, and regulatory reforms, the association is calling for a holistic approach that addresses the full spectrum of challenges that Ghanaian farmers face. The upcoming budget meeting will be a pivotal moment to evaluate how much of this farmer‑centred vision the government can incorporate, and whether the promised reforms can truly transform the sector into a more productive, profitable, and sustainable pillar of Ghana’s economy.