Fish breeding
Fish breeding
Expected Impact
Improve food availability and nutritional quality through sustainable protein sources
How is this information gathered?
Investment opportunities with potential to contribute to sustainable development are based on country-level SDG Investor Maps.
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Country & Regions
- Ghana: Upper East
- Ghana: Western Region
- Ghana: Central
- Ghana: Savannah
Sector Classification
Food and Beverage
Development need
Agriculture accounted for 17% of gross domestic product (GDP) and 29% of total employment in 2019 in Ghana, and it constitutes most informal sector employment.(I) Total sales amounted to USD 13.2 billion in 2019, with estimated average growth of 5.6% between 2020 and 2025. Consumption was USD 10.4 billion in the same year and is estimated to grow at 4.9% between 2020 and 2025.(II)
Policy priority
Ghana's agricultural policy focuses on raising the productivity and value added in agriculture, via government initiatives such as Planting for Food and Jobs, and One Village, One Dam.(III)
Gender inequalities and marginalization issues
Women constitute the majority of agricultural employees and are most active in agro-processing and food distribution, and face numerous challenges. These challenges include poor access to land (female farmers own two times less land than their male counterparts) and credit (for every 100 men obtaining credit only 47 women do).(VI)
Key bottlenecks
Key sector challenges include poor farmer education and management skills, business atomization, poor supply chains, limited access to capital and inputs, lack of storage and poor handling practices, low access to information and information and communication technology (ICT) services, and an ageing farming population.
Meat, Poultry and Dairy
Pipeline Opportunity
Fish breeding
Business Case
Market Size and Environment
USD 100 million - USD 1 billion
In Q2 2020, fishing in Ghana generated GHG 605.7 million (USD 103.3 million) of value added.(20)
Direct fisheries account for 4.5% of Ghana's gross domestic product (GDP), or12% of agricultural GDP.(9)
Ghana produced 76,620.1 metric tons of fish via aquaculture in 2018. Tilapia and catfish accounted for 90.3% and 9.7% of total aquaculture production respectively.(6),(22)
Indicative Return
20% - 25%
The return profile of scaling fish breeding may differ depending on the size and kind of investment. A pond breeding project in Ghana generated an internal rate of return of 24%.(28)
Investment Timeframe
Long Term (10+ years)
The benchmark example (the Kenyan case study of Meru county) reported a 11-year payback period for an aquaculture project with a 15-year lifespan.(29)
The pond used in a fish breeding project in Zambia had an estimated useful life of 10 years.(31)
A tilapia farm in Mozambique reported a shorter payback period of 8 years.(30)
Market Risks & Scale Obstacles
Market - Highly Regulated
Business - Supply Chain Constraints
Capital - Limited Investor Interest
Impact Case
Sustainable Development Need
With annual per capita consumption estimated at 26 kg (compared with the global average of 20 kg.), fish is a major source of animal protein for the Ghanaian population, regardless geography or socio-economic status.(7),(15),(18). It plays an integral role in their dietary intake.
Natural water basins (Lake Volta, River Bosomtwi or River Pra) are instrumental in fish production. Pollution and declining water levels are compromising fisheries in these basins,(17) highlighting the need to expand aquaculture sustainably.
Gender & Marginalisation
Children particularly need nutritional food sources like fish to combat malnutrition.
Expected Development Outcome
Increased value of fish production, increased volume of fish production, better quality fish breeding, less overfishing, improved fishing methods and fish science
Increased export opportunities, new job opportunities
Reduced malnutrition and stunting
Gender & Marginalisation
Improved nutritional values of households, which is especially critical for women
Primary SDGs addressed
2.2.2 Prevalence of malnutrition (weight for height >+2 or <-2 standard deviation from the median of the WHO Child Growth Standards) among children under 5 years of age, by type (wasting and overweight)
2.2.1 Prevalence of stunting (height for age <-2 standard deviation from the median of the World Health Organization (WHO) Child Growth Standards) among children under 5 years of age
8.1.1 Annual growth rate of real GDP per capita
8.4.1 Material footprint, material footprint per capita, and material footprint per GDP
14.4.1 Proportion of fish stocks within biologically sustainable levels
Secondary SDGs addressed
Directly impacted stakeholders
People
Gender inequality and/or marginalization
Planet
Corporates
Indirectly impacted stakeholders
People
Planet
Corporates
Outcome Risks
Aquaculture increases the risk of significant amounts of wastes/effluents containing particulate material (e.g. from uneaten feed and faecal material), dissolved metabolites (from excretion via gills and kidneys) and various forms of chemicals (e.g. therapeutants, fertilizers, heavy metals). The effects may be undesirable environmental consequences such as eutrophication or nitrification.(2)
Inland aquaculture may be responsible for deteriorating water bodies used for human consumption.(3)
Construction of aquaculture farms affects natural ecosystems, particularly mangrove forests (deforestation).(4)
Displacement of native species (competition for space and food with newly introduced species) (5)
Impact Classification
What
Investing in sustainable aquaculture and fish breeding is likely to have a positive impact because it increases food availability and protein intake, and can reduce overfishing.
Risk
Sector provides limited regulations and incentives for investments. Inadequate supply of quality and degradation caused by aquaculture are potential threats.
Impact Thesis
Improve food availability and nutritional quality through sustainable protein sources
Enabling Environment
Policy Environment
Ghana Shared Growth Development Agenda II (GSGDA II) (2014–2017) : Fisheries and aquaculture development are the main focus of policy interventions for accelerated agricultural sector transformation. This policy aims to develop an effective domestic market.(33)
Investing for Food and Jobs (IFJ) - An Agenda for Transforming Ghana’s Agriculture (2018-2021): The National Agriculture Investment Plan commits governments to promoting quality feed for aquaculture through incentives (e.g. subsidies) and capacity building.(34)
Ghana National Aquaculture Development Plan 2012-2016 (GNADP): This plan contains measures that support high value fish seed, fish feed with the appropriate nutrients and private sector investments in the sub-sector.(35)
Fisheries Management Plan of Ghana 2015-2019 : This plan provides financial and technical incentives for aquaculture to reduce overfishing.(36)
Financial Environment
Financial incentives: Under the Ghana Shared Growth Development Agenda II (GSGDA II) (2014–2017), the government will ensure 'an adequate flow of financial resources to agriculture and aquaculture' with particular attention to smallholder farmers.(40)
Fiscal incentives: Food produced in Ghana and sold in its raw state and equipment for agriculture and fishing are listed among goods and services exempted from Value Added Tax and the National Health Insurance Levy (VAT/NHI).(37) Agricultural and industrial plant, machinery and equipment imported for investment purposes are exempted from customs import duty.(38) Companies operating in the livestock, fish and cash crops sectors enjoy a tax concessionary rate of 1% on their chargeable income for the first 5 years from commencement.(39)
Regulatory Environment
Fisheries Act 2002: This Act establishes the Fisheries Commission and Fisheries Development Fund. It focuses on fisheries management and development.(29)
The Fisheries Regulations 2010: These regulations cover permits for aquaculture operations and establishments, production certificates, fish breeding, live fish important and export, and penalties for non-compliance.(30)
Fisheries Amendment Act 2014 (amending the Fisheries Act 2002): This Act empowers the Ghanaian authorities to combat illegal, unreported and unregulated fishing.(31) The Fisheries Amendment Regulations 2015 amend the Fisheries Regulations 2010.(32)
The Ministry of Fisheries and Aquaculture Development regulates Ghana's aquaculture sector.(42) The Fisheries Commission is the implementing agency of the Ministry of Fisheries and Aquaculture Development.(43)
The Environmental Protection Agency is responsible for preserving the natural environment and preventing its degradation.(44)
Marketplace Participants
Private Sector
AgriCare Ltd, Ghana Agro Food Company Ltd, Raanan Fish Feed Ltd, Maleka Farms Ltd, West African Fish Ltd.
Government
Ministry of Fisheries and Aquaculture Development (MoFAD), Fisheries Commission, Water Research Institute (WRI), Environmental Protection Agency (EPA)
Multilaterals
World Bank (WB), European Investment Bank (EIB), African Development Bank (AfDB)
Public-Private Partnership
KfW Development Bank, Agence Française de Développement (AFD), United States Agency for International Development (USAID), Food and Agriculture Organization of the United Nations (FAO), German Corporation for International Cooperation (GIZ)
Target Locations
Ghana: Upper East
Ghana: Western Region
Ghana: Central
Ghana: Savannah
References
- (I) World Bank database. https://data.worldbank.org/ (II) IHS Markit. Comparative Industry Forecast Tables, Agriculture, ISIC Classification Rev. 4. (III) Republic of Ghana (2017). Medium-Term National Development Policy Framework: An Agenda for Jobs: Creating Prosperity and Equal Opportunity for All (First Step) 2018-2021. https://s3-us-west-2.amazonaws.com/new-ndpc-static1/CACHES/PUBLICATIONS/2018/08/23/Medium-term+Policy+Framework-Final+June+2018.pdf (IV) Sachs, J., Schmidt-Traub, G., Kroll, C., Lafortune, G., Fuller, G., Woelm, F. 2020. The Sustainable Development Goals and COVID-19. Sustainable Development Report 2020. Cambridge: Cambridge University Press. (V) Ministry of Food and Agriculture (2018). Investing For Food and Jobs (IFJ): An Agenda for Transforming Ghana’s Agriculture (2018-2021). https://mofa.gov.gh/site/images/pdf/National%20Agriculture%20Investment%20Plan_IFJ.pdf (VI) Send Ghana (2014). Women and Smallholder Agriculture in Ghana - Policy Brief 2014. https://www.sendwestafrica.org/phocadownload/Women%20and%20Smallholder%20Agriculture%20in%20Ghana%20Policy%20Brief%20-%20Copy.pdf
- (1) Ghana Investment Promotion Centre (2017). Doing business in Ghana - To Know and Invest in Ghana.
- (2) Serpa, D. and Duarte, P. (2017). Impacts of Aquaculture and Mitigation Measures. Global Science Books. http://www.globalsciencebooks.info/Online/GSBOnline/images/0812/DBPBMB_2(SI1)/DBPBMB_2(SI1)1-20o.pdf
- (3), (4), (5) Martinez-Porchas, M. and Martinez-Cordova, L. (2012). 'World Aquaculture: Environmental Impacts and Troubleshooting Alternatives'. Scientific World Journal. https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3353277/
- (6) Ghana Statistical Service (2020). Production of Agriculture Statistics. https://statsghana.gov.gh/nationalaccount_macros.php?Stats=MjM3NTIyNzgzMy44ODU=/webstats/985rp49861
- (7), (8), (17) Amenyogbe, E., Chen, G. and Wang, Z. (2018). 'A Review of Ghana’s Aquaculture Industry'. Journal of Aquaculture. https://www.longdom.org/open-access/a-review-of-ghanas-aquaculture-industry-2155-9546-1000545.pdf
- (9) Food and Agriculture Organization of the United Nations (2016). Fishery and Aquaculture Country Profiles: Republic of Ghana. http://www.fao.org/fishery/facp/GHA/en
- (10), (11) Jamu, D. and Brummett, R. (2004). Use of genetically improved and alien species for aquaculture and conservation of aquatic biodiversity in Africa.
- (12), (13), (14) Amenyogbe, E., Chen, G. and Wang, Z. (2018). 'A Review Of Ghana’s Aquaculture Industry'. Journal of Aquaculture. https://www.longdom.org/open-access/a-review-of-ghanas-aquaculture-industry-2155-9546-1000545.pdf
- (15) Hasselerg, A., Aakre, I. and Scholtens, J. (2020). 'Fish For Food And Nutrition Security In Ghana: Challenges And Opportunities'. Global Food Security. https://www.sciencedirect.com/science/article/pii/S2211912420300341
- (16) Worldometers (2020). Ghana Population 2020. https://www.worldometers.info/world-population/ghana-population/
- (18) Asiedu, B. (2017). 'Prospects and Sustainability of Aquaculture Development In Ghana, West Africa'. Cogent Food & Agriculture. https://www.tandfonline.com/doi/full/10.1080/23311932.2017.1349531
- (19) Ministry of Fisheries and Aquaculture Development Fisheries Commission (2015). Fisheries Management Plan of Ghana 2015-2019. https://www.crc.uri.edu/download/GH2014_POL005_FC_FisheriesMgtPlan2016.pdf
- (20) Ghana Statistical Service (2020). Rebased GDP Quarterly Bulletin. https://statsghana.gov.gh/nationalaccount_macros.php?Stats=MjkwMzA1NjI0LjE0MTU=/webstats/oq43q9p651
- (21) Statista (2020). Ghana - Population Growth 2019. https://www.statista.com/statistics/447519/population-growth-in-ghana/#:~:text=In%202019%2C%20Ghana's%20population%20increased,compared%20to%20the%20previous%20year
- (22) Ministry of Fisheries and Aquaculture Development (2019). Medium Term Expenditure Framework (MTEF) For 2019-2022. https://www.mofep.gov.gh/sites/default/files/pbb-estimates/2019/2019-PBB-MOFAD.pdf
- (24) Ghana Statistical Service (2020). Ghana Census Of Agriculture 2017/2018. National Report.https://statsghana.gov.gh/gssmain/fileUpload/pressrelease/Final%20Report%2011%2011%202020%20printed%20version.pdf
- (25), (29) Wambua, M.M. (2015). A Cost–Benefit Analysis of the Fish Farming Enterprise Productivity Program Project in Kenya. The Case of Implementation of the Aquaculture Development Component in Meru County. United Nations University. https://www.grocentre.is/static/gro/publication/351/document/moses15prf.pdf
- (26), (30) Salia, A.M.J. (2008). 'Economic analysis of small-scale tilapia aquaculture in Mozambique'. Institute Nacional de Desenvolvimento de Aquacultura. https://www.yumpu.com/en/document/read/36178964/economic-analysis-of-small-scale-tilapia-aquaculture-in-mozambique
- (27), (31) Namonje-Kapembwa, T. and Samboko, P. (2020). 'Is aquaculture production by small-scale farmers profitable in Zambia?' Indaba Agricultural Policy Research Institute. https://academicjournals.org/journal/IJFA/article-full-text-pdf/556442662883
- (28) Anokyewaa, M.A. and Asiedu, B. (2019). 'Economic Analysis of Small-Scale Aquaculture Enterprise in Ghana; a Case Study of Sunyani Municipality'. Asian Journal of Fisheries and Aquatic Researchhttps://www.journalajfar.com/index.php/AJFAR/article/download/30031/56347/
- (29) Ministry of Fisheries and Agriculture (2002). Fisheries Act 2002 (Act 625). Republic of Ghana. https://www.mofad.gov.gh/wp-content/uploads/2016/05/Fisheries-Act-2002-Act-625.pdf
- (30) Ministry of Fisheries and Agriculture (2010). The Fisheries Regulations 2010 (L.I. 1968). Republic of Ghana. https://www.mofad.gov.gh/wp-content/uploads/2016/05/Fisheries-Regulations-2010.pdf
- (31) Ministry of Fisheries and Agriculture (2014). Fisheries Amendment Act 2014. Republic of Ghana. https://mofad.gov.gh/wp-content/uploads/2016/07/FISHERIES-AMENDMENTACT2014.pdf
- (32) Ministry of Fisheries and Agriculture (2015). Fisheries Amendment Regulations 2015. Republic of Ghana. https://mofad.gov.gh/wp-content/uploads/2017/05/FISHERIES-AMENDMENT-REGULATIONS-2015-L.I.-2217.pdf
- (33) National Development Planning Commission (2014). Ghana Shared Growth Development Agenda II (GSGDA II) (2014–2017). Republic of Ghana. http://extwprlegs1.fao.org/docs/pdf/gha152510.pdf
- (34) Ministry of Food and Agriculture (2018). Investing For Food And Jobs (IFJ): An Agenda For Transforming Ghana’S Agriculture (2018-2021). http://mofa.gov.gh/site/images/pdf/National%20Agriculture%20Investment%20Plan_IFJ.pdf
- (35) Ministry of Food and Agriculture (2012). Ghana National Aquaculture Development Plan 2012-2016 (GNADP). Republic of Ghana. http://extwprlegs1.fao.org/docs/pdf/gha149443.pdf
- (36) Ministry of Fisheries and Aquaculture Development (2015). Fisheries Management Plan Of Ghana. A National Policy For The Management Of The Marine Fisheries Sector 2015-2019. Republic of Ghana. https://www.crc.uri.edu/download/GH2014_POL005_FC_FisheriesMgtPlan2016.pdf
- (37), (38), (39) KPMG (2020). Doing Business In Ghana.https://assets.kpmg/content/dam/kpmg/gh/pdf/gh-Doing-Business-in-Ghana-2020.pdf
- (40) National Development Planning Commission (2014). Ghana Shared Growth Development Agenda II (GSGDA II) (2014–2017). Republic of Ghana. http://extwprlegs1.fao.org/docs/pdf/gha152510.pdf; Mapfumo, B. (2011). An Overview of Desert Aquaculture In Southern Africa. FAO. http://www.fao.org/3/ba0114e/ba0114e07.pdf
- (42) Ministry of Fisheries and Aquaculture Development (2021). MoFAD at a glance. https://www.mofad.gov.gh/about-mofad/mofad-at-a-glance/
- (43) Ministry of Fisheries and Aquaculture Development (2021). Fisheries Commission at a glance.
- (44) Environmental Protection Agency (2021). Objectives and functions. http://www.epa.gov.gh/epa/about/objectives-functions