Annual broiler demand in Ghana is about 300,000 MT. This demand is met by importation of 200,000 MT of frozen chicken from countries such as America and Brazil. Although broilers produced in Ghana are reputed to be of high quality, local poultry producers have not been able to build the economies of scale to compete on price with frozen imports. Efforts by GoG and development partners to increase consumption of poultry meat by 14% and local production of maize and soy for poultry feed provides the opportunity for farmers to achieve economies of scale.
Mede Wo Aseda Ka, Ltd., an established poultry farm in Sunyani in the Brong Ahafo Region, plans to address the supply deficit for broilers in the country by establishing a meat processing plant to process broilers for fellow members of the Ghana National Association of Poultry Farmers. The availability of such a facility in the area will reduce the cost incurred by members of the association who travel to Kumasi to process their broilers, and ensure production of high-quality fresh chicken. Mede Wo Aseda Ka has a total capacity of 40,000 birds spread across three locations on a total of 23.5 acres of farm land. The company has a feed miller it uses to produce its own poultry feed. Most of its produce and eggs are sold through distributors in Accra and Brong Ahafo, where it as about 5% of market share.
Mede Wo Aseda Ka is seeking $980,000 in long-term financing for capital expenditure to build a meat processing plant and acquire equipment, including a blast freezer, refrigerated truck, and conveyer trucks. The company will consider any long-term loan, mezzanine finance, equity solution, or some combination thereof.
Mede Wo Aseda Ka may require a BAS provider to help raise financing for the project.
A USAID-FinGAP ERR has not been conducted yet.
Several ongoing initiatives support the enabling environment for this investment:
- GoG Broiler Revitalization Project
- USDA Poultry Feed Project, USAID-ADVANCE II, GCAP, SADA, and NRGP
- National Livestock Services Project
Steven Owusu, Managing Director, +233 (0) 20 325 2786; firstname.lastname@example.org