Ghana’s government is targeting the creation of 250,000 jobs in the agriculture sector under a GHS 1.7 billion(US$155 million) investment outlined in the 2026 national budget, with mechanisation and agro-processing positioned as the main employment drivers for young people facing limited opportunities.
Presenting the budget to Parliament on November 13, 2025, Finance Minister Cassiel Ato Forson said the allocations were designed to modernise agriculture and tackle youth unemployment, which stood at 32.8 percent according to official data. The strategy focuses on shifting farming from subsistence to commercial production through Farmer Service Centres and agro-industrial enclaves.
A total of GHS 690 million has been allocated to operationalise 50 Farmer Service Centres across the country. These centres are expected to receive more than 4,000 agricultural machines and implements, including 660 tractors, 400 combine harvesters, precision planters, fertiliser spreaders and sprayers. The Agriculture Ministry says procurement is underway, with the first 11 centres scheduled to open in 2026.
The centres are intended to give smallholder farmers shared access to machinery, technical support and input supplies to improve productivity. Currently, an estimated 78 percent of agricultural work in Ghana is still done manually. Each centre will offer land preparation services, harvesting support, storage facilities, extension services and equipment leasing at subsidised rates.
Seven agro-processing plants are also expected to become operational in the Northern, Central, Ahafo, Bono, Bono East, North East and Western North regions. The facilities will process products including yam, fish, poultry, cashew, rice, shea and palm kernel oil. Government projections indicate the plants will generate about 700 direct jobs and provide stable markets for thousands of farmers affected by post-harvest losses, which account for a significant share of annual crop output.
Infrastructure development forms another pillar of the plan, with GHS 828 million earmarked for the construction of 1,000 kilometres of agricultural enclave roads. The roads are intended to link high-producing food zones to processing facilities and markets, addressing transport constraints that have limited value-added production.
Youth employment is also being supported through the Harnessing Agricultural Productivity and Prosperity for Youth (HAPPY) programme, a public-private initiative that has enabled work opportunities for 138,000 young people since December 2023. The programme targets over 300,000 jobs by 2027 across major crop and livestock value chains, with women accounting for more than half of current participants.
Additional measures include the expansion of farmer cooperatives, which are expected to improve access to training, finance, mechanisation services and markets, and the rollout of a national oil palm development policy aimed at reducing costly imports through new plantations and out-grower schemes.
Despite the scale of the planned investment, challenges remain. Previous youth agriculture initiatives have struggled with land access, financing, delayed payments and weak coordination. High interest rates, limited insurance coverage and climate risks continue to make agriculture a difficult sector for young entrants.
Government officials say the success of the mechanisation drive will depend on effective implementation, timely infrastructure delivery and stronger collaboration with the private sector. If executed as planned, the programme could significantly reshape Ghana’s agricultural landscape and employment outlook.
