The Oil Palm Development Association of Ghana (OPDAG) has announced a strategic partnership with the National Food and Buffer Stock Company (NAFCO) aimed at curbing the smuggling of vegetable oil and strengthening local production and supply chains.
At a joint press briefing in Accra, the President of OPDAG, Mr. Paul Kwabena Amaning, expressed deep concern about the growing influx of smuggled and unregulated oil products on the Ghanaian market. He warned that the trend undermines local processors, distorts market prices, and poses risks to consumer safety.
“Smugglers are exploiting tax loopholes to flood the market with cheaper, untaxed oil,” Mr. Amaning stated. “We must work together to stop this practice and ensure that only locally produced oil is supplied to schools and other public institutions.”
He revealed that OPDAG is prepared to collaborate with NAFCO to implement a blockchain-based traceability system to monitor the source, quality, and distribution of oil supplies—particularly those designated for the National School Feeding Programme.
“We already operate a traceability system that can be expanded to include suppliers,” he explained. “We are appealing to NAFCO to share their supplier database with us so we can jointly prevent smuggling and guarantee product quality.”
Mr. Amaning also urged all oil suppliers nationwide to register with OPDAG to ensure that only certified and FDA-approved products are distributed across the country.
“We want every bottle of oil supplied to schools and public institutions to meet the highest standards of quality and safety,” he emphasized. “OPDAG is fully committed to supporting NAFCO in this effort.”
On his part, the Chief Executive Officer of NAFCO, Mr. George Abradu-Otoo, reaffirmed the company’s commitment to strengthening partnerships with local producers to reduce dependence on imported oils and promote domestic industry.
“Our collaboration with local oil producers is designed to reduce smuggling, encourage home-grown production, and ensure that schools under the Buffer Stock programme receive only quality vegetable and palm oil,” Mr. Abradu-Otoo said.
He added that the partnership will soon be expanded beyond the oil sector to cover other essential commodities such as rice and grains procured under the Buffer Stock initiative for national feeding programmes.
Both institutions expressed optimism that the collaboration would help stabilize the local edible oil market, create sustainable employment, enhance food security, and support the government’s broader agenda to industrialize Ghana’s agricultural value chain.