Interview with Gerrie Jordaan, Country Director of AFGRI Ghana

How do you feel that the economic downturn is affecting agricultural development and the food security in general in Ghana?

From our point of view, on the agricultural side, the depreciation of currency hurts everyone from the farmers to the agricultural businesses etc. We are working very closely with ACD Advanced Group to teach the people how to farm. We have also got our demo plot on our site and we supply training for operators and training for safety and maintenance because the Ghanaian people lack maintenance skills for their equipment.

What sorts of reforms are highly needed at the moment? What are the biggest challenges?

The biggest challenges I think are the land issues. There are a lot of land issues in the agricultural business of chiefs owning the land and people wanting to develop the land. Also, the interest rate on financing is very high. The banks run an interest rate of about 35%. Thus to make equipment affordable and for farmers to be able to repay financing is quite a challenge. Furthermore the way that people farm needs to be improved by using proper seeds, proper fertiliser, proper land preparation to increase yields etc. The yields at the moment run at 1.5 tonnes per hectare but the potential is there for 8 or 9 tonnes per hectare.

AFGRI is present in fourteen countries and you rank yourselves as the leading agricultural services and processing company, however in Ghana you are primarily present in equipment supply.

Yes, AFGRI in Ghana works with equipment supply. We supply all sorts of agricultural equipment for all kinds of farmers from vegetable farmers to maize farmers, rice farmers etc. We supply harvest equipment and spraying equipment to handle herbicides and pesticides. We supply scales for measuring your harvest, for example to weigh your harvest of maize etc. We supply everything for the sector.

How long have you been present in Ghana?

We have been present here for almost three years. We started in November 2012 when the final deal was signed. We started operating in April 2013 and from then on the business has been growing. We want to sell solutions to our customers; we don’t want to just sell equipment. We want to show them how the equipment can help them to increase their yields.

In May we run a road show campaign through the north of the country to show people how to plough, harrow, and to plant properly with mechanised equipment because currently the small scale farmers mostly still use oxen and human labour.

Who do you cater for primarily? Do you focus on small scale farmers or larger scale?

We are really focused on small scale farmers because commercial farming in Ghana is not very big. I can count on one hand the commercial farmers in Ghana. There are lots of small scale farmers.

In May we run a road show campaign through the north of the country to show people how to plough, harrow, and to plant properly with mechanised equipment because currently the small scale farmers mostly still use oxen and human labour.

You have had a long term relationship with John Deere, could you tell us about that?

In the agricultural business, our partnership with John Deere has been for about 55 years. AFGRI is related to John Deere. I have been working with the John Deere product for about 35 years. I know all of the products, from the old to the new. We have a good relationship with each other.

Do you also represent other brands here in Ghana?

We are the sole John Deere dealer in Ghana; nobody else can supply John Deere agricultural equipment except AFGRI Ghana.

On the regional level, you are also involved in food production, storage, cycle, financial services etc. Are these areas of interest for your presence in Ghana? Do you plan to expand into these spheres?

Yes, definitely. We are looking into storage facilities and milling. AFGRI is already looking into poultry in Ghana. CMI is our collateral management company in Ghana and they already have been doing their investigations in Ghana for the past two years. Thus I believe that our expansion into these areas will be happening in the near future.

What is your outlook for the agricultural sector in Ghana?

We want to help the people to develop. In my opinion, Ghana is one of the most beautiful countries in terms of agriculture. The room for development and improvement is huge. There is lots of potential to create big farms and start commercial farming. Ghana can be one of the top food suppliers for Africa.

Is there anything else that you would like to add about AFGRI´s presence here?

AFGRI is in Ghana and we are here to stay. We really want to help Ghana develop into one of the most beautiful agriculture fields of Africa. We want to give the best customer support because it is not what you sell; it is how you support the product you sell out in the field.

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