Despite the vast potential of African aquaculture, investment in the sector remains disproportionately low compared to the enormous sums funneled into high-tech Recirculating Aquaculture Systems (RAS) in the Global North. Francisco Murillo, CEO of Tropo Farms in Ghana, is among those questioning why hundreds of millions of dollars are being spent on struggling RAS projects when a fraction of that funding could drive substantial growth and impact in Africa.
Tropo Farms’ Success Story
Murillo, a former engineer from Costa Rica with extensive experience in the global tilapia industry, took the helm at Tropo Farms in 2021. He joined a company that had weathered severe disease outbreaks but faced new economic challenges, including sharp currency devaluation that nearly doubled production costs in local currency.
Despite these hurdles, Tropo Farms has thrived. Under Murillo’s leadership, production has more than doubled from 7,200 metric tonnes in 2021 to 15,000 metric tonnes in 2024—all without major infrastructure expansion. Key to this growth was improving juvenile production efficiency and shortening the production cycle by ensuring market readiness for harvested fish.
Tropo Farms exclusively supplies the domestic Ghanaian market, where demand for fresh tilapia remains strong. With a national fish consumption rate of 24-25 kg per person annually, Ghana presents a significant opportunity for aquaculture expansion. Murillo estimates the country produces 40,000-50,000 metric tonnes of tilapia per year, a fraction of the 800,000 metric tonnes of fish consumed annually, signaling vast potential for growth.
Unlocking Africa’s Aquaculture Potential
While Tropo Farms is set to double production to 30,000 tonnes by 2030—with the aid of a $10 million loan from AgDevCo—Murillo highlights the broader challenges facing African aquaculture. The capital-intensive nature of the industry and high local borrowing costs (often exceeding 35% interest) deter many potential entrants. Moreover, securing international investment remains difficult despite the clear economic and societal benefits of developing the sector.
Murillo argues that funds currently allocated to high-risk RAS projects in the Global North could have a far greater impact in Africa. He points to the example of Atlantic Sapphire, a salmon RAS venture in Florida that attracted nearly $700 million in investment yet struggles to produce 1,500 tonnes of fish annually. In contrast, he believes similar funding could transform African aquaculture, scaling production exponentially with relatively simple technology.
The Need for Strategic Investment
Murillo’s observations highlight a broader conversation within the aquaculture industry: how to attract investors to Africa’s rapidly growing but underfunded sector. While large-scale cage farming operations like Tropo Farms and Kenya’s Victory Farms are critical, the industry also needs financing for feed mills, hatcheries, and smaller independent farms.
New models are emerging to address these challenges. Uganda’s RAD project, supported by ThinkAqua, is developing innovative last-mile distribution networks to support smaller producers. In Kenya, AquaRech is leveraging a service-delivery model to enhance efficiencies across the supply chain.
Expanding African aquaculture requires investment across the entire ecosystem, not just in large operators but also in the network of small and medium enterprises (SMEs) that support them. This approach mirrors the structure of successful aquaculture industries in Asia, where mid-tier actors play a crucial role in market connectivity, credit provision, and logistical support.
A Call to Action
For investors, African aquaculture represents a compelling opportunity—one that offers both economic returns and significant societal impact. The sector can provide employment, enhance food security, and reduce reliance on fish imports, all while leveraging existing natural resources like Lake Volta, which remains largely untapped despite its vast potential.
As Murillo puts it, the question isn’t whether African aquaculture can grow—it’s whether global investors will recognize its potential before another $700 million is lost on the next failing RAS venture.
