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Ghana Feed the Future Agriculture Policy Support Project (Apsp)

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Ghana Feed the Future Agriculture Policy Support Project (Apsp) GHANA FEED THE FUTURE AGRICULTURE POLICY SUPPORT PROJECT (APSP) SITUATION ANALYSIS OF AGRICULTURAL MARKETING ACTIVITIES AND RELATED INSTITUTIONAL ARRANGEMENTS IN GHANA Contract No. 641-C-14-00001 GHANA FEED THE FUTURE AGRICULTURE POLICY SUPPORT PROJECT (APSP) SITUATION ANALYSIS OF AGRICULTURAL MARKETING ACTIVITIES AND RELATED INSTITUTIONAL ARRANGEMENTS IN GHANA Contract No. 641-C-14-00001 March, 2017 This publication was produced for review by the United States Agency for International Development. It was prepared by Chemonics International Inc. The author’s views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government i SITUATION ANALYSIS OF AGRICULTURAL MARKETING ACTIVITIES AND RELATED INSTITUTIONAL ARRANGEMENTS IN GHANA Table of Content List of Tables ................................................................................................................................. iv Acronyms ........................................................................................................................................ v Glossary ........................................................................................................................................ vii EXECUTIVE SUMMARY ........................................................................................................... ix 1. INTRODUCTION .............................................................................................................. 1 1.1 Background ......................................................................................................................... 1 1.2 Objectives ........................................................................................................................... 1 2. METHODOLOGY ............................................................................................................. 2 2.1 Analytical Framework and Concepts .................................................................................. 2 2.2 Research Design and Methods of Analysis ........................................................................ 5 3. FINDINGS .......................................................................................................................... 5 3.1 Introduction ......................................................................................................................... 5 3.2 The Agricultural Marketing System ................................................................................... 5 3.2.1 Structure .............................................................................................................................. 5 3.2.2 Conduct ............................................................................................................................... 6 3.2.2.1 Marketing Chain and Nature of Transactions ..................................................................... 7 3.2.2.2 Agricultural Marketing Practices ........................................................................................ 9 3.2.2.3 Pricing ............................................................................................................................... 10 3.2.2.4 Grading and Use of Standard Measures............................................................................ 11 3.2.2.5 Packaging and Transport................................................................................................... 12 3.2.2.6 Market Information Services (MIS).................................................................................. 13 3.2.2.7 Stocking Practices ............................................................................................................. 14 3.2.2.8 Control of Market Entry.................................................................................................... 15 3.2.3 Performance of Agricultural Markets ............................................................................... 21 3.2.3.1 Price Variability ................................................................................................................ 21 3.2.3.2 Spatial Integration of Markets .......................................................................................... 22 3.3 Value Chain Upgrading .................................................................................................... 24 3.4 Policies and Legal Frameworks ........................................................................................ 38 3.4.1 Policy Frameworks ........................................................................................................... 38 3.4.2 Mandates of MMDAs in Agricultural Marketing ............................................................. 41 3.4.3 Private Sector Facilitators ................................................................................................. 43 3.5 Legal Frameworks for Agricultural Practices ................................................................... 45 3.5.1 Farming Practices.............................................................................................................. 45 3.5.2 Trading (buying and selling) and Contracts...................................................................... 46 3.5.3 Control of Entry into markets ........................................................................................... 46 3.5.4 Grading Standards and use of standard weights and measures......................................... 46 ii SITUATION ANALYSIS OF AGRICULTURAL MARKETING ACTIVITIES AND RELATED INSTITUTIONAL ARRANGEMENTS IN GHANA 3.5.5 Stocks and Warehousing ................................................................................................... 46 3.5.6 Slaughtering, slaughter houses and meat inspection......................................................... 47 3.5.7 Fishing............................................................................................................................... 47 3.5.8 Packaging .......................................................................................................................... 47 3.5.9 Transportation ................................................................................................................... 47 3.5.10 Financing........................................................................................................................... 48 3.6 Service Providers (Regulation and Facilitation) ............................................................... 48 3.6.1 MoFA’s Plant Protection and Regulatory Services Directorate (PPRSD) ....................... 48 3.6.2 Training of major stakeholders (Seed Inspectors, Registered Seed Growers, Seed Dealers, Extension Staff of MOFA and NGO’s etc).MoFA’s Veterinary Services Directorate (VSD) ................................................................................................................................ 49 3.6.3 Marketing Service Unit of SRID (MoFA) ........................................................................ 49 3.6.4 MoFA’s Directorate of Agricultural Extension Services (DAES) ................................... 50 3.6.5 MoFA’s Crop Services Directorate (DCS) ....................................................................... 50 3.6.6 Post-Harvest Division of Agricultural Engineering Services ........................................... 50 3.6.7 Ministry of Fisheries and Aquaculture Development and Fisheries Commission ........... 50 3.6.8 Ghana Standard Authority ................................................................................................ 50 3.6.9 Food and Drugs Authority ................................................................................................ 51 3.6.10 Ghana Export Promotion Authority .................................................................................. 51 3.6.11 Export Development and Agricultural Development Fund (EDAIF – EXIM Bank) ....... 51 3.6.12 Ghana Customs ................................................................................................................. 51 3.6.13 Development Agencies ..................................................................................................... 51 3.7 Institutions providing Marketing Information and Intelligence........................................ 52 3.7.1 Public ................................................................................................................................ 52 3.7.2 Private ............................................................................................................................... 53 3.8 State of major agricultural marketing organisations ......................................................... 55 3.8.1 Internal Trade (FBOs, Cooperatives, firms and individuals) ............................................ 55 3.8.2 Peasant Farmers Association of Ghana............................................................................. 55 3.8.3 Ghana Agricultural Producers and Traders Organisation (GAPTO) ................................ 56 3.8.4 Cattle Breeders and Traders Association, Ashaiman ........................................................ 57 3.8.4.1 Farmer and Trader Organisations in a Local Market (Bolgatanga) .................................. 58 3.8.5 External Trade (Exporter/Importer Associations) ............................................................ 59 4. SUMMARY OF FINDINGS AND
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