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Incentives for Sustainable Cocoa Production in Ghana







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    Growth through Pricing Policy: The Case of Cocoa in Ghana 2018
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    Cocoa has and continues to play a central role in the economy of Ghana which is now the second largest producer of cocoa beans in the world. But it has not always been so. At its nadir in the early eighties, the cocoa sector was one half of what it was in the decade after independence. The paper argues that the key to this success is anchored to specific strategies put in place and managed by the state-run marketing board, COCOBOD. An important strategy was to pass on an increasing share of export prices to producers, which with growing global prices in the 2000’s gave producers higher real prices. Two major government programmes – also initiated in early 2000’s – offered farmers improved varieties, subsidized fertilizer and free pest and disease control. These programmes triggered a cocoa revolution by enabling farmers to more than double their yields. This transformation was inclusive because cocoa production remains traditional and labour intensive, and enabled smallholders to intensify production to a greater extent compared to large holders. Improved land productivity contributed to reduced poverty, where incidence rates among cocoa growing households have nearly halved since 2005.
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    Analysis of price incentives for maize in Ghana 2005-2013 2016
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    This technical note begins with a review of the commodity’s production, consumption/utilization, marketing and trade, value chain and policy context (Chapter 2). It also provides a detailed description of how key data elements were obtained and indicators were calculated (Chapter 3). The indicators were then interpreted in light of existing policies and market characteristics (Chapter 4), and key policy recommendations were formulated on the basis of this interpretation (Chapter 5). Finally, the note concludes with a few main messages, limitations of the analysis and areas identified for further research to improve the analysis (Chapter 6).
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