Organic Food Market Ghana Essay

Main multinational trade partners South Africa, Netherlands, India, joined Kingdom, Malaysia, Switzerland, United States, France, Nigeria, Burkina, China, Spain, Italy, Turkey, Germany and etc. Macro- scotch opportunities and risks The World bevels Ease of Doing Business rankings placed gold coast at 63 place among 183 countries in 2012 (1 = best ranking), just behind Poland (62) and ahead of the Czech Re general (64). gold coasts performance is defined as oddly poor in obtaining construction permits and resolving insolvency. Nevertheless, gold coast is among the top cinque countries in sub- Saharan Africa. frugal risks in Ghana include a relatively high inflation rate of 10. 4% estimated in 2013. systematic everyy high unemployment over the years is a nonher negative factor retention the country in poverty. About 28. 5% of the total population is financial backing below the poverty line. Other urgent challenges in Ghana are the inadequacies in education and health care that limit social culture in the country. It also must address crime. Underdeveloped infrastructure, poor management of natural and human resources, and lack of a fully conducive and hearty business environment in the country also require public sector attention.According to the knowledge portal Global EDGE, Ghanas strategic goals focus on future economic growth, improving flavour of life by boosting employment and decreasing poverty, increased private investment and overall social and rural development. With such plans, international companies can hold back incentives for initiating business in Ghana. Low corporate taxes, low equity requirements, exercise duty exemptions forplants, machinery, equipment and parts, and relief from double taxation are some of the incentives and guarantees that the relieve oneselfment presently offers to encourage future foreign investment.Coca-Cola Co. and Heinz have already been run successfully in Ghana while companies like Caterpillar, Unilev er, IBM, AT&T, to constitute a few, are undertaking new investments. Companies are encouraged to establish themselves and operate in the countrys many potentially compensable food markets including hydro-power projects, pharmaceuticals and development technology. Subsequently, as African countries consider fully implementing the African Economic Community (AEC) established in 1991, Ghanas trading assenting to other African nations could increase significantly in the coming years.Ghana is a member of the World Trade Organization and has quota-free access to United States and European Union markets. The country has export free zones where goods can be traded without customs duties. The government is putting forth efforts to improve infrastructure to check up on hassle-free movement of goods and produce. While Ghana faces difficulties, all these factors make Ghana a promising market for foreign businesses. entire food market info General Market size n. a. Market growth rate n. a. home(prenominal) production n. a.Exports (US$, 2006) $75. 64 million Imports n. a. Shares/sizes of market segments Fresh fruits, vegetables, palm oil, deep brown, bananas, cashews, culinary herbs, cereals, cotton, shea butter and etc. Number of producers, names of big producers, important brands Benrod collection (producer and exporter), Ibrahim Jalilu Adventure (producer of spices), Botim Farms (group of cashew farmers), Joansspiceworld (producer of spices), Mercydan (black soap, red palm oil, coconut oil), Eagle metallic Company (gold, diamond), Best entire Fodd Venture ( original food) and etc.Smallholder farms dominate the artless sector, accounting for slightly 80 percent of total production. ( extreme agriculture in general is well suited to small-scale farmers because usually small-scale farmers do not have much cash to purchase external inputs, chemic inputs, pesticides, or chemical fertilizers) Typical distribution channels The Ghana Organic Agriculture N etwork, Afrikeco Organic Products Ltd, Andea-African Network for Development of Ecological Agriculture, Armajaro Ghana Limited, bleak Volta Organic Society, Ebenut, Ecasard-Ecumenical Ass.For Sustainable Agr. And Rur. , Eloc Farms Limited, Ghana Bio Network, Ghana Export Promotion Council, sublime Providence Farms Accra, Integrated Tamale Fruit Company, Natures Best Fruit Ltd. , Quin Organics, Tracs Farms Ltd. , TOFA (Traditional Organic Farmers Association), Wad African Foods Ltd, Yayra Glover Limited Characteristics of the organic fertiliser food market go forth Mainly from the domestic market Production Fresh fruits (mainly pineapple, bananas, watermelon), vegetables, palm oil, cocoa, cashews, culinary herbs, cereals, cotton, shea butter and etc.Distribution Just over 28% of the organic producers in Ghana export their production and the remaining 72% do not export their production, but possibly sell it domestically. With regards to exports, virtually all organic products (85% ) are exported to Europe. The data is taken from a survey16 made in 2009 among 688 producers, marketers and consumers. Consumption Worldwide sales of organic chocolate produced in Ghana increased to $304 million in 2005 from $171 million in 2002. However, the total market share of organic cocoa accounted for less than 0.5% of total cocoa production in the same period, possibly because conventional cocoa yields more(prenominal) and is more profitable than organic cocoa. When a conventional producer converts to organic production, there is an immediate yield loss. Organic cocoa production has an estimated 30% lower yield than inorganic production. Additionally, a producer must remain three years for the organic attestation that bequeath allow him or her to be compensated with an organic toll bountifulness. Therefore a equal and stable organic worth premium is needed.The current premium price of organic cocoa is far below the estimated premium needed to invite producers to swi tch to organic production. Information on yield loss and price premium trade-off is very important to cocoa producers to determine whether organic production is sufficiently profitable to be adopted. For manufacturers, the information indicates the price premium necessary to secure a reliable supply of organic cocoa. Opportunities and risks in the organic food market for DEGs clients There are not many opportunities for import of organic food, because the organic market in Ghana is still relatively undeveloped.However, there are opportunities for export of organic agriculture, because about 19,132 hectares of land are under organic cultivation, which accounts for 0. 13 % of the total plain area in Ghana (IFOAM & FiBL 2006). The risks are definitely big. Additional information Ghana has had little motion picture to the global economic recession and will continue on its growth path. It is experiencing significant growth in 2011 and 2012 overdue to the start of oil production. Macro economic stability and ongoing reforms have contributed to economic expansion, which is helping the country to raise incomes and reduce poverty.There has been limited exposure to the global financial crisis, as banks rely on domestic funding. causal agent examples n. a. 1 . http//www. ghanaembassy. org/index. php? page=population 2 . http//www. tradingeconomics. com/ghana/gdp 3 . http//www. tradingeconomics. com/ghana/gdp-growth 4 . http//www. indexmundi. com/ghana/gdp_per_capita_%28ppp%29. html 5 . http//www. tradingeconomics. com/ghana/inflation-cpi 6 . http//www. tradingeconomics. com/ghana/unemployment-rate 7 . http//www. indexmundi.com/ghana/gdp_composition_by_sector. html 8 .http//ageconsearch. umn. edu/bitstream/95955/2/54. %20Market%20potential%20for%20organic%20fruit%20in%20Ghana. pdf 9 . http//countries. bridgat. com/Ghana_Trade_Partners. html. UXRcpMo-mE0 10 . http//www. globalatlanta. com/article/25667/ghana-overview-of-economic-risks-rewards/ 11 . http//ageco nsearch. umn. edu/bitstream/95955/2/54. %20Market%20potential%20for%20organic%20fruit%20in%20Ghana. pdf 12 . http//www. intracen. org/exporters/organic-products/country-focus/Country-Profile-Ghana/ 13 .http//gh. tradeford. com/suppliers/organic-spices 14 . http//www. organic-bio. com/en/advanced-search2/? prgrp1=0&prgrp2=0&prgrp3=0&prgrp4=&name=&certification=0&city=&prodgrp1=0&country=63&prodgrp2=0ion=0&prodgrp3=0&phone=&contact=&service=0&fair=0 15 . http//www. intracen. org/exporters/organic-products/country-focus/Country-Profile- Ghana/ 16 . http//www. ifoam. org/about_ifoam/around_world/aosc_pages/pdf/Status-of-Organic-Agriculture-in-Ghana-Baseline-Survey-2009. pdf 17 . http//www3. ambest. com/ratings/cr/reports/Ghana. pdf.