Factors that affect development of organic tomato value chain in Ghana

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Organic agriculture is becoming a growing trend globally. Due to concerns for health and the environment, many consumers in some countries are shifting their consumption to organic products. As at 2017, the global market for organic farming stood at USD 97 billion (Willer & Lernoud, 2019). This market is however hugely concentrated in the developed countries, with African countries such as Ghana contributing very little. Due to the absence of support, the organic sector in Ghana, has lags in its development. This study therefore tries to delve deeper into the factors that affect the development of the organic value chain in Ghana (with focus on tomatoes) and explore how the value chain can be developed. The study gathered primary data through interviews from farmers, retailers, distributors and consumers. Using qualitative analysis of the data collected, it was found that the organic tomato value chain in Ghana is weak in its input supply, marketing and supporting services. The study further that the actors have various needs that affect their proper functioning in the chain. The farmers needed access to proper infrastructure, and affordable input supply and affordable certification; the retailers and distributors needed logistics, more production and a well-developed market and finally, consumers needed accessible, consistent supply and lower prices for the produce.The study recommended government subsides, education of consumers, and group certification for bridging some of the gaps in the chain. It also recommended that new firms should enter the sector to provide some of the services that are missing in the chain.
Undergraduate thesis submitted to the Department of Business Administration, Ashesi University, in partial fulfillment of Bachelor of Science degree in Business Administration, May 2020
organic agriculture, tomato production, value chain, organic certification, producers, consumers