Covid-19 And Its Impact On The Profit Of Mango Value Chain Actors In Southern Ghana

Abstract

This study assessed COVID-19 and its impact on the profitability of mango value chain actors in southern Ghana. Specifically, the study sought to analyze the governance structure and linkages that exist in disseminating market information along the mango value chain, examined the determinants of marketing outlets used by the value chain actors (producers, distributors and processors), analysed the impact of COVID-19 pandemic on the profit of value chain actors and also analyzed the various factors constraining the mango value chain in Ghana. Data was collected with a well-structured questionnaire from 240 respondents consisting of 150 farmers, 60 distributors and 30 processors in Greater Accra, Eastern and Volta regions of Ghana. Panel data for 2019 and 2020 production season was obtained from these actors. Social Network Analysis (SNA), multinomial logistic regression, difference in difference and Kendall’s Coefficient of Concordance models were used to analyze the various specific objectives whilst using STATA 14 software. Retailers and FBOs were identified to be the most influential and prominent nodes respectively in disseminating market information within the value chain. FBOs were found to be the main bridging nodes in the network. Farm size, FBO membership, quantity produced, reliable customers and gender were found to be the key determinants of mango producers marketing outlet decisions. Ownership of transport, reliable customers, number of buyers and higher price were the key factors influencing the choice of marketing outlet by distributors. Mango processors are heavily influenced by higher prices and gender in choosing their marketing outlet. The outbreak of COVID-19 disease had a negative impact on the profit of mango producers and distributors while processors had positive impact of COVID-19 on their profit. The most pressing constraints confronting the mango producers, distributors and processors include incidence of pests and diseases, post-harvest losses and poor quality of mango fruit respectively. The study concluded that within the value chain retailers and FBOs are the major sources and receivers of market information respectively. Mango producers and distributors experienced a decline in their profit as a result of COVID-19 pandemic while processors profit increased during the COVID-19 pandemic. The study recommends that FBOs and retailers should be central and key stakeholders in policy development for the distribution of market information in the mango sector. Ministry of Food and Agriculture (MoFA) at the district level should encourage mango farmers to increase their farm size and join cooperatives, and distributors should be encouraged to own transport facility to aid in transportation of the fruits to maximize their profits during an exogenous situation like COVID-19 pandemic. MoFA together with Tree Crop Authority