Page 62 - AFAP Success Stories 2020

improve farmers’ standards of living, and also increase employment. Laudable as it may seem, it has not been
fully adopted by smallholder farmers, the majority of whom prefer to sell the raw produce to retailers rather
than add value to it. For example in the rural areas of Ghana, most cassava growers would rather grow their
produce and sell it to retailers or allow it to rot on their farmlands than add value to it by turning the cassava
into chips or “gari”.

The effect of COVID-19 on agriculture, might equally affect food processors who may not be able to access
the raw materials needed for production. It is estimated that the constant demand, yet reduced supply of raw
materials will automatically cause an increase in prices of goods i.e. food. Food processors might lay off their
workers in order to reduce their production costs and small-scale processors might end up shutting completely.

Inevitably, a rise in urban unemployment could lead to workers emigrating to rural areas. Farmers who are
usually encouraged to mechanise their agricultural practices in order to boost productivity will rather prefer
employing cheap emigrating labour from the urban areas. This may drastically impact on technology adoption
among rural farmers and possibly agricultural productivity.

As the number of COVID-19 cases keeps increasing, the continuous functioning of the food supply chain in the
country is key. As such, there is a need to put strategies in place to safeguard the economy against a possible
food crisis.

Access to market and impact on food pricing
Most markets throughout the country still remain closed or are compelled to practice social distancing. Traders
are currently given tags indicating the days they are supposed to sell at the markets. While decongestion of the
markets is necessary to curb the spread of the virus, these measures are, however, affecting the prices of most
food items. Decongestion and market closures have led to a shortage of some food items in some areas and as
the law of supply and demand dictates, with constant and unchanging demand for a limited supply, prices of
goods will increase in response.

Despite the fact that it is still too early to determine the overall impact of the pandemic on food prices, interactions
and field visits indicate that there have been increases in prices on some food items and agricultural inputs.
These were largely associated with the shortage of such items as a result of the strict measures put in place
by Government. For instance, farmers in the Bono region of Ghana lamented about how they had difficulties
accessing inputs for their farms, and in such instances that inputs were available, they had to purchase them
at higher prices.

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