Dynamics of the poultry market in Ghana

Abstract

This paper examines the dynamics of the poultry market in Ghana using secondary data and a field study in four regions including Greater Accra region, Western region, Ashanti region, and Northern region. Secondary data on prices, per capita consumption, import, and export quantities was obtained from the Food and Agriculture Organization (FAO) and the Ministry of Food and Agriculture (MoFA). Primary data on shopping malls, supermarkets, cold stores, and open markets as well as on imported and local chicken meat prices and brands was also obtained using surveys and focus group discussions. The study employs trend and content analyses to highlight specific imported products, their origins, drivers, and the potential of domestic poultry as a substitute for imported chicken meat. The paper confirms that Ghana imports about 80% of its poultry meat, mostly in the form of branded cut parts (thighs, wings, legs, back, and offal) from high-income countries including Belgium, the US, Brazil, Poland, and the Netherlands. Despite a 35% increase in tariffs, imported poultry meat tends to be 27-30% cheaper than locally produced chicken. The findings further show that although there is some preference for domestic poultry meat, this does not translate into purchase decisions, as people prefer more convenient and ready-to-use products. The paper recommends the prioritization of policies to boost local production through investments in processing (cut parts), branded packaging, and marketing facilities such as cold vans. Furthermore, policies to reduce chicken meat import volumes may be focused on other non-tariff measures such as licenses, allotments, trade embargoes, foreign exchange restrictions, and import depositories.