Ahead of Ghana’s 2024 major mango season, the government has established a minimum purchase price of GH¢4 per kilogram.
This decision, aimed at supporting mango farmers, follows a collaborative effort led by the Tree Crop Development Authority (TCDA), in partnership with the Federation of Association of Ghanaian Exporters (FAGE) and the Mango Association of Ghana.
The minimum floor price model is intricately linked to the US Dollar and is influenced by international commodity market prices, serving to mitigate risks associated with currency fluctuations.
This approach ensures stability and equity in mango pricing for farmers across Ghana.
According to the TCDA, the pricing mechanism considers several factors, including the Free on Board (FOB) average international mango price per kilogram, adjusted alongside the Bank of Ghana’s US Dollar exchange rate.
Additionally, factors such as estimated production costs per acre, anticipated mango yields, and a markup aimed at benefiting farmers are all integral in determining the minimum price.
Setting a minimum price for mangoes aims to provide farmers with a dependable income, safeguarding their livelihoods and promoting sustainable cultivation practices.
By ensuring a fair return for their harvests, the initiative seeks to enhance the mango sector’s contribution to Ghana’s agricultural economy.
Farmers, exporters, and stakeholders in the mango industry have embraced the initiative, viewing it as a positive step towards boosting agricultural productivity and market competitiveness.
“This achievement demonstrates our collective efforts to promote sustainable agricultural practices and ensure fair returns for our hardworking farmers and all the other actors within the mango value chain in the country.”
“This initiative is not just about setting prices, it’s about supporting our farmers, ensuring they receive fair compensation for their handwork, and giving information to the buyers and processors to plan their business, to foster a sustainable and prosperous agricultural sector”, Deputy Food and Agriculture Minister, Yaw Frimpong Addo said.