Global GAP Standard Compliance and Profitability: A Case Study of Smallholder Pineapple Farmers in Akuapem South of Ghana

Abstract

The present study examined the perception of smallholder pineapple farmers on Global GAP standard compliance, assessed compliant farmers’ rate of adherence to standard requirements, and compared the average farm profit of Global GAP compliant and non-compliant pineapple farmers in Akuapem South Municipal Area of Ghana. The study used mainly farm level data solicited from 150 randomly selected pineapple farmers. Findings of the study indicated that compliant farmers perceived Global GAP to offer market premium on certified products as it is the case for organic certification. Factors that accounted for farmer non-compliance with Global GAP included: high cost of standard compliance, uncompetitive farm gate price and low farm yield.  Although average farm profit of Global GAP compliant farmer (GH¢9,083.64) was higher than that of non-compliant farmer (GH¢8,893.62), the difference was insignificant. The study recommended, among others, that a concerted attempt should be made by the Government of Ghana and the private sector to create a national commodity exchange institution that will seek to provide a transparent and efficient marketing system for Ghana’s key agricultural commodities.