Comparative analysis of the profitability of major value-added activities along the pineapple value chain in Ghana

Abstract

The purpose of this study was to analyze the profitability for sampled pineapple farmers, processors, and marketers in Ghana which will help evaluate how these actors optimize available resources to generate profits and achieve production efficiencies. It employed the descriptive survey while the interview schedules were used as the instruments for the data collection. A sample size of 320, 66, and 169 pineapple farmers, processors, and marketers was obtained respectively. Empirically, it revealed that pineapple production and processing were profitable whereas marketing was not. It rejected the null hypothesis identifying no significant difference in the profit share of the group actors and concluded that the profit share of each actor along the pineapple value chain is different. That is revenue, capital, and planting materials were the determinants of farmers’ profit; capital, pineapple fruits, and packaging materials were the predictors of the processors’ profit, while transportation, revenue, and loading and off-loading costs predict the profit of the marketer. The study recommended, among others, that NGOs and other partner agencies promote the pineapple industry in various ways in hopes of decreasing the country's poverty by providing the actors with credit facilities that will enhance their productivity, profitability, and sustainability.