Fresh or dry maize or both: Which is most economical and preferred by farmers?

• Published in: Journal of agriculture and food research 2024-06, Vol.16, p.101158, Article 101158
• Main Authors: Wongnaa, Camillus Abawiera, Apike, Isaac Akurugu, Aryee, Marvel Astonish, Hagan, Margaret Aba Sam, Awunyo-Vitor, Dadson
• Format: Article
• Language: English
• Subjects: D24; Diversification; Gross profit; Maize profitability; Multinomial logit; O13; Q12; Q13; Rural livelihood; Sustainable livelihood
• ISSN: 2666-1543; 2666-1543
• DOI: 10.1016/j.jafr.2024.101158

As a staple crop of great importance in sub-Saharan Africa, maize is essential for the production of food for humans and animals, particularly in the raising of poultry and livestock. Smallholder farmers in Ghana are the main producers of maize, and they frequently have difficulties in turning their crop into a sustainable source of income. As a result, there is an increasing need for these farmers to look into other options such as switching from traditional dry maize production to growing fresh maize. This circumstance calls for a critical analysis to ascertain whether producing for fresh or dry maize markets yields higher profitability. Therefore, the main objective of this study is to estimate the profitability of Ghana's fresh and dry maize markets, examine the factors influencing farmers' market choices as well as rank the production constraints. Data was collected from 390 maize farmers using questionnaires. Gross margin analysis, multinomial logit regression and Kendall's Coefficient of Concordance, were the methods of analysis. According to the study, fresh maize yields a profit of 78.00 pesewas for every GH¢ 1.00 invested, both alternatives generate 71.00 pesewas, and dry maize yields 67.00 pesewas. This implies that even though all three businesses are profitable, fresh maize cultivation stands out as the most lucrative. The results of the multinomial logit regression analysis showed that the choice of maize production systems is influenced by socioeconomic characteristics, farming experience, and loan availability. The Kendall's Coefficient of Concordance analysis confirms consensus on constraints, with lack of finance, pest issues, poor roads, and low maize prices as key challenges. According to the report, farmers may increase their profits by diversifying their crops to include the fresh maize market. Additionally, the government could assist these farmers by making financing more accessible to them through collaborations with financial institutions and specially designed agricultural loan programs. [Display omitted] •Fresh maize farming is the most profitable even though alternatives are also profitable.•Credit, socio-economic attributes, and farming experience influence choice of maize production systems.•Lack of finance, pest issues, poor roads, and low maize prices were the identified key challenges.•Diversifying production towards the fresh maize market is a lucrative strategy for maize farmers•Government should support maize farmers by