Temporal Price Trends for Selected Non-Tradable Staples in Northern Ghana: The Case of Major Cereal Foods

Abstract

Rising food prices undermine the real income of poor and vulnerable consumers, thus threatening their food security status. This study examines the pattern of price change for maize, millet and rice in the Northern Region of Ghana between 2000 and 2012. Average monthly price series for the selected food items in the region constituted the primary data used for the analysis. The study revealed that price of the items generally increased at a faster rate in the past two years than the preceding decade. On the average, price of millet increased by 257% and 544% in 2011 and 2012 respectively compared to 81% for the preceding decade. Similarly, price of local rice grew at about 425% and 381% in 2011 and 2012 respectively compared to an overall increase of 108% from 2000 to 2010. Although positive, the rate of growth in price for maize was relatively slower. While the average rate of growth from 2000 to 2010 was 38% that for 2011 and 2012 was just about 1.9% and 2% respectively. The case of maize appeared to be a reflection of a 5.2% yield improvement as well as 6% expansion of area planted to the crop during the period.

Key words: Staple, non-tradable, cereals