This study aimed at analyzing the benefits, cost and constraints of production of quality Shea butter in relation to production methods amongst processors in Tamale Metropolis. Specifically, it was to assess cost-benefits of production of quality butter. Secondly, to determine the factors that influences marketable quality butter. Lastly, to analyze the constraints to the production of quality marketable Shea butter. The study was conducted in 4 communities in Tamale Metropolis because these are the communities with abundant shea butter processors. A total of 80 respondents were interviewed with 20 respondents being selected from each of the communities using snowball sampling. The average costs, average revenues and profits were calculated on yearly basis. The study revealed that averagely individual processes 3 bags (90kg each) of Shea nuts in a week and this yield 3 units of shea butter which weighs 25kg each. This yields an average of 75kgs of Shea butter selling at an average price of GHc73. A processor has an average total cost of GHc8609 per year, average total revenue of GHc10512 per year and the profit yielded is GH1622.8 per year. This gave a benefit cost ratio of 1.2:1 which implied that producing quality butter was profitable. Probit model was used analyze the factors influencing the quality of Shea butter. Out of the seven (7) estimated coefficients number of years in processing, improvement in technology and orderly processing procedures significantly explains the likelihood that a respondent produces quality Shea butter. The study also revealed that the major problems encountered by processors were; lack of capital to purchase enough nuts and expand production, unstable markets, high prices of nuts, dangers associated with picking nuts from the bush, shortage of water in lean season. The results of the Kendall‟s coefficient of concordance revealed fair level of agreement (40%) among respondents. On recommendation, Shea board should be rejuvenated to function effectively.
Table of Contents
1. INTRODUCTION
1.1 Background
1.2 Problem Statement
1.3 Research Questions
1.4 Objectives of the study
1.4.1 Specific Objectives
1.5 Justification
1.6 Limitations of the Study
1.7 Organization of the Study
2. LITERATURE REVIEW
2.1 History of Shea Trees
2.2 Description of the Shea Industry
2.3 Investing into Shea Butter processing
2.4 Shea butter Extraction
2.5 Utilization of Shea butter
2.6 Types of Shea Butter Processing Technologies
2.6.1 Manual Traditional System of Production
2.6.2 Semi-Mechanized System of Production
2.6.3 Fully Mechanized System of Production
2.7 Quality Standards in Shea Butter Industry
2.8 Uses of Shea butter
2.8.1 Traditional use of Shea in Africa
2.8.2 Uses of Shea butter in the international market
2.9 Shea Butter Marketing
2.9.1 Traditional Market for Shea Butter
2.9.2 International Market for Shea Butter
2.10 Financing of Shea Butter Production and Marketing
2.11 Sources of Finance
2.11.1 SEKAF Ghana Limited Model
2.11.2 Savannah Fruits Company Model
2.12 Potentials of Ghana’s Shea Butter Industry
2.13 Contribution of Shea Butter Industry to Development in Ghana
2.14 Financial income from Shea nut as a means of poverty reduction
2.15 Government of Ghana’s Involvement in the Shea Industry
2.16 The Involvement of NGO’s in the Shea Butter Industry in Ghana
2.17 Factors Militating against Shea Industry
2.18 Shea Butter Processing Constraints
3. RESEARCH METHODOLOGY
3.1 Study Area
3.1.1 Climate
3.2 Data Collection Methods
3.2.1 Population
3.2.2 Sampling and Sampling Procedure
3.2.3 Sources of Data
3.2.4 Methods of Data Analysis
3.2.4 Analytical Frameworks
4. RESULTS AND DISCUSSIONS
4.1 Introduction
4.2 Socio Economic Characteristics
4.2.1 Age of respondents
4.2.2 Number of years in production
4.3 Consistency in quality production
4.4: Ensuring Consistency in production
4.5 Market destination of Shea butter
4.6 Traceability
4.6.1 Ensuring Traceability
4.7 Changes in Technology
4.8 Shea butter Extraction among respondents
4.9 Estimation of cost of production
4.9.1 BENEFIT COST ANALYSIS
4.9.2 Net income of Shea butter extractors per year
4.9.3 Net income/Month
4.10 Defining significant variables that influence quality butter
4.10.1 Quality Shea butter
4.10.2 Specifications on Quality Requirements
4.10.3 Improved Technology
4.10.4 Processing techniques
4.10.5 Analysis of Factors that influence Marketable Quality Butter
4.11 Analyzing and Ranking Major Constraints Shea Butter Processors Face.
4.11.1 Rank agreement testing among respondents
4.11.2 Computation of ranks.
5. CONCLUSION AND RECOMMENDATION
5.1 Conclusion
5.2 Recommendations
Research Objectives and Themes
This study focuses on analyzing the economic benefits, costs, and constraints associated with producing quality Shea butter among processors in the Tamale Metropolis. It aims to determine the viability of Shea butter production, identify critical factors influencing its quality, and evaluate the challenges faced by local producers.
- Economic assessment of Shea butter production and profit analysis.
- Evaluation of factors influencing marketable Shea butter quality.
- Identification of production and processing constraints.
- Impact of technological improvements on processing and quality outcomes.
- Analysis of the role of financing and support systems in the Shea industry.
Excerpt from the Book
2.4 Shea butter Extraction
The fresh fruits collected should be processed within 2 to 3 days to avoid germination. The steps involved in the processing of fresh fruits to obtain the dry kernels (usually called Shea nut) are as follows: de-pulping, par-boiling, sun-drying and cracking of the nuts. Shea butter is extracted from the dry Shea nut primarily by individuals on a small scale using a traditional method that varies slightly in detail and has been described by Irvine’s study (cited by Yidana, 2004). The method generally consists of the following steps: crushing of the nuts, roasting the pieces in a hot pan, milling the pieces, kneading the milled mass in water to extract the crude fat and boiling the crude extract to obtain purified Shea butter. The dry Shea nut are crushed by placing one or two nuts at a time on a hard surface such as flat stone or concrete floor and hitting them once or twice with a specially prepared wooden pestle.
100kg of Shea nut can be crushed in this way by adult person per man-day. Roasting the pieces after crushing is effected by placing them on clay pots (specially prepared Swiss ovens) and heating until the kernels shine with oil, turn brown and begin to split. Well dried nuts require heating for 40-60 minutes with regular stirring to prevent broken kernels from charring. Irvine’s study (cited by Yidana, 2004) shows that the kernels may be roasted before crushing. The roasted pieces are milled by machine. The milled mass is added to cold or hot water in calabashes or pots and kneaded until it is too thick to work. More water is added and the kneading continues until a grey –coloured spongy dough or a curd-like crude fat is obtained. This is then added a little at a time to large pots filled with cold water and the dough thoroughly worked with the fingers until the fat rises to the surface of the water. This crude butter is removed and washed. It is refined by boiling in pots of hot water for about 2 hours while stirring only the top part of the boiling mixture.
Summary of Chapters
CHAPTER ONE: Provides the research background, defines the problem statement, establishes research questions, outlines objectives, and details the study's justification, limitations, and organization.
CHAPTER TWO: Conducts a comprehensive literature review on the Shea industry, including its history, production technologies, quality standards, market dynamics, financing, and the role of stakeholders.
CHAPTER THREE: Describes the methodology, focusing on the study area, data collection techniques, population selection, sampling procedures, data sources, and analytical frameworks used.
CHAPTER FOUR: Presents the results of the study, covering socio-economic characteristics of respondents, production costs, quality factors, and the analysis/ranking of processing constraints.
CHAPTER FIVE: Concludes the study by summarizing findings and providing recommendations for enhancing the profitability and development of the Shea butter industry in Ghana.
Keywords
Shea butter, Tamale Metropolis, Shea nut processing, Benefit-Cost analysis, Probit model, Quality standards, Extraction technology, Socio-economic characteristics, Traceability, Poverty reduction, Market constraints, Ghana agriculture, Traditional production, Semi-mechanized system, Kendall’s coefficient of concordance
Frequently Asked Questions
What is the primary focus of this research?
The research primarily investigates the economic viability, costs, and constraints of producing quality Shea butter among processors in the Tamale Metropolis of Ghana.
What are the central themes discussed in the study?
The central themes include the traditional vs. improved production methods, economic profitability (benefit-cost analysis), factors influencing butter quality, and identification of major industry constraints.
What is the main objective of the study?
The main objective is to assess the benefits, costs, and constraints of quality Shea butter production to help improve the livelihoods of women processors in the study area.
Which scientific methods are applied in this work?
The study utilizes both qualitative and quantitative techniques, including Benefit-Cost analysis to assess profitability and a Probit model to identify variables influencing quality. Kendall’s coefficient of concordance is used to rank constraints.
What topics are covered in the main body of the work?
The main body covers the extraction processes, quality standards, technological shifts, financial management, and a detailed socio-economic analysis of the Shea butter processors.
How is this research characterized by its keywords?
The work is characterized by its focus on Shea butter, economic modeling (Probit, B.C.R), the specific regional context of Tamale, and the socio-economic impact on rural women's livelihoods.
How does the transition to semi-mechanized technology impact production?
The transition significantly reduces the drudgery associated with manual methods, increases extraction efficiency from approximately 20-31% to 35-50%, and improves the overall quality of the Shea butter produced.
What are the primary constraints identified by the processors?
The primary constraints include a lack of capital to purchase nuts and expand production, unstable market conditions, high prices of nuts, and various risks associated with harvesting.
- Citar trabajo
- Isaac Ampem (Autor), Peter Fadamulla (Autor), 2014, Benefit cost analysis of producing Shea butter, Múnich, GRIN Verlag, https://www.grin.com/document/288669
