Economics analysis of Seed Yam production in Aeroponic system
Implications on Employment and Food security in Ghana
The supply of seed yams for intensive yam production is hindered by many constraints, including diseases and pest infestations as well as the unavailability of quality planting material. The combination of tissue culture and aeroponics system is perceived to be the way towards clean and adequate supply of seed yam for enhanced yam production. However, the system is considered as expensive for any individual to implement. In order to encourage private sector to participate in this venture, the economic analysis determining the feasibility and viability of using aeroponics in seed yam production was performed. Using data from established tissue culture and aeroponics system in Ghana, the fixed cost and variable cost parameters as well as production costs were obtained. Results revealed that total cost of building aeroponics structure amounted to GH₵ 94,178.00 (USD 17,938.70). Annual cost of aeroponics structure was GH₵ 9,417.82 (USD 1,793.87). Annual total cost of production totalled GH₵ 204,391.75 (USD 38,931.61). Annual net revenue was GH₵ 75,888.00 (USD 14,454.86). Payback period was 15 months and benefit cost ratio was 1.4. Aeroponics system for seed yam production is therefore profitable since short period would be needed to recoup investment. For food security and creation of workplaces, government could partner with the private sector in the establishment of aeroponics systems to increase yam production and export.
Benefit-cost ratio, net revenue, payback period, private sector, tissue culture,
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