Ghana Neocolonisation Flashcards
When did Ghana gain independence from British colonial rule?
1957
What still stands in Ghana as a result of the colonial rule?
English official language there
School and hospital benefits
What negatives did the British colonial rule have?
Best paid managerial jobs held by Britain
Ghana’s crops/minerals exported to Britain raw and Britain added value and processed receiving profits
Ghana still depend on wealthy for decisions
Who controls the price of Ghana’s cocoa?
Commodity traders, overseas tariffs & WTO
How do commodity traders control the price?
Buyers trade in the futures market to get the best prices and guarantee supplies
Downward pressure on prices as consumers will go to Ivory Coast if Ghana’s prices are too high
Unstable prices means workers get irregular incomes and therefore there are uncertain government tax returns
Ivory Coast, Ghana & Nigeria destroyed part of cocoa crop to reduce supply and force up global price
How do overseas tariffs control the price?
High EU tariffs for processed goods so forces Ghana to export raw which they get less profit for
If Ghana could add value it would boost their economy
How do the WTO control the price?
Stopped Ghanaian gov. subsidising farmers who then find it hard to compete with heavily subsidised imports of foreign food meaning they struggle to grow and supply food for Ghana’s growing cities
Ghana joined WTO to help increase global trade initially
How are other farmers affected? (no just cocoa)
In the Upper East District the tomato farmers can’t sell as they can’t compete with EU cheap tomatoes so canning factories are closed.
Same for rice growers and Ecuador banana wars.
What has Ghana done now?
Farmers have joined cooperatives - Kuapa Kokoo
Joined UK company creating Day Chocolate Company
Make ‘divine’ chocolate which are a UK Fairtrade brans
What does Kuapa Kokoo do?
Means ‘good cocoa farmers’
Produce 1% of global crop
Profits paid for improved drinking water and health insurance
Pays farmers more per bag than Europe’s Fairtrade
Involves 40,000 members in 650 villages
What are the challenges of growing cocoa?
Low yields as grown by smallholders
Prone to pests and disease
Takes 8 yrs for plants to produce pods and mature
RUM means less and less farmers
Ghana can’t market their own as Western Europe & N American consumers react badly to foreign unrecognisable brands
Who are the most important markets for cocoa?
Western Europe & N America
