Is rubber plantation profitable in Ghana Project Report

Yes, rubber tree farming is profitable in Ghana and farmers are already making good money by doing rubber tree cultivation in Ghana.

“Hevea Brasiliensis” is the binomial name for rubber trees and the tree is native to South America. If you are a Ghana resident then you might search is rubber tree farming profitable in Ghana? I would say yes. By the end of this post, you will be able to understand how rubber plantation is profitable if done with good farm management practices all these practices are shared here.  

Is rubber tree farming profitable in Ghana

Rubber trees belong to South America and rubber cultivation in America is easy in comparison to other countries due to suitable weather and climate conditions for rubber trees. People living in Ghana which is located in South Africa also prefers rubber plantation as their pension scheme due to the supportive climate conditions for growing rubber.

One can start rubber tree cultivation on 1 acre with 500 plants. Rubber tree gets ready for harvesting after 6 to 7 years. 

Rubber plantation contributes a major role in the economy of Ghana but there is a bit of difficulty with small farmers because they have to wait for 6 to 7 years at least. The other option they can apply for livelihood is mixed cropping with rubber trees because 6 years is not a small period. Rubber, Hevea Brasiliensis, is the first choice for rubber farmers worldwide due to its consistent growth even small and marginal farmers are also able to generate good income from 1-acre rubber plantations only. 

In case you missed it – Rubber Tree Yield Per Acre

Rubber tree plantation in Ghana

In the year 2017 (IRSG) the international rubber study group indicated the global consumption of natural rubber. According to IRSG, the consumption of natural rubber exceeded 12 million metric tons in the last three years. In humid and subhumid tropics the rubber sector has already played a significant role in the income of small and marginal farmers globally.

Despite large farmers, smallholders produce 80% of the natural rubber in the world. Rubber production in Ghana is a growing industry and in the last 3 decades, there have been varying technological changes in Ghana rubber production. Making a strategy to increase the production among smallholder rubber farmers in Ghana has been a challenge for policymakers and planners in climate-changing situations.

Whereas at the same time farmers are also getting the benefits of technological developments. Tree crops Development Authority Ghana(TCDA) was formed in 2019 to improve the production of 6 tree crops in Ghana. Important news for rubber farmers is that the rubber tree is also included in the list of 6 trees. 

Rubber tree intercropping

Rubber plant occupies one-fifth of the total area and the remaining space can be utilised by intercropping short-duration plants or annual plants. 6 years is a long duration so it is necessary to practice intercropping with rubber plantation. An example of intercropping with rubber plantation is; Rubber with food crop – Plantain (Mussa spp). Plantain is a crop that can be harvested the whole year. 

Smallholder farmers in Ghana practice intercrop with young rubber trees with shorter duration cash crops which helps them to increase their income. 

The rubber intercropping system has multiple benefits to the environment including biodiversity maintenance, retaining soil water capacity and it helps reducing carbon from the atmosphere.

Rubber farming project report Ghana

Rubber plantation cost per acre in Ghana 1 rubber plant cost = 5 Ghanaian Cedi Rubber plantation per acre = 500 plants  Planting material cost = 5 Ghanaian Cedi x 500 plants = 2500 Ghanaian Cedi Fertilizer and manure cost = 628 Ghanaian Cedi Labour cost = 1256 Ghanaian Cedi Land preparation cost = 1885 Ghanaian Cedi Spray and pesticide cost = 754 Ghanaian Cedi Bamboo fencing cost = 3141 Ghanaian Cedi Harvesting cost (latex collection) = 4398 Ghanaian Cedi  Latex processing cost = 1256 Ghanaian Cedi Miscellaneous cost = 628 Ghanaian Cedi Rubber plant cost per acre for 1 year = 16446 Ghanaian Cedi Let’s calculate the cost for 6 years  Reduce one-time investment i.e plant cost, harvesting cost and land preparation cost from the total cost.  Rubber cost for 6 years = 2500 GC + 1885 GC + 4398 GC – 16446  Rubber cost 6 years = 7663 Ghanaian Cedi  Now multiply the figure with 6 i.e 7663 x 6 years = 45978 Ghanaian Cedi Now add the excluded cost to get the total cost  Rubber tree cost per acre after 6 years = 45978 + plant cost 2500 + land preparation cost 1885 + harvesting cost 4398 = 54761 Ghanaian Cedi. Total cost per acre 6 years = 54761 Ghanaian Cedi Rubber tree yield per acre  Rubber plants per acre = 500 Average yield per rubber tree = 9.50 kg rubber yield per tree Rubber tree yield per acre = 500 rubber plants x 9.50 kg  Rubber yield per acre = 4750 kg Rubber price per kg = 7.54 Ghanaian Cedi Rubber tree profit per acre = 7.54 Ghanaian Cedi x 4750 kg = 35815 Ghanaian Cedi Net profit = Rubber tree farming profit per acre – Rubber tree cost per acre Net Profit =   35815 Ghanaian Cedi – 54761 Ghanaian Cedi = 18946 Net Profit = -18946 Ghanaian Cedi You may face the loss of 18946 in the 6th year but after the year you will generate more income due to the cost-cutting. Don’t forget to implement intercropping.

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