IDEAS home Printed from https://ideas.repec.org/a/taf/oaefxx/v10y2022i1p2085605.html
   My bibliography  Save this article

Rice price volatility and transmission: implications for food security in Ghana

Author

Listed:
  • Edward Ebo Onumah
  • Prince Addey Owusu
  • Akwasi Mensah-Bonsu
  • Henry Acquah Degraft

Abstract

This paper examines price volatility and transmission of rice markets in Ghana and draws implications for food security. Using monthly rice price data from 2013 to 2019, the paper uses the Autoregressive Distributed Lag (ARDL) with an Error Correction Model (ECM) to ascertain the availability and accessibility of rice, whilst the Generalized Autoregressive Conditional Heteroskedasticity (GARCH) model is considered to measure the stability of the commodity. The paper finds evidence of cointegration between the World and Ghana’s rice market. Findings confirm cointegration in Ghana’s regional markets for both imported and domestically produced rice. This ensures stable long-run relationship, allowing trade flows that guarantees rice availability. The corrections in short-run deviations of price ensure continuous accessibility of rice in the country. Estimates from the volatility model suggest high fluctuation in prices, implying that stability in the prices of rice is an issue across all regional markets. The paper recommends efforts in increasing domestic production to enhance availability and accessibility of rice. Stakeholders along the rice value chain should be encouraged to invest in competitive rice production. Government should leverage rice prices with giant import countries to reduce the cost of importation for stable price on the market.

Suggested Citation

  • Edward Ebo Onumah & Prince Addey Owusu & Akwasi Mensah-Bonsu & Henry Acquah Degraft, 2022. "Rice price volatility and transmission: implications for food security in Ghana," Cogent Economics & Finance, Taylor & Francis Journals, vol. 10(1), pages 2085605-208, December.
  • Handle: RePEc:taf:oaefxx:v:10:y:2022:i:1:p:2085605
    DOI: 10.1080/23322039.2022.2085605
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/23322039.2022.2085605
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/23322039.2022.2085605?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Alam, Mahim & Kabir, Janesar & Rajia, Sultana & Sen, Topon, 2023. "Unveiling the Tapestry of Rice Market in Bangladesh," MPRA Paper 121993, University Library of Munich, Germany.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:oaefxx:v:10:y:2022:i:1:p:2085605. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/OAEF20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.