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Savannah Accelerated Development Authority

                           SADA
(A Sustainable Development Initiative for the Northern Savannah)




                     Strategy and Work plan
                               (2010 – 2030)




   MAIN DOCUMENT

                            Revised December 2010




        Funding for this effort was generously provided by DfID-Ghana
TABLE OF CONTENTS
ACRONYMS ................................................................................................................................... VI
EXECUTIVE SUMMARY ............................................................................................................ IX
PART 1 ............................................................................................................................................... 1

STRATEGIC DIRECTIONS FOR SUSTAINABLE DEVELOPMENT OF THE
NORTHERN SAVANNAH............................................................................................................... 1
CHAPTER ONE ................................................................................................................................ 1
INTRODUCTION AND SITUATION ANALYSIS ....................................................................... 1
   1.1 Poverty in Northern Ghana ........................................................................................................ 1
   1.2 The Situation Analysis ............................................................................................................... 4
   1.2.1 Natural Resource Base ......................................................................................................................................... 4
   Agriculture ..................................................................................................................................................................... 4
   1.2.2 Water Resources ................................................................................................................................................... 9
   1.2.3 Mineral Resources .............................................................................................................................................. 11
   1.2.4 Energy................................................................................................................................................................. 12
   1.3 Private Sector Development .................................................................................................... 12
   1.3.1 The Investment Climate ...................................................................................................................................... 12
   1.3.2 Industrial and Manufacturing Activities ............................................................................................................. 13
   1.3.3 Tourism ............................................................................................................................................................... 13
   1.4 Human Resource Development ............................................................................................... 14
   1.4.1 Education ............................................................................................................................................................ 14
   1.4.2 Health ................................................................................................................................................................. 16
   1.5 Risks and Vulnerability ........................................................................................................... 17
   1.5.2 Trans-Border Health Risks and Vulnerabilities ................................................................................................. 19
   1.5.3 Risks associated with inadequate development of housing infrastructure .......................................................... 19
   1.5.4 Human-induced Shocks, Cycles and Trends ....................................................................................................... 20
   1.5.5 Limited investment in agricultural infrastructure ............................................................................................... 20
   1.5.6 Risks associated with inadequate development of housing infrastru .................................................................. 21
CHAPTER TWO ............................................................................................................................. 22
STRATEGIC DIRECTIONS FOR SUSTAINALBE DEVELOPMENT OF NORTHERN
SAVANNAH ..................................................................................................................................... 22
   2.1 Overview and Framework ....................................................................................................... 22
   2.1.1 Introduction ........................................................................................................................................................ 22
   2.1.2 Components ........................................................................................................................................................ 22
   2.2 Northern Savannah Development Strategy ............................................................................. 23
   2.3 Overall Framework .................................................................................................................. 24
   2.3.1 Advantages ......................................................................................................................................................... 26
   2.3.2 Disadvantages .................................................................................................................................................... 26
   2.4 Rehabilitation and Adaptation ................................................................................................. 28
CHAPTER THREE ......................................................................................................................... 30
MODERNIZATION OF AGRICULTURE .................................................................................. 30
   3.1 Strategic Direction for Modernising Agriculture in Northern Ghana ..................................... 30
   3.2 Entry points of the strategy ...................................................................................................... 31

                                                                                                                                                                                    i
3.3 Preconditions for modernisation .............................................................................................. 32
   3.3.1 Paradigm shifts ................................................................................................................................................... 33
   3.3.2 Build assets of the poor ...................................................................................................................................... 34
   3.3.3 Increase productivity of all stakeholders along the value chain......................................................................... 35
   3.3.4 Competitiveness in Access to Markets ................................................................................................................ 37
   3.3.5 Promoting Commodities of Competitive Advantages ......................................................................................... 40
        Rice ........................................................................................................................................ 40
        Other Staple crops ................................................................................................................. 41
        Tree Crops (Mango and others) ............................................................................................ 41
        Integration of crop and small ruminant livestock.................................................................. 42
        Guinea Fowl development ..................................................................................................... 42
   3.4 Instruments for Delivering Agriculture Modernisation Strategies .......................................... 43
   3.4.1 Relations with Public Sector ............................................................................................................................... 43
   3.4.2 Legal and regulatory framework for agriculture modernisation strategy .......................................................... 43
CHAPTER FOUR ........................................................................................................................... 44
NON-FARM INVESTMENT AND BUSINESS (PRIVATE SECTOR) DEVELOPMENT .... 44
   4.0 Strategic Objectives ................................................................................................................. 44
   4.1 Repositioning Northern Ghana as Common Economic Zone in Savannah/Sahel ................... 44
   4.1.1 Proposed Strategies for Promoting the North as a Competitive Economic Zone ............................................... 46
   4.2 Expanding the Scope and Numbers of Private Firms/Investments in the North ..................... 49
   4.2.1 Value Added Agriculture .................................................................................................................................... 49
            High value fresh produce sub sector...................................................................................... 50
            Canned products .................................................................................................................... 50
            Rice Milling ........................................................................................................................... 51
            Textiles .................................................................................................................................. 51
            Oil Seed ................................................................................................................................. 52
   4.2.2 Tourism ............................................................................................................................................................... 52
   4.2.3 Mineral Exploration and Exploitation ................................................................................................................ 54
   4.2.4 Metal Manufacturing and Fabrication ............................................................................................................... 54
   4.2.5 Transport and Logistics Management ................................................................................................................ 54
   4.2.6 Knowledge Services ............................................................................................................................................ 55
   4.2.7 Life Sciences ....................................................................................................................................................... 55
   4.3 Empowering the People to participate in the “New” Economy .............................................. 56
   4.3.1 Human Resource and Business Skills Development ........................................................................................... 56
   4.3.2 Indigenous MSE Development ............................................................................................................................ 57
   4.3.3 Financial, Fiscal and Regulatory Incentives ...................................................................................................... 58
   4.4 Immediate and Short-Term Implementation Steps .................................................................. 58
CHAPTER FIVE ............................................................................................................................. 60
BUILDING CAPACITIES FOR RESILIENCE AND DISASTER RISK REDUCTION IN A
FORESTED NORTH ...................................................................................................................... 60
   5.1: Introduction ............................................................................................................................ 60
   5.1.1 The Context of Vulnerability ............................................................................................................................... 60
   5.1.2: Implications of the context for the creation of a forested north ........................................................................ 60
   5.2: Providing a Framework for Disaster Preparedness and Response ......................................... 61
   5.2.1: Improving Early Warning and Disaster Risk Recognition ................................................................................ 61
   5.2.2: Institutionalizing More Effective Disaster Relief Response Mechanisms.......................................................... 61
   5.2.3: Building of strategic funding mechanism for disaster response ........................................................................ 61
   5.3 Improving Disaster Risk Reduction and Response Capacities ................................................ 63
   5.3.1: Promote Agricultural Sector Risk Reduction .................................................................................................... 63
   5.3.2: Promoting Appropriate Housing and Infrastructure Development ................................................................... 63
   5.4 Sustaining Improved Housing and Shelter Development ........................................................ 65

                                                                                                                                                                                ii
5.4.1: Stimulate the set up of rural housing development enterprises ......................................................................... 65
   5.4.2: Support Access to Business Development Services ........................................................................................... 66
   5.4.3: Facilitate Access to Financial Services for Housing Schemes .......................................................................... 66
   5.4.4: Upgrade Technical Skills of Artisans ................................................................................................................ 66
   5.4.5: Support research on housing development........................................................................................................ 66
   5.5 Improving Water Resource Management for Sustainable Development ................................ 66
   5.6 Sustainable Livelihoods and Enhanced Disaster Risk Reduction ........................................... 68
   5.6.1: Enhancing Food and Livelihood Securities....................................................................................................... 68
   5.6.2: Rebuilding Social Safety Nets for the Vulnerable ............................................................................................. 69
   5.6.3: Assuring Human Safety and Security ................................................................................................................ 69
CHAPTER SIX ................................................................................................................................ 71
FOOD, LIVELIHOOD SECURITY AND SOCIAL PROTECTION ........................................ 71
   6.1 Protecting Vulnerable Populations .......................................................................................... 71
   6.1.1 Upholding the Rights and Entitlement of the poor to basic needs ...................................................................... 71
   ii).   Quick Launch Community Resilience and Livelihoods Rebuilding Initiatives ................ 72
   iii).  Increasing the Availability of and Access to Food and Water .......................................... 72
   6.2 Building the Foundations for Economic Growth through Food Security for All .................... 73
   6.2.1 Increasing access to food.................................................................................................................................... 73
   6.2.2 Improving food utilization and healthy lifestyles ................................................................................................ 74
   6.3 Transitioning the Poor into mainstream productive economy................................................. 74
   6.3.1 Supporting Risk minimization strategies ............................................................................................................ 74
   6.3.2 Asset accumulation, diversification and improved management ........................................................................ 75
PART II ............................................................................................................................................ 77
ENHANCING THE PRE-CONDITIONS FOR SUSTAINABLE DEVELOPMENT IN
NORTHERN GHANA .................................................................................................................... 77
CHAPTER SEVEN ......................................................................................................................... 77

STRATEGIC INFRASTRUCTURE DEVELOPMENT ............................................................. 77
   7.0: Introduction ............................................................................................................................ 77
   7.1 Transport Infrastructure ........................................................................................................... 77
   7.1.1 Objective 1: Positioning the North as a Competitive Economic Zone ................................................................ 77
   7.1.2 Objective 2: Opening Up and Facilitating Economic Activities ......................................................................... 79
   7.1.3 Objective 3: Facilitating Trade between the North and South ........................................................................... 81
   7.1.4 Special Production Zones ................................................................................................................................... 82
   7.2 Human and Environmental Interactions in Northern Ghana ................................................... 82
   7.2.1 Development Programme for the Upper West Region........................................................................................ 83
   7.2.2 Development Programme for the Upper East Region ........................................................................................ 84
   7.2.3 Development Programme for the Northern Region ............................................................................................ 84
   7.3 Energy Production and Use in the North ................................................................................. 85
   7.3.1 Strategic Objective 1 .......................................................................................................................................... 85
   7.3.2 Renewable Energy — Policy Objectives ............................................................................................................. 86
   7.3.3 Petroleum — Policy Objectives .......................................................................................................................... 86
   7.3.4 Electricity — Policy Objectives .......................................................................................................................... 87
   7.3.5 Energy Efficiency and Conservation – Policy Objectives and Strategy ............................................................. 87
   7.3.6 Strategic Objective 2 .......................................................................................................................................... 87




                                                                                                                                                                        iii
CHAPTER EIGHT .......................................................................................................................... 88
EDUCATION AND HEALTH FOR HUMAN CAPITAL DEVELOPMENT .......................... 88
   8.1 Education and Health Strategies .............................................................................................. 88
   8.1.1 Promoting High Quality Human Resource Development ................................................................................... 88
   8.1.2 Changing the Composition of Education ............................................................................................................ 89
   8.1.3 Improving Health and Well-being of Northerners .............................................................................................. 89
CHAPTER NINE ............................................................................................................................. 92
PEACE AND SECURITY .............................................................................................................. 92
   9.1 Assuring Human Safety and Security ...................................................................................... 92
   9.2 Strategies for Peace-Building and Conflict Mitigation ........................................................... 92
   9.2.1 From Security to Peace-building ........................................................................................................................ 93
   9.2.2 From Emergency Response to Early Warning.................................................................................................... 93
   9.2.3 Strengthening Traditional Leadership ................................................................................................................ 94
   9.2.4 From Short-Term to Long-Term — Reaping Peace Dividends .......................................................................... 94
CHAPTER TEN............................................................................................................................... 95
MAINSTREAMING GENDER IN THE NORTHERN DEVELOPMENT INITIATIVE ...... 95
   10.1 Introduction and Background ................................................................................................ 95
   10.2 Broad Objectives on Gender.................................................................................................. 95
   10.2.1 Objective One: Improve Technology and create value-addition in Women’s Activities................................... 95
   10.2.2 Objective 2: Increase Women’s participation in and benefits from the process of economic development ..... 96
   10.2.3 Objective 3: Identify potential new areas of economic activities for women .................................................... 96
   10.2.4 Engendering the Northern Savannah Development Initiative .......................................................................... 96
PART III ........................................................................................................................................... 97
GOVERNANCE, INSTITUTIONAL ARRANGEMENTS, FINANCIAL MANAGEMENT,
STRATEGIC RESULTS, MONITORING & EVALUATION................................................... 97
CHAPTER ELEVEN ...................................................................................................................... 97
INSTITUTIONAL DIMENSIONS AND GOVERNANCE OF THE DEVELOPMENT
STRATEGY ..................................................................................................................................... 97
   11.1 Regional Development Focus within National Development Planning ................................ 97
   11.1.1 The Missing Middle in Regional Development Planning and Implementation................................................. 98
   11.1.2 Recognizing Regional Inequalities within National Planning .......................................................................... 98
   11.2 Case for a Legal Institution to Coordinate Accelerated Development in the North .............. 99
   11.3 SADA Governance Arrangements .................................................................................. 100
   11.3.1 Board of Directors ....................................................................................................... 100
   11.3.2          Stakeholder Coordinating Committee .................................................................................................... 100
   11.4        SADA Institutional Arrangements .................................................................................. 101
   11.4.1          Secretariat .............................................................................................................................................. 101
   11.4.2          Functional Units under the Secretariat .................................................................................................. 101
   11.4.3          SADA Organizational Structure (proposed) ........................................................................................... 102




                                                                                                                                                                             iv
CHAPTER TWELVE FINANCING THE NORTHERN SAVANNAH DEVELOPMENT
STRATEGY ................................................................................................................................... 103
   12.1 Areas of Investment Requirements...................................................................................... 103
   13.2 Sources of Financial Contributions ..................................................................................... 103
   12.2.2 Other Sources ................................................................................................................................................. 104
   12.2.3 Participants .................................................................................................................................................... 104
   12.2.4 Development Partners .................................................................................................................................... 104
   12.2.5 District Assemblies ......................................................................................................................................... 104
   12.2.6 Miscellaneous Sources.................................................................................................................................... 105
   12.3 Financial Management Arrangements ................................................................................. 105
CHAPTER THIRTEEN STRATEGIC RESULTS FRAMEWORK, MONITORING &
EVALUATION .............................................................................................................................. 106
   13.1 Development Objective and Key Indicators ........................................................................ 106
   13.2 Monitoring, Evaluation and Accountability .................................................................... 109
   13.3 Indicators for Change ...................................................................................................... 109
   13.1.1 Outcome-level Indicators................................................................................................................................ 109
   13.2 Accountability to Citizens ................................................................................................... 111
   13.3 Accountability to Parliament ............................................................................................... 111
REFERENCES .............................................................................................................................. 112
APPENDICES ................................................................................................................................ 114
   Appendix I: Appendix Tables...................................................................................................... 114
   Appendix Table A1. Choice of commodities and spatial distribution......................................... 114
   Appendix Table A2: Summary of Costs...................................................................................... 115
   Appendix Table A3. Crop budgets of selected staple crops ..................................................... 116
   APPENDIX II: The Design and Operation of the Voucher System ............................................ 120
   Appendix III: Model for Operationalizing the Accelerated Food Production Initiatives............ 122
   Implementation Plan .................................................................................................................... 124




                                                                                                                                                                            v
ACRONYMS
AESL     Architectural and Engineering Services Limited
APR      Annual Progress Monitoring Report
BRRI     Building and Road Research Institute
CAPs     Community Action Plans
CDD      Community Driven Development
CEC      Community Enterprise Development Centre
CEPA     Centre for Policy Analysis
CEPS     Customs Excise and Preventive Service
CIDA     Canadian International Development Agency
CIFS     Community Initiated Food Security
CHP      Community Health Post
CRC      Citizens Report Card
CSC      Community Score Card
CSIR     Council for Scientific and Industrial Research
CSM      Cerebrospinal Meningitis
CSOs     Civil Society Organizations
DACF     District Assemblies Common Fund
DANIDA   Danish International Development Agency
DFID     Department for International Development (United Kingdom)
DISCAP   District Capacity Building Project
DISEC    District Security Committee
DPs      Development Partners
DWAP     District-wide Assistance Project
ECOWAS   Economic Community of West African States
EDIF     Export Development and Investment Fund
EFA      Education for All
FAO      Food and Agricultural Organization
FBOs     Farm-Based Organizations
FCUBE    Free Compulsory Universal Basic Education
GEDAP    Ghana Energy Development and Access Project
GEF      Global Environment Facility
GEPC     Ghana Export Promotion Council
GES      Ghana Education Service
GETFund  Ghana Education Trust Fund
GHS      Ghana Health Service
GIDA     Ghana Irrigation Development Authority
GIPC     Ghana Investment Promotion Centre
GLSS V   Ghana Living Standards Survey (Fifth Round Report)
GoG      Government of Ghana
GPI      Gender Parity Index
GPRS I   Ghana Poverty Reduction Strategy
GPRS II  Growth and Poverty Reduction Strategy
GRATIS   Ghana Regional Appropriate Technology and Industry Service
GSS      Ghana Statistical Service
GTZ      Deutsche Gesellschaft fur Zusammenarbeit (German Technical Cooperation)
GWCL     Ghana Water Company Limited
HR       Human Resources
ICA      Investment Climate Assessment
ICT      Information and Communication Technology
IFAD     International Fund for Agricultural Development
                                                                                   vi
IFPRI     International Food Policy Research Institute
IRS       Internal Revenue Service
IPA       Institute for Policy Alternative
ISODEC    Integrated Social Development Centre
ITFC      Integrated Tamale Fruit Company
ITTU      Industrial Technology Transfer Unit
JICA      Japanese International Cooperation Agency
KACE      Kenyan Agricultural Commodity Exchange
LAP       Land Administration Project
LPG       Liquefied Petroleum Gas
M&E       Monitoring and Evaluation
MCA       Millennium Challenge Account
MDAs      Ministries Departments and Agencies
MDGs      Millennium Development Goals
MiDA      Millennium Development Authority
MOFA      Ministry of Food and Agriculture
MOFEP     Ministry of Finance and Economic Planning
MMDAs     Metropolitan Municipal District Assemblies
MMR       Maternal Mortality Rate
MMW4P     Making Markets Work for the Poor
MSE       Micro and Small Enterprise
NADMO     National Disaster Management Organization
NBSSI     National Board for Small-Scale Industries
NDPC      National Development Planning Commission
NER       Net Enrolment Ratio
NEPAD     New Partnership for Africa’s Development
NES       National Electrification Scheme
NGO       Non-governmental Organization
NHIS      National Health Insurance Scheme
NORD      Northern Ghana Development Fund
NORRIP    Northern Region Integrated Development Project
NR        Northern Region
NSDI      Northern Savannah Development Initiative
NSDFund   Northern Savannah Development Fund
NSDS      Northern Savannah Development Strategy
NYEP      National Youth Employment Programme
OPD       Out Patients Department
QUIPS     Quality Improvement in Primary Schools
R&D       Research and Development
RCCs      Regional Coordinating Councils
REGSEC    Regional Security Committee
RGD       Registrar Generals’ Department
RPCUs     Regional Planning and Coordinating Units
SADA      Savannah Accelerated Development Authority
SARI      Savannah Agricultural Research Institute
SHEP      Self-Help Electrification Programme
SLM       Sustainable Land Management
SPI       Sustainable Peace Initiative
SRID      Statistics Research and Information Directorate of MOFA
SSBs      Soil Stabilized Blocks
TIRP      Trade and Investment Reform Programme
                                                                    vii
TIPCEE   Trade and Investment Programme for a Competitive Export Economy
TVET     Technical and Vocational Education and Training
UDS      University of Development Studies
UER      Upper East Region
UNDP     United Nations Development Programme
UNICEF   United Nations Children and Education Fund
USAID    United States Agency for International Development
UWADEP   Upper West Agricultural Development Project
UWR      Upper West Region
VCF      Venture Capital Fund
VRA      Volta River Authority
WFP      World Food Programme
WHO      World Health Organization
WRI      Water Research Institute
WSD      Whole School Development




                                                                           viii
EXECUTIVE SUMMARY1
There is a visible developmental gap between Northern and Southern Ghana, with the North
registering significantly higher levels of poverty than the Southern export economy. Bridging this
developmental gap has been a long-stated goal of most post-independence Governments of Ghana.
The approach has nearly always been distributionist to address imbalances in education, health and
social welfare services. In this strategy, a growth and sustainable development approach is adopted
to both increase incomes among the poorest and transform the northern Ghanaian economy and
society into a regional nexus of increased productivity of food and a buffer against persistent
droughts and sporadic floods.

A Paradigm-shift
Using the vision of a “Forested North and Green North”, this strategy defines the parameters of a
major paradigm-shift in stimulating economic growth and sustainable development by ensuring that
small-holder families and poor farmers develop a long-term stake in agriculture by inter-cropping
with economic trees. The trees, moreover, provide a protective buffer against floods, serve to renew
soils and enhance environmental regeneration. Gravitating around a forested north are
complementary investments in roads, energy and water resources, education and health. These
investments will enhance the pre-conditions and improve the skills and competencies to manage an
integrated economy oriented towards improving productivity, trade and investments in a
sustainable manner.

Principles
A number of principles inspired the preparation of this long-term strategy for Northern Ghana’s
development. These include:

    • Government commitment, demonstrated by a decisive policy directive from the President
      of Ghana, contained in the 2008 Budget Statement and Economic Policy. In this document,
      Government of Ghana mandated the preparation of a long-term strategy to reverse decades
      of neglect of the north, and to set the path for sustainable development. Correspondingly,
      the 2008 Budget Statement proposed the establishment of the Northern Ghana Development
      Fund, with an amount of GHC25 million as seed capital for that fund. Since then there has
      been a change in government in Ghana. The new government remained so committed to
      accelerated development in the Northern Savannah, it has extended the coverage to the
      entire Northern Savannah Ecological Belt. A new law, SADA Act 805, 2010 has been
      passed; the strategy to target the Northern Savannah as a special development area has been
      incorporated in Ghana’s Medium-term Development plan prepared by the NDPC; and high-
      level discussions are underway for sustainable funding of SADA.
    • Stakeholder Engagement and mandate, reflected in systematic engagement of key
      stakeholders, including Chiefs, Private sector leaders, Regional Ministers, District Chief
      Executives, Civil Society Organizations, Members of Parliament, and Development
      Partners. These stakeholders gave guidance at the beginning of the strategy formulation;
      reviewed and commented on various versions of the strategy; and participated in key
      decisions at critical milestones of policy formulation and legislative processes for SADA.
    • Harmonization with existing plans and programmes demonstrated by several rounds of
      consultations with Ministries, Departments and Agencies of Government, research


1
  This report was prepared by a team consisting of Charles D. Jebuni (Team Leader, CEPA); Sulley Gariba (Director, IPA and
Development Specialist); Ramatu M. Alhassan (Agricultural Economist); Augustine Adongo (Private Sector Specialist); Hippolyt
Pul (Livelihood Security and Social Protection Specialist); James Dassah (regional Economic Planning Officer, UWR); Sagido
Issaka (Regional Economic Planning Officer, UER); and Gregory Addah (Regional Economic Planning Officer, NR).
                                                                                                                         ix
institutions, the private sector and the National Development Planning Commission’s
       process of preparing the Medium-term Development Plan for Ghana.


Approach
In preparing this long-term strategy for development of Northern Savannah, four considerations
were paramount (a) representativeness of the technical team leading the process; (b) technical
consultations in defining the broad strategy; (c) stakeholder consultations to refine priorities for
strategic investments, roles and responsibilities of key actors; and (d) engaging Government and
Parliament to establish the legal framework for both the strategy and the associated Savannah
Accelerated Development Authority.

The technical group of Ghanaian development specialists was established by two leading
institutions — the Centre for Policy Analysis (CEPA) and the Institute for Policy Alternatives
(IPA). The expertise in the team reflects the professional endowments of the three regions. The
technical team also included the three Regional Economic Planning Officers, representing the
Regional Coordinating Councils (RCCs) of the three regions. The team worked through a series of
retreats, involving technical working sessions with key Ministries, Departments and Agencies
(MDAs) focusing on Northern Ghana development issues.

The Strategy

Vision: The strategy is based on the concept of a “Forested North and Green North” where
agricultural production is modernized and oriented towards a larger market embracing the Sahelian
countries, including northern Cote d’Ivoire and Togo. It is premised on the fact that the north has
substantial growth potential in agriculture, tourism, and mining. The best way to address the
chronic poverty and the development gap is through economic growth utilizing the north’s most
abundant resources. Economic growth is also the most efficient means to address poverty and
induce long-term adaptation to climate changes while maintaining the dignity of people in the
north. The Northern Savannah Development Initiative is therefore aimed at developing a
diversified and resilient economic zone in the North.

Goal: The goal is to double per capita incomes of northern Ghanaians and reduce the incidence of
poverty to 20 percent within 20 years in the Northern Savannah Ecological Belt.

What is Different in the Northern Development Initiative?
This Strategy is a very ambitious coordinated effort towards achieving a Forested North over a
period of 20 years. There are six unique features of this development initiative that are different
from previous efforts.

   1. Development of a Comprehensive Regional Strategy that operates within a national
      development framework. At the national level, a seven-year development plan is underway,
      creating the incentives and enabling conditions for Ghana to become a middle-income
      country. At the regional level, Northern Savannah Development Initiative (SADA) is to
      provide direct opportunities for communities, private sector and civil society to gain needed
      inputs in order to transform the natural resources into sustained incomes and assets. In this
      sense, it is our belief that the development of a poverty-prone area must be public sector-
      led, private sector-based and facilitated by civil society which has a long tradition of
      development facilitation in the area. In this sense, the state not only provides incentives, but
      also encourages economic and social transformation through long-term capital and an input
      delivery system.
                                                                                                    x
2. A model for the modernization of agriculture that starts from generating a market impetus
      as the main catalyst for stimulating farmers to produce, with improved technology and
      timely inputs. By this strategy, farmers do not wait to find markets after they have
      produced; rather the market defines their production targets and quality. This strategy is
      also mindful of food security requirements, especially in the most vulnerable areas.

   3. A major effort in development of infrastructure in a strategic manner. We propose a
      circular road network that connects the three Northern regions of Upper West, Upper East,
      Northern, Regions, such that the large production plains that lie in-between the regions are
      opened-up for brisk farming and economic activities. This road network will be
      accompanied by an appropriate irrigation and water resources infrastructure, especially drip-
      irrigation which can be owned by small-holder farmers to facilitate cultivation of cereals,
      fruits and vegetables all year-round.

   4. Strong linkage between Northern Ghana consisting of the three northern regions and
      contiguous districts in the northern parts of the Brong Ahafo and Volta regions, and the
      Sahelian countries — Burkina Faso, Niger, Mali and Northern Ivory Coast — to open-up a
      truly regional market for goods and services, with Northern Ghana serving as the supply and
      industrial hub.

   5. A vigorous private sector initiative that strengthens existing private operators, as well as
      attract new investments in the manufacturing, processing, transport and tourist services in
      the North of Ghana. From the nature reserves of Mole and Bui, the Hippo sanctuary of
      Wechau, the Crocodile ponds of Paga, Northern Ghana captures the nature heart-beat of
      Ghana.

   6. Support for Civil Society Organizations and NGOs that have long sustained livelihoods
      and provided a base for mobilizing citizens to engage actively in development throughout
      the three (3) regions and the districts contiguous to them.

Elements of the strategy address the three fundamental objectives for commissioning the work (a)
reducing poverty, (b) adaptation to climate change, thereby reducing the frequent occurrence of
floods and droughts (c) building the human capital, economic infrastructure, investment and private
sector base to manage social, economic and ecological transformation in northern Ghana.

   • Our pro-poor growth model is based on modernizing agriculture sequentially, using
     initially Northern Ghana’s most abundant factors — land and sunshine — and less of
     purchased inputs. The strategy further takes into consideration the fragility of the soils, the
     short rainy seasons, and the vagaries of the weather associated with climate change. Growth
     must be gender balanced by recognizing the disadvantaged position of women in the North.
   • The framework for long-term adaptation to floods and droughts is premised on the
     belief that economic growth provides the means by which individual households can
     accumulate the wealth and assets which they rely on during periods of disaster and other
     contingencies. Creating the economic base through growth for individuals to provide for
     themselves will enhance their dignity. In terms of displacement and destruction of property,
     the evidence shows that the poor were the most affected. Poverty implied that the type of
     building materials used and the foundation laid were weak and therefore vulnerable to
     floods. At the same time, the type of economic activities near rivers and water bodies has to
     change to provide some protection. Planting of tree crops along the banks of rivers will
     provide some protection. This should be done outside the distance that the Volta River
                                                                                                  xi
Authority (VRA) will recommend. Indeed, our strategy of tree crops could more easily start
            in these areas where water pumps can be used to provide irrigation, until the needed
            reversals in climate kick-in over the long-term, as a result of the emergence of a forested
            North.

For rehabilitation, particularly housing construction, to be sustainable one needs to train artisans in
the chosen technologies to provide the relevant services. While creating employment in the areas,
this strategy also provides the relevant skills that may be applied in other areas. It also provides a
basis for increased non-farm economic activities.

Housing types and designs must be consistent with traditional structures so that no changes in
cultural and social behaviour and adaptation may be required. In other words, the strategy is to
maintain the advantages of the traditional house type and therefore social and cultural relations.

Modernized agriculture
The agricultural modernisation strategy provides multiple entry points to allow for inclusive growth
and poverty reduction. The six entry points of the strategy are:
   1) A marketing-based out-grower system that defines the shape of existing and expanded
       markets. This will propel the emergence of a growing private sector capable of engaging
       producers in a manner that responds to client and market demand.
   2) Tree crop production as a source of steady flow of incomes to empower the poor to build
       their assets and enhance their capacity to invest in farm and non-farm production activities.
       Farmers will have the option of intercropping the tree crops with groundnut, cowpea, or
       soybean in the first three to five years of tree crop establishment as part of the transitional
       food and livelihood security strategy and for intensifying the use of land. The output of
       groundnut and soybean will feed vegetable oil mills.
   3) Selected staple crop production systems for productivity improvement to increase northern
       Ghana’s competitiveness as a supply source for the sub-regional market. This recognises
       that not all smallholders will have the capacity to go into tree crops and will continue to rely
       on staple crops for sustenance and means of income. Crops will be selected on the basis of
       current demand and potential to generate agro-industrial activity.
   4) Horticulture production to diversify into export agriculture which has been a source of
       growth and significant poverty reduction among farmers in southern Ghana. This will be a
       good avenue for targeting women and the youth.
   5) Semi-intensive production of small ruminants, pigs and guinea fowl also to diversify farm
       income sources and provide income opportunities for land scarce parts of the north.
   6) Agro-processing as a reliable source of demand for agricultural raw materials to drive value
       chains, while targeting women because processing is an activity women are normally
       engaged in.

Private Sector Investment and Development
There are three strategic objectives to be accomplished in this segment of the SADA.

       • Repositioning northern Ghana as a competitive economic zone in the Savannah/Sahel
         region2 of West Africa.


2
    Defined to include Burkina Faso, Mali, Niger, northern Cote D’Ivoire, Northern Togo, Northern Benin, and beyond.
                                                                                                                       xii
• Expanding the scope and numbers of private sector firms and entrepreneurs investing in
      value-addition in the north. In particular, the promotion of export and marketing of high-
      value fruits and vegetables will expand the number, scope and diversity of agriculture-
      related investment initiatives.
    • Empowering people in the north to participate effectively in the “new economy” through
      training, entrepreneurship development and the provision of business development services
      in general. These will include the establishment of a Venture Capital Facility for Northern
      Ghana, the creation of a Northern Ghana Investment Risk instrument.

Livelihood Security, Social Protection and Peace
Modicums of special initiatives are required to enable poor households step out of their poverty
traps and step up to the challenges of rebuilding their livelihoods. These bridge-over initiatives will
include:

    • Pro-poor initiatives that create synergies between growth and social protection to ensure
      sustainable and inclusive development in the north. These include (a) financial and
      capacity-building facilities for the poor to build community and private assets; (b) food
      assistance during periods of food insecurity and emergencies; (c) improved seeds and
      economic tree seedlings to begin the process of inter-cropping towards a forested north.
    • Peace initiatives that combine conflict mediation with institutional support for traditional
      authorities and governmental institutions to work cooperatively towards sustained peace.
      The Northern Peace Initiative currently coordinated by the three Regional Coordination
      Councils (RCCs) provides a useful framework and is being implemented progressively. In
      the SADA, two approaches are adopted to tackle conflict mitigation and peace-building:
          o The first is build capacities and deepen the collective efforts by organized CSOs and
              government in increasing awareness and building consensus among key
              stakeholders. This will include transforming the institutional mix for addressing
              conflict from a “security” approach to “peace-building” efforts.
          o The second is a more sustained long-term effort to bring about human security
              through rapid social and economic development, thereby reducing poverty and
              minimizing the tensions that are associated with deepening poverty, marginalization
              and exclusion of the most vulnerable in the major decisions that affect their
              livelihoods.

Post-flood rehabilitation
The types and factors of vulnerability that afflict the people of northern Ghana are largely related to
climate. However, the conditions of widespread poverty in the north exacerbate the impact of these
vulnerabilities, when they occur. A two-prong approach is proposed under the SADA (a) short term
initiatives that enable affected households to rebuild lost assets and livelihoods and (b) long term
economic growth initiatives that enable disaster prone communities to develop increased resilience
and more robust mechanisms for mitigating the impact of disasters in the future. Programmatically,
the SADA proposes two efforts in this regard:

    • Flood Mitigation, which will address four aspects of flooding in the White and Black Volta
      River Basins: (i) catchment management; (ii) identification and preparation of mid
      catchment multipurpose structural flood protection options and their implementation;3 iii)




3
  The GoG has already called for the mobilization of the Field Engineers Regiment of the Ghana Armed Forces to intervene in the
flood areas of northern Ghana to implement any possible dredging of the river basins and install flood protection dykes.
                                                                                                                          xiii
immediate floodplain management options; and (iv) establishment of a flood early warning
      system.4
    • Drought Prevention, which will address major efforts in growing economic tress on farms,
      as well as the protection of existing tree cover in the North by (a) fire-prevention, through
      community-level volunteers and the Fire Service; (b) undertaking major tree-pruning and
      disease-prevention exercises, annually, in a manner similar to cocoa spraying exercises and
      the creation of diversions and wells along the rivers.

Pre-conditions for sustainable development
Infrastructural inadequacies in road, transportation and communications networks, water resources,
as well as energy imply heavy initial investment and reduced profitability in undertaking economic
activities. Limited human capital, especially the level and quality of education and skills
development and the debilitating effect that poor health facilities have on human capital formation,
create problems in terms of attracting economic activities and retaining labour. Poor health
facilities are a disincentive to investors. Perceptions of instability and conflict reduce the risk-
adjusted returns to investment and divert resources to other uses.

For the programme of economic and social transformation to succeed, the SADA proposes a series
of coordinated investment to eliminate infrastructural constraints, improve the human capital base,
and create the economic conditions necessary to attract, retain, and increase the profitability of
investments. These include:

    • A focus on strategic infrastructure — roads, improved water resources, energy
    • Alignment of basic social infrastructure in education and health with the human resource
      implication of the sustainable development and growth focus
    • Priority in establishing peace-building and conflict mitigation strategies to create the
      enabling environment for investments

Water Resources
SADA strategy for improving the water resources management reflects both our needs for synergy,
at the River Basin level, and the specific needs of the three regions:
    • Upper West — presence of Black Volta River and its tributaries in the region allows for
        ample exploration of the options such as pumping from the river and bunding with
        improved drainage
    • Existing dams and dugouts created and/or rehabilitated during UWADEP create opportunity
        for water productivity increase interventions.
    • Upper East — White Volta River was considered for pumping from the river and bunding
        with improved drainage options; Road network options for the culverts and bridges with
        small retention reservoirs are suitable for the region, but these options are yet to be explored
        and actively carried out.
    • Northern Region — downstream portions of White Volta River were considered for
        pumping from the river and bunding with improved drainage options

Energy
To enhance the efficient and equitable supply of energy to support and sustain the fragile economy
and ecology of the North.

Policy may be guided by the following principles:
    • Least cost principle to provide economic and reliable energy supplies that are dependable;
4
  Both the World Bank and the UNDP (OCHA) have been working at various levels in supporting GoG to prepare and enhance
capacity for such an Early Warning System and Strategic Plan.
                                                                                                                  xiv
• Diversification of our primary sources of energy recognizing the drought-like nature of the
     North;
   • Assuring energy security through the development of local and indigenous resources;
   • Energy efficiency and conservation awareness creation;
   • Promotion and development of renewal energy technologies such as biomass, solar and
     wind.

Education and Health Strategies
Our approach in addressing the issues of education and health, so that they play a critical role in the
transformation of the North proposes that:
    • Increase the role of the private sector and faith-based organizations in the provision of
        education and health services in the north.
    • The state and other development partners provide grants to support the development of
        educational infrastructure managed by NGOs, faith-based organizations as well as the
        private sector, especially those operating in rural areas.
    • Provide incentive schemes for health and education workers that accept posting to rural
        schools.

Managing for Development Results
The NDI proposes six main results, and these are further defined as components of the strategy:

   1.      Community-Driven Development actions that will stimulate the modernization of
           agriculture development and competitiveness of small holders, notably women, through
           improved technology, promoting efficiency for the domestic and export market. By
           combining economic trees with cereals, legumes, vegetables and fruits, the northern
           farmer will double their incomes, create more jobs, protect the environment and end
           prolonged droughts and sudden floods. This CDD effort will further empower men and
           women to transform their production orientation towards an expanded market demand;
           to sustain food security and livelihood activities and reduce their vulnerability to
           drought and flooding

   2.      Private Sector Development initiatives that would stimulate investment and business
           development in northern Ghana in a manner that would change the mind-set and
           stimulate the creation of high value jobs and increased incomes. It will further stimulate
           the growth of investors and business entrepreneurs capable of providing the impetus for
           sustained value-added production and services in the northern, savannah sector, oriented
           towards a Sahelian market.

   3.      Investments in strategically-targeted economic and social infrastructure that will
           relieve critical development constraints and create the pre-conditions for accelerated
           development and open up production zones for increased production and transit into the
           expanded markets in Sahel states north of northern Ghana. These would also include
           social infrastructure, such as education, health and social welfare to complement the
           economic ones. These investments will be targeted initially at a series of inter-connected
           infrastructure of roads, energy, water resources, health and education in a manner that
           reinforces alternative production and market access, while reducing the incidence of
           droughts and floods.

   4.      Food, Livelihood Security and Peace Initiative focusing on improved access to food,
           sustainable livelihoods, as well as safety-nets investments, targeted initially at the most
           vulnerable areas and those severely affected by the floods of 2007 and 2008.
                                                                                                    xv
Concurrently, a peace initiative which is already underway in the three regions will be
          enhanced. Empowering marginalized and vulnerable women and men to participate
          actively in the social and economic recovery process, in peace-building and gaining
          assets and improved incomes through this process.

   5.     Flood Mitigation and Environmental Renewal focusing on improved water resources
          management and disaster preparedness, in order to mitigate the perennial floods and
          droughts in the north.

   6.     Institutional Capacity Building to enhance strategic planning, fund mobilization and
          management and to support a rigorous, independent monitoring and evaluation of the
          developmental impacts to reduce regional inequalities and show progress towards
          accelerated development.

Monitoring, Evaluation and Accountability
The M&E strategy accompanying the SADA proposes:

   1. Results-oriented M&E Capacity-building among key stakeholders associated with the
      SADA. Through their engagement in the determination of the strategic results framework
      for the SADA and the establishment of a credible baseline prior to the start-up of the
      initiative, stakeholders will be informed and engaged in demanding accountability.
   2. Systematic monitoring of output-level results in a manner that links resources with changing
      attitudes and practices associated with the notion of a paradigm-shift in the way
      development is planned and implemented.
   3. Stakeholders are empowered and engaged in the processes of monitoring and evaluation,
      through the use of both formal, rigorous tools for M&E, as well as participatory monitoring
      and evaluation approaches.
   4. Both upward and down accountability systems enhanced to enable citizens of the north and
      representative leaders (District Assemblies, Traditional Authorities, Parliament and the
      Government of Ghana) to demand accountability and those managing SADA to render
      accountability in a transparent and timely manner.




                                                                                              xvi
PART 1

STRATEGIC DIRECTIONS FOR SUSTAINABLE DEVELOPMENT OF THE
                  NORTHERN SAVANNAH

                                                   CHAPTER ONE

                        INTRODUCTION AND SITUATION ANALYSIS
The strategy for accelerated development of the Northern Savannah (SADA)5 constitutes a key part
of attempts being made by the Government of Ghana and other stakeholders to address the
continuing high incidence and concentration of poverty in the Savannah Ecological Belt of Ghana.
These efforts also reflect the general desire to confront and bridge the development gap between the
northern and southern parts of the country.


1.1 Poverty in Northern Ghana
Ghana has made considerable progress in poverty reduction. From a level of 51.7 percent of the
population being described as poor on the basis of the headcount in 1991/92, poverty declined to
39.5 percent in 1998/99 and further to 28.5 percent in 2005/06. In terms of the hardcore poor,
poverty in Ghana declined from 36.2 percent in 1991/92 to 26.8 percent in 1998/99 and further to
18.2 percent in 2005/06.

The decline in poverty has, however, not been equally spread geographically. There continue to be
higher incidences of poverty in the rural areas and in particular the rural savannah ecological belt.
The contribution of rural savannah has been increasing. From about 33 percent in 1991/92, the
contribution of Rural Savannah increased to 37 percent in 1998/99 and has increased further to
about 50 percent in 2005/06. This is partly because the reduction in poverty occurred largely as a
result of economic growth which in turn has been driven by a number of key factors that Northern
Ghana has benefited less from6.

The poor in Ghana, therefore, continue to be concentrated in the Northern Savannah Ecological
Belt. Out of 18.2 percent of the total population that live in extreme poverty, 53.7 percent live in
Northern Ghana, which has only about 17.2 percent of the total Ghanaian population. In Panel (a)
and (b) of Figure 1.1, the proportion of the population living under poverty is reported. As seen, the
North has much higher levels of poverty than any other region. In terms of ecological belts,
poverty in the rural savannah belt has been higher than any other ecological belt over the period
1991/92 to 2005/06. Moreover, as shown in Panel (b) of Figure 1.1, the reduction in poverty is
much slower over the period in the rural savannah belt than in the rural Southern Ghana.

Within Northern Ghana there is a wide and increasing disparity between the rural and urban areas.
Extreme poverty in the urban savannah belt stood at 27 percent in 1991/92, declining to 18.3
percent in 2005/06. In the rural savannah belt extreme poverty reduced from a level of 57.5 percent
in 1991/92 to 45.2 percent in 2005/06.

5
   Northern Savannah as referred to in this Strategy study consists of the Sudan and Guinea Savannah and excludes the derived
(transitional) Coastal Savannah. The political space by the Northern Savannah includes the Upper West, Upper East, Northern,
administrative regions, as well as northern parts of the Volta and Brong-Ahafo regions.
6
   The key factors responsible for the economic growth and poverty reduction include: i) greater openness both through exports and
   imports; ii) increased public spending financed largely by aid; iii) significant increases in wholesale and retail trade; and iv)
   increased receipts of remittances from abroad.

                                                                                                                                  1
Moreover, poverty is highest among farmers, especially food crop farmers. Nationally, 46 percent
of the poor are from households whose main activity is food crop cultivation. Poverty in the North,
especially among food crop farmers, is further compounded by a short unimodal rainy season that
is prone simultaneously to droughts and floods.

Figure 1.1: Poverty and Extreme Poverty Trends in Ghana by Region

                                     (a): Proportion of Regional Population Living in Poverty in 2006
                                     60                                                                                                                                                           55

                                                                                                                                                                                     47
                                     50
   % o f T o ta l P o p u la tio n




                                                                                                                                                                 40
                                     40
                                                                                      26                                           26                 26
                                     30           23              22                                23           22

                                     20
                                     10
                                         0



                                                                                                                                                  Bro n g
                                                                                  G r a te r




                                                                                                                                                                                   U p p er


                                                                                                                                                                                                U p p er
                                                                                                    V o lta
                                                                  C e n tr a l




                                                                                                                                   A sh a n ti


                                                                                                                                                  A h afo
                                                                                  A ccra




                                                                                                                 E a ste r n




                                                                                                                                                                 N o r th e r n
                                                  W e ste r n




                                                                                                                                                                                                 W e st
                                                                                                                                                                                    E a st
  (b): Poverty Incidence by Region
  100                                                                                                                                                                             88          88 88
                                                                                                                                                                                               84
                 80                                                                                                                              65           69 67 70
                                             60                                                                                                             63
                                                                                               57                                                              52
                 60                                              48
                                                                44                                            48
                                                                                                               44              41
                                                                                                38                                                36
                 40                           27                                                  31                            28                  30
                                                                                 26                                               20
                                                18                    20                                            15
                 20                                                                       12
                                                                                      5
                                     0
                                                                                                                                                 Bro n g
                                                                                                V o lta
                                                                                 G rater




                                                                                                                                                                                  U p p er

                                                                                                                                                                                  U p p er
                                                                 Cen tral




                                                                                                                                A sh an ti


                                                                                                                                                 A h afo
                                                                                 A ccra



                                                                                                               E astern




                                                                                                                                                             N o rth ern
                                              W estern




                                                                                                                                                                                  W est
                                                                                                                                                                                   E ast




                                                                   1991/92                     1998/99                 2005/06
Source: Based on data from Ghana Statistical Service — Patterns and Trends of Poverty in Ghana, 1991-2006 (Tables A1.1, p.36 and A1.5, p.40)

                                                                                                                                                                                                    2
Figure 1.2: Poverty Incidence in Ghana's Ecological Belts, 1991/92 — 2005/06

  (a): Poverty Incidence by Ecological Belts in Ghana
  80                                                                                                                   73
                                                                                                                         70
  70                                             62                                                                           60
  60                                     53                                                                                           52
                                   43      46
  50                             38                38                                                                                   40
  40            28 31                                                                                                                            29
                        26            28              28
  30 23                                       24
                           18
  20        11
          4           6       7
  10
   0




                                                                                                                                            G h an a
                                                                  U rb an



                                                                               Sav an n ah




                                                                                                                       Sav an n ah
                                          A ccra


                                                    Co astal


                                                                  Fo rest




                                                                                              Co astal

                                                                                                            Ru ral
                                                                                                           Fo rest
                                                    U rb an




                                                                                               Ru ral
                                                                                U rb an




                                                                                                                         Ru ral
                                                     1991/92          1998/99            2005/06

                                          (b) Poverty Profiles in Rural Ecological Zones of Ghana, 1991-2006
                                     70
                                                           57.5
                                     60                                                             59.3
   % o f T o ta l P o p u la tio n




                                     50
                                                               45.9                                                                  45.4
                                     40
                                                               32.8
                                     30                                                             28.5
                                                                                                                            14.6
                                     20
                                                                                             21.1
                                     10                                                                                11.5
                                                     1991/92                             1998/99                         2005/06
                                                   Rural Coastal            Rural Forest              Rural Savannah

Source: Based on data from Ghana Statistical Service — Patterns and Trends of Poverty in Ghana, 1991-2006 (Table A1.5 and A1.6, p. 40-41)




                                                                                                                                                       3
1.2 The Situation Analysis
For purposes of strategic analysis, the current situation in the three northern savannah ecological
belt can be described in terms of resource endowments (agriculture, water, mineral resources and
energy); private sector development including industry and manufacturing; and human resource
development including education and health. The description of the current situation in the northern
regions also covers risks and vulnerability.


1.2.1 Natural Resource Base
Agriculture
The state of agriculture in the three northern regions is characterised by a number of factors
including the availability of land; comparative advantage in the production of particular crops;
untapped potential for livestock production; and a developing trend towards commercialisation.

Land
The Northern Savannah of Ghana comprise of about 100,000 square kilometres, which is more than
40 percent of national land area and 65 percent of the savannah vegetation. Total agricultural land
is 6.1 million hectares of which cultivated land area between 2001 and 2007 was 1.54 million
hectares.

A significant proportion of arable land has soils with poor physical properties and low content of
organic matter. Relatively good soils are ground water laterites which tend to be limited in depth by
hard pan. Soils are highly susceptible to erosion because of the thin vegetative coverage and
torrential nature of poorly distributed rainfall. There is limited use of soil management practices
(e.g. use of fertilisers, water management, mulching). This has resulted, under these poor
conditions, in low productivity in both crops and livestock.

However, Northern Savannah has a wealth of under-utilised well endowed land to support an
intensified agriculture modernisation programme. These include a network of river basins with
highly fertile valleys (e.g. the oncho-freed basins of the Volta and Sissili rivers, the Fumbisi valley,
Nasia, Tamne, Katanga, Naboggu, and Soo valleys). These areas can become major agricultural
production zones for different crops.

Agricultural in the National Context
Table 1.1 presents the contribution of various agro-ecological zones to national output of
agricultural commodities. It reflects the comparative advantage of the north in terms of agriculture
production. The commodities in which northern Ghana has a comparative advantage in production
are:
i. Cereals — rice, sorghum and millet;
ii. Roots and tubers — yam and cassava
iii. Legumes — groundnuts, cowpea, and soybean; and
iv. Livestock.

With adequate water management, horticultural commodities, including tomato, okra, chilli,
mango, cashew, water melon and sweet melon can also be produced competitively. The north is
the home of the shea tree, which can be developed into a major oils and fats industry with benefits
to rural women (who are currently at the heart of the shea industry as nut collectors and
processors), shea-nut merchants and the country at large.



                                                                                                      4
Table 1.1: Agricultural Structural and Regional Contribution in Ghana
                                                      Contribution to National Total
                                                                  Southern      Northern
                                           Coast       Forest    Savannah      Savannah             Total
Cereals                                    13.2         24.5        28.3          34.0              100.0
Maize                                      22.2         32.9        30.6          14.3              100.0
Rice                                       13.4         43.9         5.0          37.7              100.0
Sorghum and millet                          0.1         1.5         37.7          60.7              100.0
Roots                                       3.8         31.8        32.6          31.8              100.0
Cassava                                     4.1         25.2        45.3          25.4              100.0
Yams                                        2.8         32.3        25.2          39.6              100.0
Cocoyam                                     8.2         60.4        17.2          14.2              100.0
Other staples                               8.9         29.9        31.6          29.6              100.0
Cowpea                                      0.5           9.9          10.4            79.2         100.0
Soybean                                                  10.6          24.8            64.6         100.0
Plantains                                   13.2         54.2          25.1             7.6         100.0
Groundnuts                                  7.7          9.5           7.2             75.6         100.0
Fruit (domestic)                            8.8          36.5          8.7             46.0         100.0
Vegetables (domestic)                       8.5          25.7          44.5            21.3         100.0
Non-traditional exports                     30.4         33.9          25.1            10.6         100.0
Cocoa                                       2.6          68.9          28.5            0.0          100.0
Livestock                                   12.1         35.1          14.2            38.6         100.0
Chicken broiler                             19.2         40.0          36.4             4.5         100.0
Eggs and layers                             37.0         39.0          5.0             19.0         100.0
Beef                                        7.1          16.3          6.4             70.2         100.0
Sheep and goat meat                         12.7         39.5          11.8            36.0         100.0
Other meats                                 3.7          41.5          24.4            30.5         100.0
Forestry                                    1.0          68.6          29.1             1.4         100.0
Fishing                                     61.5         10.7          24.4             3.4         100.0
Source: Breisinger et al. (2008).

Land allocation to the main staple crops in recent years is presented in Tables 1.2 – 1.4; the
dominant crops vary by region. The Northern region has the most diversified production system
with groundnut, sorghum, yam and maize taking 52 percent of the land cultivated, compared to the
Upper East and Upper West where groundnut and sorghum alone account for 62 percent and 53
percent of the land cultivated respectively.

Table 1.2 Crop Area in Northern Region (2005-2007)*
Year         Maize        Rice       Millet        Sorghum       Cassava       Yam      Groundnut    Cowpea    Soybean
             79,000      43,900      53,000         89,000        52,600      80,800     136,800     64,000     32,700
2005          (13)         (7)         (8)           (14)           (8)        (13)        (22)        (10)       (5)
             85,600      45,800      57,300         93,600        55,400      88,900     145,900     59,400     37,700
2006          (13)         (7)         (9)           (14)           (8)        (13)        (22)         (9)       (6)
             72,073      30,209      42,199         66,926        54,940      78,296      84,694     36,236     30,190
2007         (0.15)      (0.06)      (0.09)         (0.13)        (0.11)      (0.16)      (0.17)      (0.07)    (0.06)
             77351       43312       53308          74682         57678       98379      110948       53078     34424
2008          (13)         (7)         (9)           (12)          (10)        (16)        (18)         (9)       (6)
Figures in parentheses are percentage allocation of land to the crop



                                                                                                                         5
Table 1.3: Crop Area in Upper East Region (2005-2007)*
                                                                                                 Sweet
 Year        Maize          Rice        Millet      Sorghum          Groundnut      Cowpea       potato       Soybean
             13,396        15,698       75,032       117,052          162,930        57,050      8,580         1,221
 2005         (3.0)         (3.5)       (16.6)        (26.0)           (36.1)        (12.7)       (1.9)         (0.3)
             14,355        16,396       81,116       122,809          173,792        52,930      8,471         1,411
 2006         (3.0)         (3.5)       (17.2)        (26.1)           (36.9)        (11.2)       (1.8)         (0.3)
              17,382        16,462       60,751         59,280                         98,476     45,577            3,423
 2007        (0.06)        (0.05)       (0.20)        (0.20)              0          (0.33)      (0.15)        (0.01)
             23763         26934        65342         96602            73150         46907                     13517
 2008          (7)           (8)          (19)         (28)             (21)          (14)        NA             (4)
Figures in parentheses are percentage allocation of land to crop


Table 1.4: Crop Area in Upper West Region (2005-2008)*
 Year       Maize        Rice        Millet       Sorghum           Yam        Groundnut     Cowpea        Soybean
            34,300      3,500        56,900        93,700          18,800       109,500      58,900         11,100
 2005         (9)         (1)         (15)           (24)            (5)          (28)         (0.5)          (3)
            36,700      3,700        61,600        98,400          20,600       116,800      54,700         12,900
 2006        (9.1)       (0.9)       (15.2)         (24.3)          (5.1)        (28.8)       (13.5)         (3.2)
            35,716      3,596        59,757        76,995          20,917       114,906      56,990         13,188
 2007       (0.09)      (0.01)       (0.16)         (0.20)         (0.05)        (0.30)       (0.15)        (0.03)
            38438        3745        63581         100253          29432        122996        61285         13883
 2008         (9)         (1)         (15)           (24)            (5)          (29)         (14)           (3)
Figures in parentheses are percentage allocation of land to crop

Table 1.5 presents an analysis of the growth performance of commodities in the northern savannah
compared to the average performance of the country. Production of maize, millet and sorghum
recorded negative growth over the period 1992-2005. Area planted to maize and yield of the crop
both suffered declines. For millet and sorghum, the source of decline in output is yield. Although
yam and cowpea recorded positive growth in production levels, this was due more to expansion in
crop area because these crops also suffered from negative yield growths. Therefore the long-term
pattern of crop production performance in northern Ghana has been expansion in land area to
compensate for declining yields. The cases of yam and cowpea are particularly illustrative. Yam
output in the northern savannah grew by nearly 2 percent, but yields declined at 2.3 percent per
year while land expanded at 4.3 percent per year. With the northern savannah contributing the
largest share to yam production, the trends in the yam production parameters in that zone are
magnified at the national level. A growth strategy for crops should therefore focus on attaining a
sustainable balance between production intensification and limited expansion of land area.

Table 1.5: Average annual growth in production, yield and land (1992-2005)
Crop                Output Yield Land Crop                    Output Yield                             Land
Maize (national)       3.9 0.8     3.2 Yam (National)             4.8 -4.1                              9.3
   N. Savannah        -0.6 -0.4 -0.3       N. Savannah            1.9 -2.3                              4.3
Rice (National)        5.9 2.1     3.7 Cassava (National)         5.4 -0.8                              6.2
   N. Savannah         4.8 1.9     2.9     N. Savannah           13.9   2.8                            10.9
Millet                -1.7 -2.1    0.5 Cowpea (National)         10.6   0.0                            10.6
                                           N. Savannah           10.0 -0.4                             10.5
Sorghum (National)    -0.7 -1.3    0.6 Groundnuts (National) 11.8       0.9                            10.9
   N. Savannah        -0.8 -1.3    0.5     N. Savannah           11.8   0.9                            10.9
Source: Breisinger et al. (2008)



                                                                                                                            6
Cotton used to be a major cash crop in all regions of Northern Ghana. The cotton industry has
suffered decline since the late 1990s because of managerial problems, undeveloped seed sector, low
yields, and declining world prices. The Savannah Agriculture Research Institute (SARI) has taken
the lead in addressing the seed problem with the introduction of a new cotton variety.

The other major cash crop is shea. The shea value chain, like all the other crops produced, is driven
by a production entry-point, and not a marketing one. Rural women who engage in the collection
and primary processing of nuts, and processing of crude shea butter persist in the use of traditional,
labour-intensive technology for butter extraction, and consequently produce low yields. Under this
strategy, a market-driven impetus is needed to propel a transformation of product-mix, quality,
improved technology and marketing. Interventions are required to improve the productivity of rural
women in the value chain and facilitate their participation in remunerative markets for crude shea
butter.

Livestock
Northern Ghana contributes 39 percent to national livestock numbers, 70 percent of beef cattle, and
36 percent of sheep and goats. Although generally higher than the rest of the country, livestock
numbers per household are modest (Table 1.6). The numbers are for only households that raise
livestock. The data does not indicate the proportion of households that own livestock. Results of a
survey in the Upper West Region in 2007 (Table 1.7) show that the percentage of the sample
households owning livestock ranges from a low of 43 percent for pigs, to over 80 percent for goats
and domestic fowls. This means that the benefits of interventions for the improvement of small
ruminants will be broad based or inclusive.

Table 1.6: Estimated Livestock Numbers per Household by Ecological Zones
                              Sudan               Guinea           Derived Savannah                                Coastal
 Livestock type              Savannah            Savannah            (Transitional)               Forest          Savannah
         Cattle                   12                 10                       9                 Negligible              6
         Sheep                    11                 12                       4                     6                   6
          Goats                   15                 9                        11                     6                  7
          Pigs                     9                 8                        9                      9                  7
      Guinea Fowl                 16                 12                       10                Negligible             12
     Domestic Fowl                20                 22                       18                   12                  15
Source: Computations from MOFA Livestock Growth Study Field Survey (2007/2008) and several other studies in the various ecological zones


 Table 1.7: Percentage of Households Owning Livestock in the Upper West Region

                                                                    Sissala        Sissala        Jirapa-
   Livestock type       Wa West        Wa East       Nadowli         East           West         Lambussie          Lawra          Total

                         N = 80        N = 50         N = 74        N = 53         N = 27          N = 92           N = 79        N = 455

       Cattle             33.8          58.0             71.6         45.3          96.3            83.7             49.4           60.4

       Sheep              58.8          36.0             60.8         49.1          77.8            70.7             55.7           58.5

        Goat              80.0          64.0             97.3         56.6         100.0            100.0            96.2           86.4

        Pig               31.3          10.0             60.8         3.8           7.4             67.4             68.4           42.9

      Donkey               1.3           0.0             0.0          26.4          44.4            14.1              1.3            9.0

      Chicken             77.5          50.0             94.6         50.9         100.0            94.6             93.7           81.8

    Guinea-fowl           38.8           8.0             77.0         32.1          70.4            76.1             68.4           55.4

      Turkey               5.0           2.0             1.4          0.0           7.4              7.6              5.1            4.2

       Duck                3.8           2.0             4.1          7.5           7.4              3.3              7.6            4.8
Source: Veterinary Services Directorate, MOFA (2008). PATTEC Socioeconomic Baseline Survey, Project Coordination Unit, Pong Tamale.

                                                                                                                                            7
Commercialization
Other aspects of agriculture in Northern Ghana are the degree of commercialisation and market
access7. Average land holdings range from 2.7 hectares in Upper West to 5.6 hectares in the
Northern Region. Average size of smallholdings has grown over the decade 1998-2006. This is
consistent with the trend of land expansion driving output growth. Existing data suggest that
commercialisation is not necessarily limited to commercial producers. Data on smallholder
characteristics from the Report of the Fifth Round of the Ghana Living Standards Survey (GLSS 5)
show that many smallholders sell produce. However, sorghum and millet are subsistence crops with
about 14 percent of farmers who have less than one (1) hectare selling the crops compared to 50
percent and 56 percent of small-scale farmers who sold groundnuts and beans respectively.
Surprisingly, many smallholder rice producers do not sell the crop implying that rice, a crop with
such high commercial potential is produced for subsistence by these farmers.

Other Potentials, Opportunities, Constraints and Challenges
The following are other potentials, opportunities, constraints and challenges that may be considered
as part of the current agricultural situation in the Northern Savannah Ecological Belt.

Potentials
Low population density in many parts, especially in the northern region: The population density in
the three northern regions ranges from a low of 25 persons per square kilometre in the Northern
Region to 31.2 persons per square kilometre in the Upper West and as high as 104 persons per
square kilometre in the Upper East region. The generally low population density implies that the
potential to increase production through land expansion exists (except perhaps in the Upper East
Region) even if such expansion is to be carried out cautiously. As already indicated this is coupled
with several tracts of lowland and fertile inland valleys that are currently under-exploited for
agriculture.

Similarly proper management of existing and the development of new irrigation facilities can
support increased production. Agricultural growth through intensification is also possible because
of the widening gap between potential yields and achieved yields. That is productivity limits have
not been reached. The agro-ecology, in general, supports a wide range of arable crops; and the flat
or gently undulating nature of the land is suitable for mechanised farming. In some instances,
however, bullock and donkey power may be more appropriate than tractor for land preparation due
to fragile soils.

Livestock thrives well in the savannahs of the north and most households own livestock which can
be improved; people are culturally accustomed to guinea fowl and small ruminant rearing. The
Savannah Agriculture Research Institute (SARI) has competent staff for fulfilling not only crop
production but the general mandate of expanding and helping to modernise the north’s agriculture.


Opportunities
The opportunities that characterise the current situation in the Northern Savannah, especially with
respect to agriculture include the following:

    There is a national recognition of agriculture as the vehicle for growth and poverty reduction in
    northern Ghana.


7
 The description of smallholder production is based on 2005/2006 GLSS survey and reported by Chamberlain (2007) for IFPRI’s
Ghana Strategy Support Programme.
                                                                                                                              8
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Sada strategy january 2011

  • 1. Savannah Accelerated Development Authority SADA (A Sustainable Development Initiative for the Northern Savannah) Strategy and Work plan (2010 – 2030) MAIN DOCUMENT Revised December 2010 Funding for this effort was generously provided by DfID-Ghana
  • 2. TABLE OF CONTENTS ACRONYMS ................................................................................................................................... VI EXECUTIVE SUMMARY ............................................................................................................ IX PART 1 ............................................................................................................................................... 1 STRATEGIC DIRECTIONS FOR SUSTAINABLE DEVELOPMENT OF THE NORTHERN SAVANNAH............................................................................................................... 1 CHAPTER ONE ................................................................................................................................ 1 INTRODUCTION AND SITUATION ANALYSIS ....................................................................... 1 1.1 Poverty in Northern Ghana ........................................................................................................ 1 1.2 The Situation Analysis ............................................................................................................... 4 1.2.1 Natural Resource Base ......................................................................................................................................... 4 Agriculture ..................................................................................................................................................................... 4 1.2.2 Water Resources ................................................................................................................................................... 9 1.2.3 Mineral Resources .............................................................................................................................................. 11 1.2.4 Energy................................................................................................................................................................. 12 1.3 Private Sector Development .................................................................................................... 12 1.3.1 The Investment Climate ...................................................................................................................................... 12 1.3.2 Industrial and Manufacturing Activities ............................................................................................................. 13 1.3.3 Tourism ............................................................................................................................................................... 13 1.4 Human Resource Development ............................................................................................... 14 1.4.1 Education ............................................................................................................................................................ 14 1.4.2 Health ................................................................................................................................................................. 16 1.5 Risks and Vulnerability ........................................................................................................... 17 1.5.2 Trans-Border Health Risks and Vulnerabilities ................................................................................................. 19 1.5.3 Risks associated with inadequate development of housing infrastructure .......................................................... 19 1.5.4 Human-induced Shocks, Cycles and Trends ....................................................................................................... 20 1.5.5 Limited investment in agricultural infrastructure ............................................................................................... 20 1.5.6 Risks associated with inadequate development of housing infrastru .................................................................. 21 CHAPTER TWO ............................................................................................................................. 22 STRATEGIC DIRECTIONS FOR SUSTAINALBE DEVELOPMENT OF NORTHERN SAVANNAH ..................................................................................................................................... 22 2.1 Overview and Framework ....................................................................................................... 22 2.1.1 Introduction ........................................................................................................................................................ 22 2.1.2 Components ........................................................................................................................................................ 22 2.2 Northern Savannah Development Strategy ............................................................................. 23 2.3 Overall Framework .................................................................................................................. 24 2.3.1 Advantages ......................................................................................................................................................... 26 2.3.2 Disadvantages .................................................................................................................................................... 26 2.4 Rehabilitation and Adaptation ................................................................................................. 28 CHAPTER THREE ......................................................................................................................... 30 MODERNIZATION OF AGRICULTURE .................................................................................. 30 3.1 Strategic Direction for Modernising Agriculture in Northern Ghana ..................................... 30 3.2 Entry points of the strategy ...................................................................................................... 31 i
  • 3. 3.3 Preconditions for modernisation .............................................................................................. 32 3.3.1 Paradigm shifts ................................................................................................................................................... 33 3.3.2 Build assets of the poor ...................................................................................................................................... 34 3.3.3 Increase productivity of all stakeholders along the value chain......................................................................... 35 3.3.4 Competitiveness in Access to Markets ................................................................................................................ 37 3.3.5 Promoting Commodities of Competitive Advantages ......................................................................................... 40 Rice ........................................................................................................................................ 40 Other Staple crops ................................................................................................................. 41 Tree Crops (Mango and others) ............................................................................................ 41 Integration of crop and small ruminant livestock.................................................................. 42 Guinea Fowl development ..................................................................................................... 42 3.4 Instruments for Delivering Agriculture Modernisation Strategies .......................................... 43 3.4.1 Relations with Public Sector ............................................................................................................................... 43 3.4.2 Legal and regulatory framework for agriculture modernisation strategy .......................................................... 43 CHAPTER FOUR ........................................................................................................................... 44 NON-FARM INVESTMENT AND BUSINESS (PRIVATE SECTOR) DEVELOPMENT .... 44 4.0 Strategic Objectives ................................................................................................................. 44 4.1 Repositioning Northern Ghana as Common Economic Zone in Savannah/Sahel ................... 44 4.1.1 Proposed Strategies for Promoting the North as a Competitive Economic Zone ............................................... 46 4.2 Expanding the Scope and Numbers of Private Firms/Investments in the North ..................... 49 4.2.1 Value Added Agriculture .................................................................................................................................... 49 High value fresh produce sub sector...................................................................................... 50 Canned products .................................................................................................................... 50 Rice Milling ........................................................................................................................... 51 Textiles .................................................................................................................................. 51 Oil Seed ................................................................................................................................. 52 4.2.2 Tourism ............................................................................................................................................................... 52 4.2.3 Mineral Exploration and Exploitation ................................................................................................................ 54 4.2.4 Metal Manufacturing and Fabrication ............................................................................................................... 54 4.2.5 Transport and Logistics Management ................................................................................................................ 54 4.2.6 Knowledge Services ............................................................................................................................................ 55 4.2.7 Life Sciences ....................................................................................................................................................... 55 4.3 Empowering the People to participate in the “New” Economy .............................................. 56 4.3.1 Human Resource and Business Skills Development ........................................................................................... 56 4.3.2 Indigenous MSE Development ............................................................................................................................ 57 4.3.3 Financial, Fiscal and Regulatory Incentives ...................................................................................................... 58 4.4 Immediate and Short-Term Implementation Steps .................................................................. 58 CHAPTER FIVE ............................................................................................................................. 60 BUILDING CAPACITIES FOR RESILIENCE AND DISASTER RISK REDUCTION IN A FORESTED NORTH ...................................................................................................................... 60 5.1: Introduction ............................................................................................................................ 60 5.1.1 The Context of Vulnerability ............................................................................................................................... 60 5.1.2: Implications of the context for the creation of a forested north ........................................................................ 60 5.2: Providing a Framework for Disaster Preparedness and Response ......................................... 61 5.2.1: Improving Early Warning and Disaster Risk Recognition ................................................................................ 61 5.2.2: Institutionalizing More Effective Disaster Relief Response Mechanisms.......................................................... 61 5.2.3: Building of strategic funding mechanism for disaster response ........................................................................ 61 5.3 Improving Disaster Risk Reduction and Response Capacities ................................................ 63 5.3.1: Promote Agricultural Sector Risk Reduction .................................................................................................... 63 5.3.2: Promoting Appropriate Housing and Infrastructure Development ................................................................... 63 5.4 Sustaining Improved Housing and Shelter Development ........................................................ 65 ii
  • 4. 5.4.1: Stimulate the set up of rural housing development enterprises ......................................................................... 65 5.4.2: Support Access to Business Development Services ........................................................................................... 66 5.4.3: Facilitate Access to Financial Services for Housing Schemes .......................................................................... 66 5.4.4: Upgrade Technical Skills of Artisans ................................................................................................................ 66 5.4.5: Support research on housing development........................................................................................................ 66 5.5 Improving Water Resource Management for Sustainable Development ................................ 66 5.6 Sustainable Livelihoods and Enhanced Disaster Risk Reduction ........................................... 68 5.6.1: Enhancing Food and Livelihood Securities....................................................................................................... 68 5.6.2: Rebuilding Social Safety Nets for the Vulnerable ............................................................................................. 69 5.6.3: Assuring Human Safety and Security ................................................................................................................ 69 CHAPTER SIX ................................................................................................................................ 71 FOOD, LIVELIHOOD SECURITY AND SOCIAL PROTECTION ........................................ 71 6.1 Protecting Vulnerable Populations .......................................................................................... 71 6.1.1 Upholding the Rights and Entitlement of the poor to basic needs ...................................................................... 71 ii). Quick Launch Community Resilience and Livelihoods Rebuilding Initiatives ................ 72 iii). Increasing the Availability of and Access to Food and Water .......................................... 72 6.2 Building the Foundations for Economic Growth through Food Security for All .................... 73 6.2.1 Increasing access to food.................................................................................................................................... 73 6.2.2 Improving food utilization and healthy lifestyles ................................................................................................ 74 6.3 Transitioning the Poor into mainstream productive economy................................................. 74 6.3.1 Supporting Risk minimization strategies ............................................................................................................ 74 6.3.2 Asset accumulation, diversification and improved management ........................................................................ 75 PART II ............................................................................................................................................ 77 ENHANCING THE PRE-CONDITIONS FOR SUSTAINABLE DEVELOPMENT IN NORTHERN GHANA .................................................................................................................... 77 CHAPTER SEVEN ......................................................................................................................... 77 STRATEGIC INFRASTRUCTURE DEVELOPMENT ............................................................. 77 7.0: Introduction ............................................................................................................................ 77 7.1 Transport Infrastructure ........................................................................................................... 77 7.1.1 Objective 1: Positioning the North as a Competitive Economic Zone ................................................................ 77 7.1.2 Objective 2: Opening Up and Facilitating Economic Activities ......................................................................... 79 7.1.3 Objective 3: Facilitating Trade between the North and South ........................................................................... 81 7.1.4 Special Production Zones ................................................................................................................................... 82 7.2 Human and Environmental Interactions in Northern Ghana ................................................... 82 7.2.1 Development Programme for the Upper West Region........................................................................................ 83 7.2.2 Development Programme for the Upper East Region ........................................................................................ 84 7.2.3 Development Programme for the Northern Region ............................................................................................ 84 7.3 Energy Production and Use in the North ................................................................................. 85 7.3.1 Strategic Objective 1 .......................................................................................................................................... 85 7.3.2 Renewable Energy — Policy Objectives ............................................................................................................. 86 7.3.3 Petroleum — Policy Objectives .......................................................................................................................... 86 7.3.4 Electricity — Policy Objectives .......................................................................................................................... 87 7.3.5 Energy Efficiency and Conservation – Policy Objectives and Strategy ............................................................. 87 7.3.6 Strategic Objective 2 .......................................................................................................................................... 87 iii
  • 5. CHAPTER EIGHT .......................................................................................................................... 88 EDUCATION AND HEALTH FOR HUMAN CAPITAL DEVELOPMENT .......................... 88 8.1 Education and Health Strategies .............................................................................................. 88 8.1.1 Promoting High Quality Human Resource Development ................................................................................... 88 8.1.2 Changing the Composition of Education ............................................................................................................ 89 8.1.3 Improving Health and Well-being of Northerners .............................................................................................. 89 CHAPTER NINE ............................................................................................................................. 92 PEACE AND SECURITY .............................................................................................................. 92 9.1 Assuring Human Safety and Security ...................................................................................... 92 9.2 Strategies for Peace-Building and Conflict Mitigation ........................................................... 92 9.2.1 From Security to Peace-building ........................................................................................................................ 93 9.2.2 From Emergency Response to Early Warning.................................................................................................... 93 9.2.3 Strengthening Traditional Leadership ................................................................................................................ 94 9.2.4 From Short-Term to Long-Term — Reaping Peace Dividends .......................................................................... 94 CHAPTER TEN............................................................................................................................... 95 MAINSTREAMING GENDER IN THE NORTHERN DEVELOPMENT INITIATIVE ...... 95 10.1 Introduction and Background ................................................................................................ 95 10.2 Broad Objectives on Gender.................................................................................................. 95 10.2.1 Objective One: Improve Technology and create value-addition in Women’s Activities................................... 95 10.2.2 Objective 2: Increase Women’s participation in and benefits from the process of economic development ..... 96 10.2.3 Objective 3: Identify potential new areas of economic activities for women .................................................... 96 10.2.4 Engendering the Northern Savannah Development Initiative .......................................................................... 96 PART III ........................................................................................................................................... 97 GOVERNANCE, INSTITUTIONAL ARRANGEMENTS, FINANCIAL MANAGEMENT, STRATEGIC RESULTS, MONITORING & EVALUATION................................................... 97 CHAPTER ELEVEN ...................................................................................................................... 97 INSTITUTIONAL DIMENSIONS AND GOVERNANCE OF THE DEVELOPMENT STRATEGY ..................................................................................................................................... 97 11.1 Regional Development Focus within National Development Planning ................................ 97 11.1.1 The Missing Middle in Regional Development Planning and Implementation................................................. 98 11.1.2 Recognizing Regional Inequalities within National Planning .......................................................................... 98 11.2 Case for a Legal Institution to Coordinate Accelerated Development in the North .............. 99 11.3 SADA Governance Arrangements .................................................................................. 100 11.3.1 Board of Directors ....................................................................................................... 100 11.3.2 Stakeholder Coordinating Committee .................................................................................................... 100 11.4 SADA Institutional Arrangements .................................................................................. 101 11.4.1 Secretariat .............................................................................................................................................. 101 11.4.2 Functional Units under the Secretariat .................................................................................................. 101 11.4.3 SADA Organizational Structure (proposed) ........................................................................................... 102 iv
  • 6. CHAPTER TWELVE FINANCING THE NORTHERN SAVANNAH DEVELOPMENT STRATEGY ................................................................................................................................... 103 12.1 Areas of Investment Requirements...................................................................................... 103 13.2 Sources of Financial Contributions ..................................................................................... 103 12.2.2 Other Sources ................................................................................................................................................. 104 12.2.3 Participants .................................................................................................................................................... 104 12.2.4 Development Partners .................................................................................................................................... 104 12.2.5 District Assemblies ......................................................................................................................................... 104 12.2.6 Miscellaneous Sources.................................................................................................................................... 105 12.3 Financial Management Arrangements ................................................................................. 105 CHAPTER THIRTEEN STRATEGIC RESULTS FRAMEWORK, MONITORING & EVALUATION .............................................................................................................................. 106 13.1 Development Objective and Key Indicators ........................................................................ 106 13.2 Monitoring, Evaluation and Accountability .................................................................... 109 13.3 Indicators for Change ...................................................................................................... 109 13.1.1 Outcome-level Indicators................................................................................................................................ 109 13.2 Accountability to Citizens ................................................................................................... 111 13.3 Accountability to Parliament ............................................................................................... 111 REFERENCES .............................................................................................................................. 112 APPENDICES ................................................................................................................................ 114 Appendix I: Appendix Tables...................................................................................................... 114 Appendix Table A1. Choice of commodities and spatial distribution......................................... 114 Appendix Table A2: Summary of Costs...................................................................................... 115 Appendix Table A3. Crop budgets of selected staple crops ..................................................... 116 APPENDIX II: The Design and Operation of the Voucher System ............................................ 120 Appendix III: Model for Operationalizing the Accelerated Food Production Initiatives............ 122 Implementation Plan .................................................................................................................... 124 v
  • 7. ACRONYMS AESL Architectural and Engineering Services Limited APR Annual Progress Monitoring Report BRRI Building and Road Research Institute CAPs Community Action Plans CDD Community Driven Development CEC Community Enterprise Development Centre CEPA Centre for Policy Analysis CEPS Customs Excise and Preventive Service CIDA Canadian International Development Agency CIFS Community Initiated Food Security CHP Community Health Post CRC Citizens Report Card CSC Community Score Card CSIR Council for Scientific and Industrial Research CSM Cerebrospinal Meningitis CSOs Civil Society Organizations DACF District Assemblies Common Fund DANIDA Danish International Development Agency DFID Department for International Development (United Kingdom) DISCAP District Capacity Building Project DISEC District Security Committee DPs Development Partners DWAP District-wide Assistance Project ECOWAS Economic Community of West African States EDIF Export Development and Investment Fund EFA Education for All FAO Food and Agricultural Organization FBOs Farm-Based Organizations FCUBE Free Compulsory Universal Basic Education GEDAP Ghana Energy Development and Access Project GEF Global Environment Facility GEPC Ghana Export Promotion Council GES Ghana Education Service GETFund Ghana Education Trust Fund GHS Ghana Health Service GIDA Ghana Irrigation Development Authority GIPC Ghana Investment Promotion Centre GLSS V Ghana Living Standards Survey (Fifth Round Report) GoG Government of Ghana GPI Gender Parity Index GPRS I Ghana Poverty Reduction Strategy GPRS II Growth and Poverty Reduction Strategy GRATIS Ghana Regional Appropriate Technology and Industry Service GSS Ghana Statistical Service GTZ Deutsche Gesellschaft fur Zusammenarbeit (German Technical Cooperation) GWCL Ghana Water Company Limited HR Human Resources ICA Investment Climate Assessment ICT Information and Communication Technology IFAD International Fund for Agricultural Development vi
  • 8. IFPRI International Food Policy Research Institute IRS Internal Revenue Service IPA Institute for Policy Alternative ISODEC Integrated Social Development Centre ITFC Integrated Tamale Fruit Company ITTU Industrial Technology Transfer Unit JICA Japanese International Cooperation Agency KACE Kenyan Agricultural Commodity Exchange LAP Land Administration Project LPG Liquefied Petroleum Gas M&E Monitoring and Evaluation MCA Millennium Challenge Account MDAs Ministries Departments and Agencies MDGs Millennium Development Goals MiDA Millennium Development Authority MOFA Ministry of Food and Agriculture MOFEP Ministry of Finance and Economic Planning MMDAs Metropolitan Municipal District Assemblies MMR Maternal Mortality Rate MMW4P Making Markets Work for the Poor MSE Micro and Small Enterprise NADMO National Disaster Management Organization NBSSI National Board for Small-Scale Industries NDPC National Development Planning Commission NER Net Enrolment Ratio NEPAD New Partnership for Africa’s Development NES National Electrification Scheme NGO Non-governmental Organization NHIS National Health Insurance Scheme NORD Northern Ghana Development Fund NORRIP Northern Region Integrated Development Project NR Northern Region NSDI Northern Savannah Development Initiative NSDFund Northern Savannah Development Fund NSDS Northern Savannah Development Strategy NYEP National Youth Employment Programme OPD Out Patients Department QUIPS Quality Improvement in Primary Schools R&D Research and Development RCCs Regional Coordinating Councils REGSEC Regional Security Committee RGD Registrar Generals’ Department RPCUs Regional Planning and Coordinating Units SADA Savannah Accelerated Development Authority SARI Savannah Agricultural Research Institute SHEP Self-Help Electrification Programme SLM Sustainable Land Management SPI Sustainable Peace Initiative SRID Statistics Research and Information Directorate of MOFA SSBs Soil Stabilized Blocks TIRP Trade and Investment Reform Programme vii
  • 9. TIPCEE Trade and Investment Programme for a Competitive Export Economy TVET Technical and Vocational Education and Training UDS University of Development Studies UER Upper East Region UNDP United Nations Development Programme UNICEF United Nations Children and Education Fund USAID United States Agency for International Development UWADEP Upper West Agricultural Development Project UWR Upper West Region VCF Venture Capital Fund VRA Volta River Authority WFP World Food Programme WHO World Health Organization WRI Water Research Institute WSD Whole School Development viii
  • 10. EXECUTIVE SUMMARY1 There is a visible developmental gap between Northern and Southern Ghana, with the North registering significantly higher levels of poverty than the Southern export economy. Bridging this developmental gap has been a long-stated goal of most post-independence Governments of Ghana. The approach has nearly always been distributionist to address imbalances in education, health and social welfare services. In this strategy, a growth and sustainable development approach is adopted to both increase incomes among the poorest and transform the northern Ghanaian economy and society into a regional nexus of increased productivity of food and a buffer against persistent droughts and sporadic floods. A Paradigm-shift Using the vision of a “Forested North and Green North”, this strategy defines the parameters of a major paradigm-shift in stimulating economic growth and sustainable development by ensuring that small-holder families and poor farmers develop a long-term stake in agriculture by inter-cropping with economic trees. The trees, moreover, provide a protective buffer against floods, serve to renew soils and enhance environmental regeneration. Gravitating around a forested north are complementary investments in roads, energy and water resources, education and health. These investments will enhance the pre-conditions and improve the skills and competencies to manage an integrated economy oriented towards improving productivity, trade and investments in a sustainable manner. Principles A number of principles inspired the preparation of this long-term strategy for Northern Ghana’s development. These include: • Government commitment, demonstrated by a decisive policy directive from the President of Ghana, contained in the 2008 Budget Statement and Economic Policy. In this document, Government of Ghana mandated the preparation of a long-term strategy to reverse decades of neglect of the north, and to set the path for sustainable development. Correspondingly, the 2008 Budget Statement proposed the establishment of the Northern Ghana Development Fund, with an amount of GHC25 million as seed capital for that fund. Since then there has been a change in government in Ghana. The new government remained so committed to accelerated development in the Northern Savannah, it has extended the coverage to the entire Northern Savannah Ecological Belt. A new law, SADA Act 805, 2010 has been passed; the strategy to target the Northern Savannah as a special development area has been incorporated in Ghana’s Medium-term Development plan prepared by the NDPC; and high- level discussions are underway for sustainable funding of SADA. • Stakeholder Engagement and mandate, reflected in systematic engagement of key stakeholders, including Chiefs, Private sector leaders, Regional Ministers, District Chief Executives, Civil Society Organizations, Members of Parliament, and Development Partners. These stakeholders gave guidance at the beginning of the strategy formulation; reviewed and commented on various versions of the strategy; and participated in key decisions at critical milestones of policy formulation and legislative processes for SADA. • Harmonization with existing plans and programmes demonstrated by several rounds of consultations with Ministries, Departments and Agencies of Government, research 1 This report was prepared by a team consisting of Charles D. Jebuni (Team Leader, CEPA); Sulley Gariba (Director, IPA and Development Specialist); Ramatu M. Alhassan (Agricultural Economist); Augustine Adongo (Private Sector Specialist); Hippolyt Pul (Livelihood Security and Social Protection Specialist); James Dassah (regional Economic Planning Officer, UWR); Sagido Issaka (Regional Economic Planning Officer, UER); and Gregory Addah (Regional Economic Planning Officer, NR). ix
  • 11. institutions, the private sector and the National Development Planning Commission’s process of preparing the Medium-term Development Plan for Ghana. Approach In preparing this long-term strategy for development of Northern Savannah, four considerations were paramount (a) representativeness of the technical team leading the process; (b) technical consultations in defining the broad strategy; (c) stakeholder consultations to refine priorities for strategic investments, roles and responsibilities of key actors; and (d) engaging Government and Parliament to establish the legal framework for both the strategy and the associated Savannah Accelerated Development Authority. The technical group of Ghanaian development specialists was established by two leading institutions — the Centre for Policy Analysis (CEPA) and the Institute for Policy Alternatives (IPA). The expertise in the team reflects the professional endowments of the three regions. The technical team also included the three Regional Economic Planning Officers, representing the Regional Coordinating Councils (RCCs) of the three regions. The team worked through a series of retreats, involving technical working sessions with key Ministries, Departments and Agencies (MDAs) focusing on Northern Ghana development issues. The Strategy Vision: The strategy is based on the concept of a “Forested North and Green North” where agricultural production is modernized and oriented towards a larger market embracing the Sahelian countries, including northern Cote d’Ivoire and Togo. It is premised on the fact that the north has substantial growth potential in agriculture, tourism, and mining. The best way to address the chronic poverty and the development gap is through economic growth utilizing the north’s most abundant resources. Economic growth is also the most efficient means to address poverty and induce long-term adaptation to climate changes while maintaining the dignity of people in the north. The Northern Savannah Development Initiative is therefore aimed at developing a diversified and resilient economic zone in the North. Goal: The goal is to double per capita incomes of northern Ghanaians and reduce the incidence of poverty to 20 percent within 20 years in the Northern Savannah Ecological Belt. What is Different in the Northern Development Initiative? This Strategy is a very ambitious coordinated effort towards achieving a Forested North over a period of 20 years. There are six unique features of this development initiative that are different from previous efforts. 1. Development of a Comprehensive Regional Strategy that operates within a national development framework. At the national level, a seven-year development plan is underway, creating the incentives and enabling conditions for Ghana to become a middle-income country. At the regional level, Northern Savannah Development Initiative (SADA) is to provide direct opportunities for communities, private sector and civil society to gain needed inputs in order to transform the natural resources into sustained incomes and assets. In this sense, it is our belief that the development of a poverty-prone area must be public sector- led, private sector-based and facilitated by civil society which has a long tradition of development facilitation in the area. In this sense, the state not only provides incentives, but also encourages economic and social transformation through long-term capital and an input delivery system. x
  • 12. 2. A model for the modernization of agriculture that starts from generating a market impetus as the main catalyst for stimulating farmers to produce, with improved technology and timely inputs. By this strategy, farmers do not wait to find markets after they have produced; rather the market defines their production targets and quality. This strategy is also mindful of food security requirements, especially in the most vulnerable areas. 3. A major effort in development of infrastructure in a strategic manner. We propose a circular road network that connects the three Northern regions of Upper West, Upper East, Northern, Regions, such that the large production plains that lie in-between the regions are opened-up for brisk farming and economic activities. This road network will be accompanied by an appropriate irrigation and water resources infrastructure, especially drip- irrigation which can be owned by small-holder farmers to facilitate cultivation of cereals, fruits and vegetables all year-round. 4. Strong linkage between Northern Ghana consisting of the three northern regions and contiguous districts in the northern parts of the Brong Ahafo and Volta regions, and the Sahelian countries — Burkina Faso, Niger, Mali and Northern Ivory Coast — to open-up a truly regional market for goods and services, with Northern Ghana serving as the supply and industrial hub. 5. A vigorous private sector initiative that strengthens existing private operators, as well as attract new investments in the manufacturing, processing, transport and tourist services in the North of Ghana. From the nature reserves of Mole and Bui, the Hippo sanctuary of Wechau, the Crocodile ponds of Paga, Northern Ghana captures the nature heart-beat of Ghana. 6. Support for Civil Society Organizations and NGOs that have long sustained livelihoods and provided a base for mobilizing citizens to engage actively in development throughout the three (3) regions and the districts contiguous to them. Elements of the strategy address the three fundamental objectives for commissioning the work (a) reducing poverty, (b) adaptation to climate change, thereby reducing the frequent occurrence of floods and droughts (c) building the human capital, economic infrastructure, investment and private sector base to manage social, economic and ecological transformation in northern Ghana. • Our pro-poor growth model is based on modernizing agriculture sequentially, using initially Northern Ghana’s most abundant factors — land and sunshine — and less of purchased inputs. The strategy further takes into consideration the fragility of the soils, the short rainy seasons, and the vagaries of the weather associated with climate change. Growth must be gender balanced by recognizing the disadvantaged position of women in the North. • The framework for long-term adaptation to floods and droughts is premised on the belief that economic growth provides the means by which individual households can accumulate the wealth and assets which they rely on during periods of disaster and other contingencies. Creating the economic base through growth for individuals to provide for themselves will enhance their dignity. In terms of displacement and destruction of property, the evidence shows that the poor were the most affected. Poverty implied that the type of building materials used and the foundation laid were weak and therefore vulnerable to floods. At the same time, the type of economic activities near rivers and water bodies has to change to provide some protection. Planting of tree crops along the banks of rivers will provide some protection. This should be done outside the distance that the Volta River xi
  • 13. Authority (VRA) will recommend. Indeed, our strategy of tree crops could more easily start in these areas where water pumps can be used to provide irrigation, until the needed reversals in climate kick-in over the long-term, as a result of the emergence of a forested North. For rehabilitation, particularly housing construction, to be sustainable one needs to train artisans in the chosen technologies to provide the relevant services. While creating employment in the areas, this strategy also provides the relevant skills that may be applied in other areas. It also provides a basis for increased non-farm economic activities. Housing types and designs must be consistent with traditional structures so that no changes in cultural and social behaviour and adaptation may be required. In other words, the strategy is to maintain the advantages of the traditional house type and therefore social and cultural relations. Modernized agriculture The agricultural modernisation strategy provides multiple entry points to allow for inclusive growth and poverty reduction. The six entry points of the strategy are: 1) A marketing-based out-grower system that defines the shape of existing and expanded markets. This will propel the emergence of a growing private sector capable of engaging producers in a manner that responds to client and market demand. 2) Tree crop production as a source of steady flow of incomes to empower the poor to build their assets and enhance their capacity to invest in farm and non-farm production activities. Farmers will have the option of intercropping the tree crops with groundnut, cowpea, or soybean in the first three to five years of tree crop establishment as part of the transitional food and livelihood security strategy and for intensifying the use of land. The output of groundnut and soybean will feed vegetable oil mills. 3) Selected staple crop production systems for productivity improvement to increase northern Ghana’s competitiveness as a supply source for the sub-regional market. This recognises that not all smallholders will have the capacity to go into tree crops and will continue to rely on staple crops for sustenance and means of income. Crops will be selected on the basis of current demand and potential to generate agro-industrial activity. 4) Horticulture production to diversify into export agriculture which has been a source of growth and significant poverty reduction among farmers in southern Ghana. This will be a good avenue for targeting women and the youth. 5) Semi-intensive production of small ruminants, pigs and guinea fowl also to diversify farm income sources and provide income opportunities for land scarce parts of the north. 6) Agro-processing as a reliable source of demand for agricultural raw materials to drive value chains, while targeting women because processing is an activity women are normally engaged in. Private Sector Investment and Development There are three strategic objectives to be accomplished in this segment of the SADA. • Repositioning northern Ghana as a competitive economic zone in the Savannah/Sahel region2 of West Africa. 2 Defined to include Burkina Faso, Mali, Niger, northern Cote D’Ivoire, Northern Togo, Northern Benin, and beyond. xii
  • 14. • Expanding the scope and numbers of private sector firms and entrepreneurs investing in value-addition in the north. In particular, the promotion of export and marketing of high- value fruits and vegetables will expand the number, scope and diversity of agriculture- related investment initiatives. • Empowering people in the north to participate effectively in the “new economy” through training, entrepreneurship development and the provision of business development services in general. These will include the establishment of a Venture Capital Facility for Northern Ghana, the creation of a Northern Ghana Investment Risk instrument. Livelihood Security, Social Protection and Peace Modicums of special initiatives are required to enable poor households step out of their poverty traps and step up to the challenges of rebuilding their livelihoods. These bridge-over initiatives will include: • Pro-poor initiatives that create synergies between growth and social protection to ensure sustainable and inclusive development in the north. These include (a) financial and capacity-building facilities for the poor to build community and private assets; (b) food assistance during periods of food insecurity and emergencies; (c) improved seeds and economic tree seedlings to begin the process of inter-cropping towards a forested north. • Peace initiatives that combine conflict mediation with institutional support for traditional authorities and governmental institutions to work cooperatively towards sustained peace. The Northern Peace Initiative currently coordinated by the three Regional Coordination Councils (RCCs) provides a useful framework and is being implemented progressively. In the SADA, two approaches are adopted to tackle conflict mitigation and peace-building: o The first is build capacities and deepen the collective efforts by organized CSOs and government in increasing awareness and building consensus among key stakeholders. This will include transforming the institutional mix for addressing conflict from a “security” approach to “peace-building” efforts. o The second is a more sustained long-term effort to bring about human security through rapid social and economic development, thereby reducing poverty and minimizing the tensions that are associated with deepening poverty, marginalization and exclusion of the most vulnerable in the major decisions that affect their livelihoods. Post-flood rehabilitation The types and factors of vulnerability that afflict the people of northern Ghana are largely related to climate. However, the conditions of widespread poverty in the north exacerbate the impact of these vulnerabilities, when they occur. A two-prong approach is proposed under the SADA (a) short term initiatives that enable affected households to rebuild lost assets and livelihoods and (b) long term economic growth initiatives that enable disaster prone communities to develop increased resilience and more robust mechanisms for mitigating the impact of disasters in the future. Programmatically, the SADA proposes two efforts in this regard: • Flood Mitigation, which will address four aspects of flooding in the White and Black Volta River Basins: (i) catchment management; (ii) identification and preparation of mid catchment multipurpose structural flood protection options and their implementation;3 iii) 3 The GoG has already called for the mobilization of the Field Engineers Regiment of the Ghana Armed Forces to intervene in the flood areas of northern Ghana to implement any possible dredging of the river basins and install flood protection dykes. xiii
  • 15. immediate floodplain management options; and (iv) establishment of a flood early warning system.4 • Drought Prevention, which will address major efforts in growing economic tress on farms, as well as the protection of existing tree cover in the North by (a) fire-prevention, through community-level volunteers and the Fire Service; (b) undertaking major tree-pruning and disease-prevention exercises, annually, in a manner similar to cocoa spraying exercises and the creation of diversions and wells along the rivers. Pre-conditions for sustainable development Infrastructural inadequacies in road, transportation and communications networks, water resources, as well as energy imply heavy initial investment and reduced profitability in undertaking economic activities. Limited human capital, especially the level and quality of education and skills development and the debilitating effect that poor health facilities have on human capital formation, create problems in terms of attracting economic activities and retaining labour. Poor health facilities are a disincentive to investors. Perceptions of instability and conflict reduce the risk- adjusted returns to investment and divert resources to other uses. For the programme of economic and social transformation to succeed, the SADA proposes a series of coordinated investment to eliminate infrastructural constraints, improve the human capital base, and create the economic conditions necessary to attract, retain, and increase the profitability of investments. These include: • A focus on strategic infrastructure — roads, improved water resources, energy • Alignment of basic social infrastructure in education and health with the human resource implication of the sustainable development and growth focus • Priority in establishing peace-building and conflict mitigation strategies to create the enabling environment for investments Water Resources SADA strategy for improving the water resources management reflects both our needs for synergy, at the River Basin level, and the specific needs of the three regions: • Upper West — presence of Black Volta River and its tributaries in the region allows for ample exploration of the options such as pumping from the river and bunding with improved drainage • Existing dams and dugouts created and/or rehabilitated during UWADEP create opportunity for water productivity increase interventions. • Upper East — White Volta River was considered for pumping from the river and bunding with improved drainage options; Road network options for the culverts and bridges with small retention reservoirs are suitable for the region, but these options are yet to be explored and actively carried out. • Northern Region — downstream portions of White Volta River were considered for pumping from the river and bunding with improved drainage options Energy To enhance the efficient and equitable supply of energy to support and sustain the fragile economy and ecology of the North. Policy may be guided by the following principles: • Least cost principle to provide economic and reliable energy supplies that are dependable; 4 Both the World Bank and the UNDP (OCHA) have been working at various levels in supporting GoG to prepare and enhance capacity for such an Early Warning System and Strategic Plan. xiv
  • 16. • Diversification of our primary sources of energy recognizing the drought-like nature of the North; • Assuring energy security through the development of local and indigenous resources; • Energy efficiency and conservation awareness creation; • Promotion and development of renewal energy technologies such as biomass, solar and wind. Education and Health Strategies Our approach in addressing the issues of education and health, so that they play a critical role in the transformation of the North proposes that: • Increase the role of the private sector and faith-based organizations in the provision of education and health services in the north. • The state and other development partners provide grants to support the development of educational infrastructure managed by NGOs, faith-based organizations as well as the private sector, especially those operating in rural areas. • Provide incentive schemes for health and education workers that accept posting to rural schools. Managing for Development Results The NDI proposes six main results, and these are further defined as components of the strategy: 1. Community-Driven Development actions that will stimulate the modernization of agriculture development and competitiveness of small holders, notably women, through improved technology, promoting efficiency for the domestic and export market. By combining economic trees with cereals, legumes, vegetables and fruits, the northern farmer will double their incomes, create more jobs, protect the environment and end prolonged droughts and sudden floods. This CDD effort will further empower men and women to transform their production orientation towards an expanded market demand; to sustain food security and livelihood activities and reduce their vulnerability to drought and flooding 2. Private Sector Development initiatives that would stimulate investment and business development in northern Ghana in a manner that would change the mind-set and stimulate the creation of high value jobs and increased incomes. It will further stimulate the growth of investors and business entrepreneurs capable of providing the impetus for sustained value-added production and services in the northern, savannah sector, oriented towards a Sahelian market. 3. Investments in strategically-targeted economic and social infrastructure that will relieve critical development constraints and create the pre-conditions for accelerated development and open up production zones for increased production and transit into the expanded markets in Sahel states north of northern Ghana. These would also include social infrastructure, such as education, health and social welfare to complement the economic ones. These investments will be targeted initially at a series of inter-connected infrastructure of roads, energy, water resources, health and education in a manner that reinforces alternative production and market access, while reducing the incidence of droughts and floods. 4. Food, Livelihood Security and Peace Initiative focusing on improved access to food, sustainable livelihoods, as well as safety-nets investments, targeted initially at the most vulnerable areas and those severely affected by the floods of 2007 and 2008. xv
  • 17. Concurrently, a peace initiative which is already underway in the three regions will be enhanced. Empowering marginalized and vulnerable women and men to participate actively in the social and economic recovery process, in peace-building and gaining assets and improved incomes through this process. 5. Flood Mitigation and Environmental Renewal focusing on improved water resources management and disaster preparedness, in order to mitigate the perennial floods and droughts in the north. 6. Institutional Capacity Building to enhance strategic planning, fund mobilization and management and to support a rigorous, independent monitoring and evaluation of the developmental impacts to reduce regional inequalities and show progress towards accelerated development. Monitoring, Evaluation and Accountability The M&E strategy accompanying the SADA proposes: 1. Results-oriented M&E Capacity-building among key stakeholders associated with the SADA. Through their engagement in the determination of the strategic results framework for the SADA and the establishment of a credible baseline prior to the start-up of the initiative, stakeholders will be informed and engaged in demanding accountability. 2. Systematic monitoring of output-level results in a manner that links resources with changing attitudes and practices associated with the notion of a paradigm-shift in the way development is planned and implemented. 3. Stakeholders are empowered and engaged in the processes of monitoring and evaluation, through the use of both formal, rigorous tools for M&E, as well as participatory monitoring and evaluation approaches. 4. Both upward and down accountability systems enhanced to enable citizens of the north and representative leaders (District Assemblies, Traditional Authorities, Parliament and the Government of Ghana) to demand accountability and those managing SADA to render accountability in a transparent and timely manner. xvi
  • 18. PART 1 STRATEGIC DIRECTIONS FOR SUSTAINABLE DEVELOPMENT OF THE NORTHERN SAVANNAH CHAPTER ONE INTRODUCTION AND SITUATION ANALYSIS The strategy for accelerated development of the Northern Savannah (SADA)5 constitutes a key part of attempts being made by the Government of Ghana and other stakeholders to address the continuing high incidence and concentration of poverty in the Savannah Ecological Belt of Ghana. These efforts also reflect the general desire to confront and bridge the development gap between the northern and southern parts of the country. 1.1 Poverty in Northern Ghana Ghana has made considerable progress in poverty reduction. From a level of 51.7 percent of the population being described as poor on the basis of the headcount in 1991/92, poverty declined to 39.5 percent in 1998/99 and further to 28.5 percent in 2005/06. In terms of the hardcore poor, poverty in Ghana declined from 36.2 percent in 1991/92 to 26.8 percent in 1998/99 and further to 18.2 percent in 2005/06. The decline in poverty has, however, not been equally spread geographically. There continue to be higher incidences of poverty in the rural areas and in particular the rural savannah ecological belt. The contribution of rural savannah has been increasing. From about 33 percent in 1991/92, the contribution of Rural Savannah increased to 37 percent in 1998/99 and has increased further to about 50 percent in 2005/06. This is partly because the reduction in poverty occurred largely as a result of economic growth which in turn has been driven by a number of key factors that Northern Ghana has benefited less from6. The poor in Ghana, therefore, continue to be concentrated in the Northern Savannah Ecological Belt. Out of 18.2 percent of the total population that live in extreme poverty, 53.7 percent live in Northern Ghana, which has only about 17.2 percent of the total Ghanaian population. In Panel (a) and (b) of Figure 1.1, the proportion of the population living under poverty is reported. As seen, the North has much higher levels of poverty than any other region. In terms of ecological belts, poverty in the rural savannah belt has been higher than any other ecological belt over the period 1991/92 to 2005/06. Moreover, as shown in Panel (b) of Figure 1.1, the reduction in poverty is much slower over the period in the rural savannah belt than in the rural Southern Ghana. Within Northern Ghana there is a wide and increasing disparity between the rural and urban areas. Extreme poverty in the urban savannah belt stood at 27 percent in 1991/92, declining to 18.3 percent in 2005/06. In the rural savannah belt extreme poverty reduced from a level of 57.5 percent in 1991/92 to 45.2 percent in 2005/06. 5 Northern Savannah as referred to in this Strategy study consists of the Sudan and Guinea Savannah and excludes the derived (transitional) Coastal Savannah. The political space by the Northern Savannah includes the Upper West, Upper East, Northern, administrative regions, as well as northern parts of the Volta and Brong-Ahafo regions. 6 The key factors responsible for the economic growth and poverty reduction include: i) greater openness both through exports and imports; ii) increased public spending financed largely by aid; iii) significant increases in wholesale and retail trade; and iv) increased receipts of remittances from abroad. 1
  • 19. Moreover, poverty is highest among farmers, especially food crop farmers. Nationally, 46 percent of the poor are from households whose main activity is food crop cultivation. Poverty in the North, especially among food crop farmers, is further compounded by a short unimodal rainy season that is prone simultaneously to droughts and floods. Figure 1.1: Poverty and Extreme Poverty Trends in Ghana by Region (a): Proportion of Regional Population Living in Poverty in 2006 60 55 47 50 % o f T o ta l P o p u la tio n 40 40 26 26 26 30 23 22 23 22 20 10 0 Bro n g G r a te r U p p er U p p er V o lta C e n tr a l A sh a n ti A h afo A ccra E a ste r n N o r th e r n W e ste r n W e st E a st (b): Poverty Incidence by Region 100 88 88 88 84 80 65 69 67 70 60 63 57 52 60 48 44 48 44 41 38 36 40 27 31 28 30 26 20 18 20 15 20 12 5 0 Bro n g V o lta G rater U p p er U p p er Cen tral A sh an ti A h afo A ccra E astern N o rth ern W estern W est E ast 1991/92 1998/99 2005/06 Source: Based on data from Ghana Statistical Service — Patterns and Trends of Poverty in Ghana, 1991-2006 (Tables A1.1, p.36 and A1.5, p.40) 2
  • 20. Figure 1.2: Poverty Incidence in Ghana's Ecological Belts, 1991/92 — 2005/06 (a): Poverty Incidence by Ecological Belts in Ghana 80 73 70 70 62 60 60 53 52 43 46 50 38 38 40 40 28 31 29 26 28 28 30 23 24 18 20 11 4 6 7 10 0 G h an a U rb an Sav an n ah Sav an n ah A ccra Co astal Fo rest Co astal Ru ral Fo rest U rb an Ru ral U rb an Ru ral 1991/92 1998/99 2005/06 (b) Poverty Profiles in Rural Ecological Zones of Ghana, 1991-2006 70 57.5 60 59.3 % o f T o ta l P o p u la tio n 50 45.9 45.4 40 32.8 30 28.5 14.6 20 21.1 10 11.5 1991/92 1998/99 2005/06 Rural Coastal Rural Forest Rural Savannah Source: Based on data from Ghana Statistical Service — Patterns and Trends of Poverty in Ghana, 1991-2006 (Table A1.5 and A1.6, p. 40-41) 3
  • 21. 1.2 The Situation Analysis For purposes of strategic analysis, the current situation in the three northern savannah ecological belt can be described in terms of resource endowments (agriculture, water, mineral resources and energy); private sector development including industry and manufacturing; and human resource development including education and health. The description of the current situation in the northern regions also covers risks and vulnerability. 1.2.1 Natural Resource Base Agriculture The state of agriculture in the three northern regions is characterised by a number of factors including the availability of land; comparative advantage in the production of particular crops; untapped potential for livestock production; and a developing trend towards commercialisation. Land The Northern Savannah of Ghana comprise of about 100,000 square kilometres, which is more than 40 percent of national land area and 65 percent of the savannah vegetation. Total agricultural land is 6.1 million hectares of which cultivated land area between 2001 and 2007 was 1.54 million hectares. A significant proportion of arable land has soils with poor physical properties and low content of organic matter. Relatively good soils are ground water laterites which tend to be limited in depth by hard pan. Soils are highly susceptible to erosion because of the thin vegetative coverage and torrential nature of poorly distributed rainfall. There is limited use of soil management practices (e.g. use of fertilisers, water management, mulching). This has resulted, under these poor conditions, in low productivity in both crops and livestock. However, Northern Savannah has a wealth of under-utilised well endowed land to support an intensified agriculture modernisation programme. These include a network of river basins with highly fertile valleys (e.g. the oncho-freed basins of the Volta and Sissili rivers, the Fumbisi valley, Nasia, Tamne, Katanga, Naboggu, and Soo valleys). These areas can become major agricultural production zones for different crops. Agricultural in the National Context Table 1.1 presents the contribution of various agro-ecological zones to national output of agricultural commodities. It reflects the comparative advantage of the north in terms of agriculture production. The commodities in which northern Ghana has a comparative advantage in production are: i. Cereals — rice, sorghum and millet; ii. Roots and tubers — yam and cassava iii. Legumes — groundnuts, cowpea, and soybean; and iv. Livestock. With adequate water management, horticultural commodities, including tomato, okra, chilli, mango, cashew, water melon and sweet melon can also be produced competitively. The north is the home of the shea tree, which can be developed into a major oils and fats industry with benefits to rural women (who are currently at the heart of the shea industry as nut collectors and processors), shea-nut merchants and the country at large. 4
  • 22. Table 1.1: Agricultural Structural and Regional Contribution in Ghana Contribution to National Total Southern Northern Coast Forest Savannah Savannah Total Cereals 13.2 24.5 28.3 34.0 100.0 Maize 22.2 32.9 30.6 14.3 100.0 Rice 13.4 43.9 5.0 37.7 100.0 Sorghum and millet 0.1 1.5 37.7 60.7 100.0 Roots 3.8 31.8 32.6 31.8 100.0 Cassava 4.1 25.2 45.3 25.4 100.0 Yams 2.8 32.3 25.2 39.6 100.0 Cocoyam 8.2 60.4 17.2 14.2 100.0 Other staples 8.9 29.9 31.6 29.6 100.0 Cowpea 0.5 9.9 10.4 79.2 100.0 Soybean 10.6 24.8 64.6 100.0 Plantains 13.2 54.2 25.1 7.6 100.0 Groundnuts 7.7 9.5 7.2 75.6 100.0 Fruit (domestic) 8.8 36.5 8.7 46.0 100.0 Vegetables (domestic) 8.5 25.7 44.5 21.3 100.0 Non-traditional exports 30.4 33.9 25.1 10.6 100.0 Cocoa 2.6 68.9 28.5 0.0 100.0 Livestock 12.1 35.1 14.2 38.6 100.0 Chicken broiler 19.2 40.0 36.4 4.5 100.0 Eggs and layers 37.0 39.0 5.0 19.0 100.0 Beef 7.1 16.3 6.4 70.2 100.0 Sheep and goat meat 12.7 39.5 11.8 36.0 100.0 Other meats 3.7 41.5 24.4 30.5 100.0 Forestry 1.0 68.6 29.1 1.4 100.0 Fishing 61.5 10.7 24.4 3.4 100.0 Source: Breisinger et al. (2008). Land allocation to the main staple crops in recent years is presented in Tables 1.2 – 1.4; the dominant crops vary by region. The Northern region has the most diversified production system with groundnut, sorghum, yam and maize taking 52 percent of the land cultivated, compared to the Upper East and Upper West where groundnut and sorghum alone account for 62 percent and 53 percent of the land cultivated respectively. Table 1.2 Crop Area in Northern Region (2005-2007)* Year Maize Rice Millet Sorghum Cassava Yam Groundnut Cowpea Soybean 79,000 43,900 53,000 89,000 52,600 80,800 136,800 64,000 32,700 2005 (13) (7) (8) (14) (8) (13) (22) (10) (5) 85,600 45,800 57,300 93,600 55,400 88,900 145,900 59,400 37,700 2006 (13) (7) (9) (14) (8) (13) (22) (9) (6) 72,073 30,209 42,199 66,926 54,940 78,296 84,694 36,236 30,190 2007 (0.15) (0.06) (0.09) (0.13) (0.11) (0.16) (0.17) (0.07) (0.06) 77351 43312 53308 74682 57678 98379 110948 53078 34424 2008 (13) (7) (9) (12) (10) (16) (18) (9) (6) Figures in parentheses are percentage allocation of land to the crop 5
  • 23. Table 1.3: Crop Area in Upper East Region (2005-2007)* Sweet Year Maize Rice Millet Sorghum Groundnut Cowpea potato Soybean 13,396 15,698 75,032 117,052 162,930 57,050 8,580 1,221 2005 (3.0) (3.5) (16.6) (26.0) (36.1) (12.7) (1.9) (0.3) 14,355 16,396 81,116 122,809 173,792 52,930 8,471 1,411 2006 (3.0) (3.5) (17.2) (26.1) (36.9) (11.2) (1.8) (0.3) 17,382 16,462 60,751 59,280 98,476 45,577 3,423 2007 (0.06) (0.05) (0.20) (0.20) 0 (0.33) (0.15) (0.01) 23763 26934 65342 96602 73150 46907 13517 2008 (7) (8) (19) (28) (21) (14) NA (4) Figures in parentheses are percentage allocation of land to crop Table 1.4: Crop Area in Upper West Region (2005-2008)* Year Maize Rice Millet Sorghum Yam Groundnut Cowpea Soybean 34,300 3,500 56,900 93,700 18,800 109,500 58,900 11,100 2005 (9) (1) (15) (24) (5) (28) (0.5) (3) 36,700 3,700 61,600 98,400 20,600 116,800 54,700 12,900 2006 (9.1) (0.9) (15.2) (24.3) (5.1) (28.8) (13.5) (3.2) 35,716 3,596 59,757 76,995 20,917 114,906 56,990 13,188 2007 (0.09) (0.01) (0.16) (0.20) (0.05) (0.30) (0.15) (0.03) 38438 3745 63581 100253 29432 122996 61285 13883 2008 (9) (1) (15) (24) (5) (29) (14) (3) Figures in parentheses are percentage allocation of land to crop Table 1.5 presents an analysis of the growth performance of commodities in the northern savannah compared to the average performance of the country. Production of maize, millet and sorghum recorded negative growth over the period 1992-2005. Area planted to maize and yield of the crop both suffered declines. For millet and sorghum, the source of decline in output is yield. Although yam and cowpea recorded positive growth in production levels, this was due more to expansion in crop area because these crops also suffered from negative yield growths. Therefore the long-term pattern of crop production performance in northern Ghana has been expansion in land area to compensate for declining yields. The cases of yam and cowpea are particularly illustrative. Yam output in the northern savannah grew by nearly 2 percent, but yields declined at 2.3 percent per year while land expanded at 4.3 percent per year. With the northern savannah contributing the largest share to yam production, the trends in the yam production parameters in that zone are magnified at the national level. A growth strategy for crops should therefore focus on attaining a sustainable balance between production intensification and limited expansion of land area. Table 1.5: Average annual growth in production, yield and land (1992-2005) Crop Output Yield Land Crop Output Yield Land Maize (national) 3.9 0.8 3.2 Yam (National) 4.8 -4.1 9.3 N. Savannah -0.6 -0.4 -0.3 N. Savannah 1.9 -2.3 4.3 Rice (National) 5.9 2.1 3.7 Cassava (National) 5.4 -0.8 6.2 N. Savannah 4.8 1.9 2.9 N. Savannah 13.9 2.8 10.9 Millet -1.7 -2.1 0.5 Cowpea (National) 10.6 0.0 10.6 N. Savannah 10.0 -0.4 10.5 Sorghum (National) -0.7 -1.3 0.6 Groundnuts (National) 11.8 0.9 10.9 N. Savannah -0.8 -1.3 0.5 N. Savannah 11.8 0.9 10.9 Source: Breisinger et al. (2008) 6
  • 24. Cotton used to be a major cash crop in all regions of Northern Ghana. The cotton industry has suffered decline since the late 1990s because of managerial problems, undeveloped seed sector, low yields, and declining world prices. The Savannah Agriculture Research Institute (SARI) has taken the lead in addressing the seed problem with the introduction of a new cotton variety. The other major cash crop is shea. The shea value chain, like all the other crops produced, is driven by a production entry-point, and not a marketing one. Rural women who engage in the collection and primary processing of nuts, and processing of crude shea butter persist in the use of traditional, labour-intensive technology for butter extraction, and consequently produce low yields. Under this strategy, a market-driven impetus is needed to propel a transformation of product-mix, quality, improved technology and marketing. Interventions are required to improve the productivity of rural women in the value chain and facilitate their participation in remunerative markets for crude shea butter. Livestock Northern Ghana contributes 39 percent to national livestock numbers, 70 percent of beef cattle, and 36 percent of sheep and goats. Although generally higher than the rest of the country, livestock numbers per household are modest (Table 1.6). The numbers are for only households that raise livestock. The data does not indicate the proportion of households that own livestock. Results of a survey in the Upper West Region in 2007 (Table 1.7) show that the percentage of the sample households owning livestock ranges from a low of 43 percent for pigs, to over 80 percent for goats and domestic fowls. This means that the benefits of interventions for the improvement of small ruminants will be broad based or inclusive. Table 1.6: Estimated Livestock Numbers per Household by Ecological Zones Sudan Guinea Derived Savannah Coastal Livestock type Savannah Savannah (Transitional) Forest Savannah Cattle 12 10 9 Negligible 6 Sheep 11 12 4 6 6 Goats 15 9 11 6 7 Pigs 9 8 9 9 7 Guinea Fowl 16 12 10 Negligible 12 Domestic Fowl 20 22 18 12 15 Source: Computations from MOFA Livestock Growth Study Field Survey (2007/2008) and several other studies in the various ecological zones Table 1.7: Percentage of Households Owning Livestock in the Upper West Region Sissala Sissala Jirapa- Livestock type Wa West Wa East Nadowli East West Lambussie Lawra Total N = 80 N = 50 N = 74 N = 53 N = 27 N = 92 N = 79 N = 455 Cattle 33.8 58.0 71.6 45.3 96.3 83.7 49.4 60.4 Sheep 58.8 36.0 60.8 49.1 77.8 70.7 55.7 58.5 Goat 80.0 64.0 97.3 56.6 100.0 100.0 96.2 86.4 Pig 31.3 10.0 60.8 3.8 7.4 67.4 68.4 42.9 Donkey 1.3 0.0 0.0 26.4 44.4 14.1 1.3 9.0 Chicken 77.5 50.0 94.6 50.9 100.0 94.6 93.7 81.8 Guinea-fowl 38.8 8.0 77.0 32.1 70.4 76.1 68.4 55.4 Turkey 5.0 2.0 1.4 0.0 7.4 7.6 5.1 4.2 Duck 3.8 2.0 4.1 7.5 7.4 3.3 7.6 4.8 Source: Veterinary Services Directorate, MOFA (2008). PATTEC Socioeconomic Baseline Survey, Project Coordination Unit, Pong Tamale. 7
  • 25. Commercialization Other aspects of agriculture in Northern Ghana are the degree of commercialisation and market access7. Average land holdings range from 2.7 hectares in Upper West to 5.6 hectares in the Northern Region. Average size of smallholdings has grown over the decade 1998-2006. This is consistent with the trend of land expansion driving output growth. Existing data suggest that commercialisation is not necessarily limited to commercial producers. Data on smallholder characteristics from the Report of the Fifth Round of the Ghana Living Standards Survey (GLSS 5) show that many smallholders sell produce. However, sorghum and millet are subsistence crops with about 14 percent of farmers who have less than one (1) hectare selling the crops compared to 50 percent and 56 percent of small-scale farmers who sold groundnuts and beans respectively. Surprisingly, many smallholder rice producers do not sell the crop implying that rice, a crop with such high commercial potential is produced for subsistence by these farmers. Other Potentials, Opportunities, Constraints and Challenges The following are other potentials, opportunities, constraints and challenges that may be considered as part of the current agricultural situation in the Northern Savannah Ecological Belt. Potentials Low population density in many parts, especially in the northern region: The population density in the three northern regions ranges from a low of 25 persons per square kilometre in the Northern Region to 31.2 persons per square kilometre in the Upper West and as high as 104 persons per square kilometre in the Upper East region. The generally low population density implies that the potential to increase production through land expansion exists (except perhaps in the Upper East Region) even if such expansion is to be carried out cautiously. As already indicated this is coupled with several tracts of lowland and fertile inland valleys that are currently under-exploited for agriculture. Similarly proper management of existing and the development of new irrigation facilities can support increased production. Agricultural growth through intensification is also possible because of the widening gap between potential yields and achieved yields. That is productivity limits have not been reached. The agro-ecology, in general, supports a wide range of arable crops; and the flat or gently undulating nature of the land is suitable for mechanised farming. In some instances, however, bullock and donkey power may be more appropriate than tractor for land preparation due to fragile soils. Livestock thrives well in the savannahs of the north and most households own livestock which can be improved; people are culturally accustomed to guinea fowl and small ruminant rearing. The Savannah Agriculture Research Institute (SARI) has competent staff for fulfilling not only crop production but the general mandate of expanding and helping to modernise the north’s agriculture. Opportunities The opportunities that characterise the current situation in the Northern Savannah, especially with respect to agriculture include the following: There is a national recognition of agriculture as the vehicle for growth and poverty reduction in northern Ghana. 7 The description of smallholder production is based on 2005/2006 GLSS survey and reported by Chamberlain (2007) for IFPRI’s Ghana Strategy Support Programme. 8