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Market Prospects for Groundnut in West Africa COMMON FUND ...

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While the harvest extends from October through December, market<strong>in</strong>g<br />

takes place <strong>in</strong> most areas from December through May, to the beg<strong>in</strong>n<strong>in</strong>g of<br />

June. From April through August, prices steadily rise as the product becomes<br />

scarce. Prices fall to their lowest po<strong>in</strong>t from September through November <strong>in</strong><br />

anticipation of the new harvest, due to the high moisture content and<br />

perishability of the new harvest as it dries, and probably <strong>in</strong> response to<br />

decl<strong>in</strong><strong>in</strong>g product quality of whatever rema<strong>in</strong>s of the previous harvest.<br />

In Mali, there is a price differential between groundnut shelled manually<br />

and that shelled by a mach<strong>in</strong>e. <strong>Groundnut</strong> shelled by hand obta<strong>in</strong>ed a<br />

premium of between fCFA 10 and 25 per kg as compared to the mach<strong>in</strong>edecorticated<br />

product, which is more prone to damage ie, crack<strong>in</strong>g of the<br />

kernels.<br />

<strong>Market</strong> profiles<br />

Kita<br />

One of the first production areas, Kita is considered ‘the <strong>Groundnut</strong> Bas<strong>in</strong> of<br />

Mali,’ contribut<strong>in</strong>g 21% of the total groundnut production of the country.<br />

Popular varieties <strong>in</strong> Kita are the early variety 47-10 <strong>in</strong> the northern areas<br />

of Didjian, Sébécoro and Toukoto, and the late-yield<strong>in</strong>g 28-206, which<br />

requires more water (800-1000 mm) <strong>in</strong> the southern areas of Kokofata,<br />

Sagabari and Sirakoro. In general, the only crop <strong>in</strong>puts purchased are<br />

fungicides, as fertilizers and <strong>in</strong>secticides are commonly seen as too expensive<br />

by producers.<br />

As noted above, market<strong>in</strong>g of groundnut takes place throughout the year,<br />

with about 60% of the crop sold between January and May. Stock<strong>in</strong>g of<br />

groundnut on farm is limited one or two months. Recent production trends <strong>in</strong><br />

Kita <strong>in</strong>dicate a greater will<strong>in</strong>gness on the part of the producers to <strong>in</strong>vest <strong>in</strong><br />

transport from production areas <strong>in</strong> order to obta<strong>in</strong> better market prices<br />

<strong>in</strong> Kita.<br />

The costs of transport and handl<strong>in</strong>g have been calculated by IER at fCFA<br />

12.4 per kg of shelled groundnut. Farmers do not usually <strong>in</strong>vest their time <strong>in</strong><br />

shell<strong>in</strong>g, which is done ma<strong>in</strong>ly by the collectors. Collectors, <strong>in</strong> turn, sell to<br />

primary wholesalers <strong>in</strong> order to reduce transport costs, which are calculated<br />

by the bag rather than by weight (Kondié 2003).<br />

43

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