A new Market Information System may mitigate the impact of the COVID-19 pandemic on farm-gate prices for cashew producers in Guinea-Bissau
The economy of Guinea-Bissau is being severely hit by ruptures in the world supply chains resulting from the COVID-19 pandemic
Abstract
The economy of Guinea-Bissau, highly dependent on the export of cashew nuts, is being severely hit by ruptures in the world supply chains resulting from the COVID-19 pandemic. The associated drop in raw cashew prices will increase poverty and food insecurity, potentially further aggravated by reduced investment capital for the subsequent agricultural season. Our introduction of the n’kalô service, a market information system, provides smallholders with weekly voice messages transmitting the most recent market updates and price tendencies. This provides cashew producers with important guidance in such uncertain times. The strong socio-economic impact of the crisis should incentivize the country’s transition towards economic diversification and in-country cashew processing.
This work is part of the Private Enterprise Development in Low Income Countries (PEDL) programme
Citation
Brais Álvarez Pereira, Sebastian Schäber & Giulio Schinaia ““A new Market Information System may mitigate the impact of the COVID-19 pandemic on farm-gate prices for cashew producers in Guinea-Bissau”” PEDL C-19 Note