Structure of the local economy
The structure of the local economy comprises of agriculture, manufacturing/industry, services and commerce.
Sample size: 50
Average monthly income = ¢150,000
The average monthly household expenditure for the district is ¢180,000 and gives average annual expenditure of ¢2,160,000.
The per capital income for the district is ¢60,621.14
On expenditure the average monthly expenditure is ¢195,576.00 major part of the expenditure of 46.0% is spent on food.
The low income and savings levels and the high proportion of income spent on food confirm the existence of poverty and justify poverty reduction interventions.
Major economic activities
The principal source of employment is agriculture mainly small holder farming. Agriculture employs the highest number of people followed by commerce, service and industry in that order.
Primary agriculture production
The district has extensive fertile land coupled with a favourable climate, which is not only ideal for small scale farming but also for plantation agriculture. The major food crops cultivated in the district are plantain, maize, cocoyam, rice, cowpeas and vegetables. Cocoa and oil palm are the main cash crops. Farmers also engage in poultry and livestock production.
a. Storage and marketing
Perishable produce, for example tomatoes, garden eggs and cassava are sold immediately after harvest but other crops like pepper, maize etc are stored and then sold later when prices are high. The most popular method of storage is the traditional crib ban. Most households in the district market their produce within the settlements and mostly through middlemen from Kumasi and Accra.
The District has low industrial base. The few industries are:
a) Agro-based related industries such as Garri production
b) Wood – based industries, example timber processing
c) Metal based industries, example blacksmithing
Ahafo Ano North District is a Sub-Forestry District of Nkawie. As forestry services division is more concern about the management of our natural vegetation cover, both off reserve (farm land) and Forest Reserve in the District are under control by forestry.
The forest reserve in the District is a small portion of Desiri Forest Reserve which start from Danyame, Abonsuaso extend through Subriso and end at Twabidi currently the condition of the forest reserve is so bad that we cannot demarcate it as a concession to any timber firm. Illegal farming, illegal settlement, chain sawing and charcoal burning activities are the main causes of the forest degradation.
Some degraded areas of the forest have now turned into modified Taungya System, and HIPC Plantation to restore the lost ecology. The surrounding communities are benefiting from it in terms of food, and shelter. There is one forestry officer (i.e. range supervisor) and three forest guards; they are in charge of forestry activities in the District such as forest protection, tree plating and supervision Timber Exploitation.
There are two registered Timber sawmill in the Ahafo Ano North District. They are T.S.L (i.e. Tepa Sawmill Limited), and not function due to lack of raw materials such as timber logs. There are also five (5) table sawmills which they are operating as a small scale, but big in carpentry shop. These local sawmills were supplying sawn lumber for local market, and also to the carpentry shops for furniture, and construction purposes.
These Timber Companies, and sawmills in the District has employed the local people in their timber operations, and sawmill activities. They also pay concession fees, royalties, council waybills and social responsibility agreement to the District Assembly which promote the local economy. The off reserve within the Ahafo Ano North District is demarcated into three (3) parts Timber companies for exploitation of timber.
They are as follows
1. Messrs Ayum Timber Company
2. Messrs DRFP Timber Company
3. Messrs J.E Timber Company
Activities within the sector are concentrated in the district capital, Tepa. The sector has been classified.
The people rely mostly on wood fuel as their source of energy. About 68.7% of the people depend on wood and charcoal while only 31.3% rely on electricity. The towns, which have electricity, include Tepa, Akwasiase, Manfo, Dwaaho, Asuhyiae, Kotei Nkwanta and Mabang. Under Self Help Electrification Project – (SHEP), four more communities are to be connected to the national grid by the end of the year. The acute energy situation explains to some extent the issue of rapid forest degradation in the district.
Land in the district remains mostly family owned and in smaller holding. This does not permit large scale farming. The Assembly is in the process of creating land banks to promote large-scale cultivation.
Refer to pdf file for tables.