Abstract:
The research evaluates the financial consequences resulting from the EU vegetable and produce
import restrictions against Ghana because of its ''galamsey'' environmental effects. The research
explains the immediate monetary damage faced by farmers as well as examines both
macroeconomic rural impacts alongside business initiatives to limit the adverse effects on the
agricultural industry. The research design combines quantitative data collection through mixed
methods with qualitative research methods to accomplish a detailed economic analysis of the EU ban. The Ghana Export Promotion Authority (GEPA) together with EU Trade Reports and national
and international trade bodies supplied secondary data related to agricultural export volumes and
values which Ghana exported to the EU. The research team distributed a designed survey to
farmers who operated own small farms in addition to agricultural groups and local agricultural
business operators. Quantitative data assessment for export patterns and production histories
relied on descriptive statistics and regression analysis and time-series analysis through statistical
methods. The evaluation of export earnings changes from EU trade policy updates because of
illegal mining utilized OLS regression methods.
The export volumes decreased dramatically after the EU ban from 35,000 to 25,000 tonnes. The
banning era resulted in a GDP decline for each person in the population which decreased from
$1,200 before the ban to reach $1,000 after the ban implementation. National GDP per capita
decreased by 16.7% indicating that economic fallout from the EU ban impacted every sector in the
country beyond fishing. The research indicated that expansion-based production directly boosts
export volumes when the regression coefficient (β1>0\beta_1 > 0β1>0) show positive effects yet
higher production does not necessarily result in export expansion when these coefficients
demonstrate negative impacts. Additional intervention measures are needed for smallholder
training while improving international standard support systems should be implemented according
to the study's findings. The adoption of supporting measures will decrease financial constraints and
keep small farming intact because agriculture continues to be essential for Ghana's agricultural
export sector.
