Reducing Postharvest Losses
In the OIC Member Countries
99
of US$ 0.33 per kilogramme17. The average farmgate price was about US$ 0.53 – representing
an increase of more than 60% over the price during the previous season.
This is important in meeting the pro-poor growth objectives of the Government because close
to half of the population of 14.3 million live on incomes below the poverty line18. Though the
contribution of agriculture to GDP is currently at 17.1%, the sector remains the largest
employer of the active labour force (employs about 77% of the labour force). It is also the main
source of livelihood for nearly 60% of the population who live in rural areas. Hence, removing
the bottlenecks facing players in agriculture, and specifically the groundnuts value, will not
only lead to improved growth prospects but will simultaneously help reduce the incidence of
poverty. For this reason, the Government of Senegal is reported to be investing over US$ 50
million in the subsector. The funding covers supply of certified seed, fertiliser and other small
farm equipment. The World Bank in 2016 also committed US$ 20 million to support producers.
The target of both programmes is about 850,000 smallholder farmers.
4.3.2. Assessment of Postharvest Losses and Economic Burden
Official sources estimate quantitative postharvest losses in groundnuts at about 150,000
tonnes in the 2015/16 season – representing 14.1% of total output. This volume is just under
half of the volume of groundnuts currently exported and 3.75 times the volume absorbed by
the four major local groundnut processing companies. This implies, on one hand, that reducing
quantitative losses by 27% will potentially double the supply of raw materials to the local
processing industry and so ease pressure on Government to impose export restrictions which
tend to destabilise the subsector.
Furthermore, based on the average farmgate price, we estimate the value of the quantitative
losses at close to US$ 80 million – more than the total amount invested by the Government and
the World Bank to boost production (i.e. US$ 73 million). If the 850,000 farmers targeted
under the Government/World Bank projects were to be directly assisted to reduce the
quantitative postharvest losses, then the gross per capita gain will be about US$ 94.06 which is
about the estimated gross household income per hectare of groundnuts produced (this
estimate is based on the reported average yield net of the average postharvest loss). Hence,
investing in reduction of postharvest losses can make a difference not only to the farm
households but can also boost scaling up of output (and probably job generation) in
groundnuts-based industries in the country.
What is apparent, however, is that it is not only the quantitative losses which matter but also
the potential quality-related losses. Evidence from a number of studies converge around the
view that the scale of Aflatoxin contamination in Senegal and other African countries is very
high. Imes (2011) cites studies by local research institutions which found levels of Aflatoxin
contamination at as high as 85% of groundnuts products sampled in Senegal. This is consistent
with similar levels in Togo and also in Ghana in West Africa (Anim-Somuah et al. 2013).
Weak standards enforcement regime a factor in high incidence of contaminants
Relevant quality standards are enforced only within the export chains, where prior to
shipment exporters are required to obtain the following:
 Certificate of origin issued by the Senegal Agency for Export Promotion.
 Confirmation of fumigation.
 Phytosanitary certificate issued by the National Plant Protection Office.
17 Reported in GAIN – 19th July 2016.
18 Estimated at 46.7 percent of the population in a World Bank Overview published on 21st April 2016.