Tree Nursery and Seedling Production Level 3

Who it is for. People who have finished Tree Nursery and Seedling Production Level 2, or can show the same skills, and who want to run or supervise a bigger nursery, supply farmer groups, NGOs or government, or start their own tree nursery business. Ghana's TVET framework places National Proficiency II below National Certificate I. This module is written at an advanced level, comparable to National Certificate I; that comparison is the author's judgement, not a CTVET ruling.

Bridge from Level 2: what you already know

The Level 2 book is written in parallel with this one, so this list follows the plan for Level 2. If a topic below is new to you, go back and learn it first.

Level 2 taught you to do the work well. Level 3 shows you how to run it at scale, prove its quality, win contracts that pay, stay legal, and keep books that a bank trusts.

How the module works

Each unit has learning outcomes, performance criteria, the range and the evidence your assessor needs. You are judged Competent or Not Yet Competent. About 60% of the time is practical.

Marking in this book. Money examples are labelled example: they are invented for practice, not market prices. Real prices change with place and season. Before you use any number in your own plan, phone two or three suppliers in Takoradi, Tarkwa or your own town and write down the date and the price. Facts about laws and fees carry a source, and where I could not confirm a fact I wrote not verified.

Competency standard

Range. A nursery of 1,000 to 20,000 seedlings in polybags in the Western Region. Evidence. Capacity sheet; water budget; completed batch sheet; grading record; oral questions.

Work backwards from the planting date

Buyers plant when the rains start. FAO advises recording sowing dates, germination and growth for each species so you can find the best sowing time, and sowing so that seedlings are good planting size when the rains begin. Demand in Ghana peaks March to June and September to November. So your calendar starts at the buyer's planting date and runs backwards.

Example calendar (example: assume the species needs 4 months in the nursery; check your own species records):

Capacity planning step by step

The Ghana guide gives a working rule: about 5 m² of bed area per 1,000 seedlings, doubled to allow walkways, sheds and poles; beds 80 to 100 cm wide, walkways at least 60 cm; blocks of 500 or 1,000 seedlings so stock-taking is easy. Its example: 5,000 seedlings need 10 m² × 5 = 50 m², and doubling again to 100 m² allows for large pots.

Irrigation that does not waste water

Water is the first limit of a nursery. Choose a source you can rely on in the dry season. Stream water and forest soil can carry nursery diseases such as Cylindrocladium, so a clean tank, borehole or tap is safer. A borehole or tank cost in Ghana was not verified; get quotes.

Ways to water, from cheapest to most work-saving:

Whatever you use, water in the early morning (6 to 8 am) and late afternoon (4 to 7 pm), avoid overwatering because of damping-off, and reduce watering when hardening. Trays can stand in 2 to 5 cm of water for 10 to 20 minutes twice a day to avoid spray damage.

Shade structures

Shade only where heat would scorch tender plants; avoid heavy shade; the shed is 2 to 3 m high. FAO gives rules for shade over seedlings: about 30 cm above freshly pricked-out seedlings, about 75 cm above older ones, with open slats whose gaps are about the width of the slat or half of it, in sections about 2 m long so one person can handle them. Permanent shade makes seedlings tall, weak and yellow, so shade only when needed. Make shade waterproof over seed trays so drips do not uncover the seed.

Southern Ghana nurseries used palm branches or Cassia leaves, and some used nylon shade nets; teak needs no shade. Banana leaves, grass, wood or bamboo strips, veneer offcuts and netting also work.

Large structure checklist (course suggestion, not from a source):

Batch records

A batch is one lot of seedlings that start together from the same seed or scion source, on the same date, in the same medium. Keep one batch sheet for it from sowing to sale. The Ghana guide says to record planting dates, quantities planted, names and quantities sold and the price. Nursery guides suggest recording the seed source, planting date, germination rate and treatments.

Example batch sheet (example numbers):

A quality system you can run

Quality is the selling point. Farmers who raise their own seedlings say theirs "die a lot because of disease or heat". Ghana has no national nursery accreditation system as of the January 2026 study, which recommends one. So your own written standard is how a buyer knows you are different.

The system has five parts:

1. A written standard per species: age, height range, collar diameter, free from pests and disease, no coiled roots, uniform in the block. Seedling height and age standards for sale in Ghana from the Forestry Commission or TCDA were not verified; write your own and improve it from field results.
2. Culling: remove dead, dying and abnormal giants so only uniform healthy seedlings go out.
3. Root pruning when roots grow out of the pot into the soil; water and shade about two days after; repeat every 3 to 4 weeks.
4. Respacing and grading: when leaves overlap, sort large and small, remove empty pots, put big seedlings together with more space.
5. Records and a check before dispatch: a second person counts and signs the delivery note.

Why field survival matters. One mangrove project found 3.4 percent mortality in the nursery but 38.3 percent in the field, a reminder to teach buyers how to plant out. Green Ghana's Deputy Lands Minister reported more than 72 percent survival in one report. Ask buyers to give you survival feedback after planting; it is your best advertisement.

Check yourself: Unit 1

1. What number gives bed area for 1,000 seedlings before walkways, according to the Ghana guide?
2. Give two shade rules from FAO for seedlings.
3. What is a batch sheet for?

Competency standard

Range. Tree seed, scions, budwood and rootstock for a commercial nursery. Evidence. Source rating table; germination test; lot register; traceability exercise.

Where seed comes from, and why it matters

A southern Ghana survey of 240 nursery producers in 19 districts found that 64 percent collected seed from the wild, 34 percent from plantations and the rest from seed orchards; only about 3 percent used seed from CSIR-FORIG, whose seed is of higher quality; 48 percent collected from tree tops; selection criteria were a straight bole (45 percent), good shape (19 percent) and disease-free (18 percent). A code of practice for tree seed collection exists but many nurseries do not follow it; its text was not verified.

Supply is a problem. One report said the National Tree Seed Centre could not meet orders for mahogany seed because illegal mining damaged seed sources. An older FAO-based note says FORIG cannot meet demand. Prices and the ordering process for FORIG or Forestry Commission seed were not verified; phone them.

Rating your sources (course suggestion, not from a source):

The TCDA rule for six tree crops

The Tree Crops Development Authority is set up by the Tree Crops Development Authority Act, 2019 (Act 1010) and covers six crops: cashew, coconut, oil palm, rubber, mango and shea. Its Tree Crops Regulations, 2023 (L.I. 2471) provide for registration and licensing of value-chain actors; the contents list names Regulation 46 on planting material and, in the First Schedule, "Nursery registration" and "Conditions for granting nursery certificate". Only headings were readable, so the text, fees and forms are not verified.

On 16 June 2026 the TCDA announced that from 3 July 2026 nobody may distribute planting material of the six crops unless it comes from TCDA-approved sources and has been inspected and certified, and that suppliers must keep records of source and approval for inspection.

What this means for you:

Cashew and mango scions. Wenchi Agricultural Station reports a large cashew nursery shed and has taught softwood grafting to nursery operators, but it is the only scion bank and cannot supply enough for private nurseries. A code of practice for cashew planting material was introduced in August 2022 by MEDA FEATS with the Ghana Standards Authority. Grafting results reported in Ghana conflict, so confirm the method with the station. For mango the ICRAF leaflet advises scions from healthy pencil-thick branches with a swollen terminal bud, used within seven days. For citrus, certified disease-free budwood is required in places such as Florida; where to get it in Ghana was not verified.

Forestry Commission and tenure rules (awareness)

This matters for your customers: if you supply trees that will become timber, the buyer's land tenure and benefit-sharing arrangement affects whether they plant them. Ask buyers whether they know who owns the trees they will plant.

Test, record and code every seed lot

Germination test. Take 100 seeds from the lot at random, sow them in a tray or a block in the same medium you will use, and count how many germinate in the time normal for the species. The percentage is your germination rate. Seed pretreatment differs by species (hot or cold water soak, scarifying), and Ghana-specific figures for many species were not verified; run a small trial per seed lot.

Sowing rate from germination. FAO's rule: if more than 8 in 10 seeds germinate, sow 1 seed in half the pots and 2 in the other half; if fewer than 6 in 10, sow 3; otherwise sow 2; thin to one seedling per pot as soon as possible. Do not use compost in seed trays because of damping-off; use washed sieved sand or half sand and half topsoil.

Lot codes. A lot is seed or scions from one source, one date and one handling. Give each lot a code and write it on the bag, the register and every batch sheet. This code is a course suggestion; adapt it:

Traceability in plain words

Traceability means you can answer two questions fast: Where did this seedling come from? (back) and Who has the seedlings from this lot? (forward). If you can, you can fix a disease problem, answer an inspector, replace a bad lot and show a buyer proof. The TCDA says suppliers must keep source and approval records for inspection. Even for crops the TCDA does not cover, the same system sets you apart in a market where buyers worry about quality.

Check yourself: Unit 2

1. Name the six crops covered by the TCDA rule on planting material.
2. From what date must planting material of those crops come from TCDA-approved, inspected and certified sources?
3. A lot germinates at 70 percent. How many seeds do you sow per pot, by the FAO rule?

Competency standard

Range. Sales to farmer groups, NGOs, schools, churches, Assemblies and government programmes. Evidence. Market map; sample contract; payment-risk calculation; oral questions.

The markets, one by one

Individual farmers. More than 80 percent of farmers raise their own seedlings; demand peaks March to June and September to November; no national accreditation exists. Farmers say their own seedlings die a lot from disease or heat. Sell quality, certified source, delivery and a guarantee.

Government and Green Ghana. Green Ghana distributed 22,671,696 seedlings in 2022 and 13,875,286 in 2024; 11.5 million had been distributed by one report in 2023. Ghana planted more than 30 million seedlings in 2025 and targets another 30 million in 2026 under Tree for Life, according to a March 2026 report. Green Ghana 2026 results were not found. This is a big market but a risky one (see next section).

The Forestry Commission gives seedlings away. In 2021 the Commission's Denu central nursery had 147,000 seedlings and 27,000 had been distributed by 12 June, free to individuals and groups. A 2016 programme gave free seedlings to tree growers in Brong-Ahafo and Western Regions after farm inspection. Free seedlings pull down the price of common species such as cassia and mahogany. So sell what the Commission does not: fruit trees, grafted plants, special species, labelled and certified stock, delivery, planting advice and a guarantee.

NGOs and restoration projects. Hen Mpoano planned to raise 200,000 mangrove seedlings over five years for 50 ha of degraded mangrove in the Greater Amanzule Wetlands in the Western Region, with three nurseries aiming at 80,000 seedlings in year one. A Ghanaian Times report suggests the project buys seedlings at about "a dollar a seedling", a figure I could not verify. Tree Aid Ghana supports women-run community nurseries in the Northern Region. The Global Shea Alliance has called for community nurseries for shea seedlings, each engaging women aged 18 to 35. NGO money is often paid in stages and needs reports and receipts.

Schools, churches, Assemblies. A women-with-disabilities group in Ahafo urges these buyers; its main problem in August 2026 was "no buyers". Make a short written offer and visit in person before the rains.

Farmer groups and cooperatives. One order covers many farmers; you can deliver once and be paid by the group. Check who has the authority to sign for the group.

Payment risk: the lesson from Green Ghana

Seedling contractors who supplied Green Ghana in 2021 and 2022 in the Ashanti Region said they were unpaid: GH¢28 million according to one report in June 2023. Another source gives GH¢2.3 billion, a large difference, so treat both with caution. Whatever the real number, the lesson is clear: a big order from a big buyer can still go unpaid for years.

For scale: in 2022 GH¢6 million was released for 22,671,696 seedlings, about GH¢0.26 per seedling, but that figure includes publicity and other costs and is not a nursery price. Contract rates per seedling for Green Ghana 2025 and 2026 and the procurement steps and tender portal for Forestry Commission seedlings were not verified.

Rules of thumb (course suggestions):

What a good contract has

A contract is an agreement you can show to someone else. It does not need to be long. I could not verify a Ghana law on contracts for this module; for anything large, ask a lawyer or the Legal Aid office.

Withholding tax. The GRA says withholding on goods is 3 percent, works 5 percent and services 7.5 percent, and that large buyers may be withholding agents; ask the buyer for a withholding certificate each time. Seedlings are goods, but ask the buyer which rate they will apply.

Worked example (example numbers). An NGO wants 20,000 seedlings at GH¢3.60 each. Your full cost is GH¢2.32 a seedling (Unit 6 shows how to find it).

Notice that by delivery you hold GH¢50,400, more than your full cost, so even if the last 30 percent were never paid, you would still have your costs back plus GH¢4,000. Compare a contract with no deposit and everything paid 90 days after delivery: your money at risk is the whole GH¢46,400, more than a nursery with GH¢40,000 of capital owns.

Competing with free seedlings and building repeat sales

Check yourself: Unit 3

1. Why can a big government order be dangerous for a small nursery?
2. Name two things you can sell that free Forestry Commission seedlings do not offer.
3. What does a split payment protect you from?

Competency standard

Range. A nursery with 2 to 10 workers. Evidence. Hazard inspection; compliance file; oral questions; practical checks.

Labour Act duties in a nursery

The Labour Act, 2003 (Act 651) says the employer must provide a safe workplace and protective equipment free of charge, and must report occupational accidents and diseases as soon as practicable and not later than seven days. A standard Ghana accident form was not verified; ask the Labour Department which form and office to use, and keep your own copy. Injured workers, including casual workers, are compensated whoever was at fault.

Ghana has no single occupational safety and health law yet. In August 2026 the Minister of Employment, Labour and Jobs said the Ministry was still preparing a workplace safety and health bill, so it is not yet law. The hub's Workplace Safety books go deeper.

Nursery hazards and simple controls

Plant protection: the law and the plain rule

Common nursery problems in southern Ghana were damping-off, leaf spot, shoot dieback and wilting; pests were crickets, termites and squirrels, and causes were linked to overwatering, excess shade, poor ventilation, garden or forest soil and stream water. Good practice comes before any spray: clean beds, rotate or clean seedbeds, wood ash for ants and termites, picking beetles by hand, digging out cutworms, and culling sick seedlings.

The legal rule. The EPA regulates all pesticides including biopesticides; a product without an EPA registration number is not approved; read the label; ask the EPA for the current list. That source names the Environmental Protection Agency Act, 1994 (Act 490), which has since been replaced by the Environmental Protection Act, 2025 (Act 1124); the regulator is now the Environmental Protection Authority. How Act 1124 now handles pesticide registration for a small nursery was not verified. The Tree Crops Regulations, 2023 also have provisions on agrochemicals and pest control (Regulations 60 and 61), whose content I did not see.

Environment: water, plastic and soil

Act 1124. The Environmental Protection Act, 2025 (Act 1124) consolidates earlier environmental laws. Whether a small nursery needs an environmental permit, which class it falls into and what it costs were not verified; ask the EPA office in Takoradi and write the answer in your compliance file. Also ask the Water Resources Commission whether drilling or pumping a borehole needs a permit (not verified).

Water. Do not take water from a stream used by others without asking; do not let chemical or nutrient runoff leave the site; reuse water from tray bottoms for compost heaps, not for seedlings.

Plastic. Polybags are plastic. Collect empty bags and used nets, reuse bags that are still strong, sell scrap to a collector and never burn plastic in the open (course suggestion). The EPA announced a ban on polystyrene foam products from 1 January 2027. Whether foam seedling trays fall under the ban was not verified; if you use foam trays, check before buying more.

Soil. Dig topsoil in the dry season, up to 30 cm deep, sieve it through 1 to 2 cm holes, and wash river sand 3 to 4 times. Do not dig from riverbanks, protected forest or somebody's farm without permission. A model mix for polybags is 3 parts good topsoil, 1 part compost and 1 part sand; the hub's Level 1 book gives the steps.

Mangrove and wetland nurseries. Women and youth have collected mangrove propagules under Wildlife Division guidance. Wildlife Division and Forestry Commission permits for collecting propagules were not verified; get written permission before you collect.

The compliance file

One folder (paper or phone) with a copy of every item and its renewal date. Example layout:

Check yourself: Unit 4

1. Within how many days must an employer report an occupational accident?
2. What must a plant-protection product have before you may use it in a nursery?
3. Why is "never burn plastic" a nursery rule?

Competency standard

Range. A one- to ten-person tree nursery in Sekondi-Takoradi, Ahanta West or Nzema East. Evidence. Registration checklist; start-up budget; land and water checklist; one-page business plan.

Choose a legal form

Annual returns cost GH¢175 a year, with late fees of GH¢1,000 (1 to 4 years) or GH¢2,000 (5 years or more). For a first nursery a sole proprietor business or partnership is simplest; consider a company when you take large contracts (some buyers insist on one; not verified) or want to limit your risk. A women's or youth group nursery can start as a registered partnership or a cooperative; get written group rules first.

Registration, step by step

1. Choose a name and register it at the Office of the Registrar of Companies. Your cost: GH¢130.
2. Get your tax identity. Your Ghana Card PIN is your individual TIN; a company gets a GRA TIN after ORC registration.
3. Get the Assembly business operating permit through the STMA portal; fees follow the STMA fee-fixing resolution. The permit renews each year; the filing calendar lists 31 March. A nursery outside Takoradi applies to its own Assembly.
4. Register with the TCDA if you will sell cashew, coconut, oil palm, rubber, mango or shea planting material. Fees and forms were not verified.
5. Forestry Commission. Ask the district office whether any registration, permit or Plantation Production Certificate applies to your nursery or to the plantations you will supply; steps were not verified.
6. EPA. Ask whether a permit is required (not verified).
7. Register workers with SSNIT when you hire.
8. Open a business bank or mobile-money account separate from your personal one.
9. Insurance: see below.
10. Fill your compliance file from Unit 4.

Tax. Residents with business income only and no VAT registration may use the Modified Taxation Scheme: fixed instalments up to GH¢20,000 turnover, and 3% of turnover from GH¢20,001 to GH¢750,000 (the ceiling was raised from GH¢500,000 by the Income Tax (Amendment) Act 2026, Act 1178); owners of several businesses or outlets, professionals and partners are excluded. A company pays 25% standard; a manufacturer in a regional capital other than Accra and Tema, which includes Takoradi, pays 18.5%; whether a nursery counts as a manufacturer was not verified. From 1 January 2026 the VAT registration threshold for goods is GH¢750,000; a VAT-registered business cannot use the MTS. Whether the sale of seedlings or plants is exempt or zero-rated for VAT was not verified; ask GRA. Ask the buyer about withholding tax (Unit 3). Keep records for at least six years.

Land and tenure

Choose a site that is near the planting area and buyers, near water, near a motorable road, fairly level with a gentle slope to prevent flooding, and with fertile, well-drained soil, labour and a market close by. Avoid hilly sites because levelling and water supply are hard; a slope of more than 10 degrees needs terraces at least 5 m wide.

The Lands Commission and a lawyer can check a lease; fees and steps for a small nursery lease were not verified.

Water supply for a business

Decide whether a tank and tap, a borehole or a stream-fed system will give enough water for the dry season (see the capacity sheet in Unit 1). The cost of a borehole or tank in the Western Region was not verified. Get three quotes in writing and ask about the pump, power, repairs and water testing. A stream or well that dries up in the dry season kills your nursery just when buyers need seedlings.

Premises, equipment and start-up budget

Start small: a cleared plot with a basic shade house, a tank, a few tools and a first batch. The Ghana guide lists the cost items as polybags, topsoil, sand, compost, seed or scions, shade materials, water and tools such as a cutlass, hoe, watering can, secateurs, budding knife, tape and labels. Real prices for polybags, topsoil, sand and grafted seedlings in the Western Region were not found; ask Takoradi and Tarkwa agro-input shops.

Example start-up budget for a 5,000-pot nursery (all example numbers; the TCDA and Assembly lines are placeholders to be replaced by the real fees):

Example funding plan: own savings GH¢15,000; VSLA or susu loan GH¢8,000; deposits on pre-orders GH¢4,970; total GH¢27,970.

Finance options

Own savings; a susu or VSLA group; microfinance; bank loans; customer deposits on pre-orders. The Ghana Enterprises Agency has SME GO, Business-in-a-Box, SME High Growth and Kaizen programmes, with Business Advisory Centres in Takoradi, Shama, Effia-Kwesimintsim, Mpohor and Ahanta West. GIRSAL offers guarantees for agricultural loans through partner lenders. The 2026 Budget provided GH¢401 million for a Women's Development Bank, GH¢170 million for a National Apprenticeship Programme and GH¢160 million for Adwumawura. The Assemblies' disability fund can help persons with disabilities; the 2026 rate was not re-verified, so ask your Assembly. Bannor and colleagues studied four models of cashew seedling business in Ghana; their abstract reports gross margins in all four and contributions of 31 to 53 percent of sales, but the models and prices are behind a paywall. Start small; borrow only when sales are clear.

Hire, supervise and protect

Hiring. The Labour Act requires a written contract for work of six months or more (s.12), a written statement of terms within two months (s.13), 15 working days of paid leave (s.20) and 12 weeks of maternity leave (s.57); casual workers get the full minimum for each day worked (s.74). Minimum wage is GH¢21.77 a day in 2026. SSNIT: employee 5.5% and employer 13% of basic salary; the employer pays 13.5% to SSNIT within 14 days after month-end. PAYE is due by the 15th.

Supervising. Give each worker one clear job, show the quality standard, check counts at the end of the day, praise good work in front of others and correct mistakes in private. Rotate heavy and light tasks. Apprentices learn by doing: teach safety first, supervise, and sign a written agreement.

Insurance. Use only insurers licensed by the National Insurance Commission; check at nic.gov.gh. Which covers are compulsory for a small firm was not verified; ask the NIC. Think about cover for the stock (storm, fire, theft), the structures and workers' accidents.

Market yourself

Use a WhatsApp Business profile with a catalogue of species, sizes and prices, and quick replies for common questions. Use a free Google Business Profile so farmers who search for a tree nursery near them can find you. Put a clear sign at the road. Show certified lots, labels, delivery photos and survival reports from buyers. Sell before the rains. Use schools, churches and Assemblies as buyers.

Accessibility and inclusion

Women and persons with disabilities already work in nurseries. Noble Women with Disabilities in Asunafo North, Ahafo, a group of 50 women with disabilities and single parents, raised about 200 seedlings of mahogany, emire, mango and orange at three sites, saying "We can work" and that they needed buyers. Social Enterprise Ghana's Green Champion project trained women with disabilities in agribusiness including seedling production. The Persons with Disability Act, 2006 (Act 715) bans job discrimination. No source gave physical-accessibility designs, so the following are course suggestions, not from a source:

One-page plan and pitch

Fit on one page: customers (from your market map); products and prices; site and tenure; water; legal route and licences; start-up cost and finance; monthly costs and break-even; how you will advertise; safety and ethics.

Check yourself: Unit 5

1. What does it cost to register a sole-proprietor business name in 2026, and what is the renewal?
2. Which tax scheme can a small nursery use if it is not VAT-registered, and at what rate between GH¢20,001 and GH¢750,000 turnover?
3. Name two things to put in a written lease for nursery land.

Competency standard

Range. A nursery with one or two products and one to three workers. Evidence. Cash book; batch costing; month-end pack; oral questions.

The core rule

Assets = Liabilities + Equity. Debits increase assets and expenses; credits increase liabilities, capital and income; the trial balance checks totals but cannot catch every error. Keep owner money and business money apart: pay yourself a fixed drawing. Straight-line depreciation = (cost − salvage) ÷ useful life.

The records every nursery needs

Cost per saleable seedling, with mortality

You sell the saleable seedlings, not the ones you sowed. Losses are part of the cost. Example batch B1 (example numbers; check real prices):

With 12 percent lost, saleable seedlings = 5,000 × 0.88 = 4,400. Direct cost per saleable seedling = 9,700 ÷ 4,400 = GH¢2.2045, rounded to GH¢2.20.

Overheads (phone, transport and permit share GH¢275 a month, plus depreciation GH¢150 a month = GH¢425) spread over 3,500 seedlings sold a month add about GH¢0.12. Full cost = GH¢2.32.

Pricing. At a price of GH¢4.00 the profit is 4.00 − 2.32 = GH¢1.68. Mark-up = profit ÷ cost = 1.68 ÷ 2.32 = 72.4%. Margin = profit ÷ price = 1.68 ÷ 4.00 = 42.0%.

Break-even. Fixed costs a month: the permanent attendant GH¢1,695 (see wages below) plus overheads GH¢425 = GH¢2,120. Profit per seedling over direct cost = 4.00 − 2.20 = GH¢1.80. Break-even = 2,120 ÷ 1.80 = 1,177.8, so 1,178 seedlings a month. (Depreciation is not cash, but you still need to cover it to replace the shade house one day.)

Why mortality matters. The same costs with 25 percent loss leave only 3,750 saleable seedlings, so the direct cost per seedling rises to 9,700 ÷ 3,750 = GH¢2.59. Every dead seedling must be paid for by the living ones.

Wages, SSNIT and PAYE

Example: a permanent nursery attendant with a basic monthly pay of GH¢1,500 (example). The minimum wage is GH¢21.77 a day, about GH¢587.79 a month.

These are the 2026 monthly PAYE bands: the first GH¢588 at 0%, the next 80 at 5%, the next 100 at 10%, the next 2,900 at 17.5%, with SSNIT deducted first; PAYE is due by the 15th and SSNIT by the 14th of the next month; PAYE on casual workers is 5%. A casual worker paid GH¢30 for 26 days earns GH¢780; 5% is GH¢39 (example). Ask GRA how the casual-worker rate applies to your workers.

A sample cash book page (example)

July (example). Opening balance GH¢4,000. All sales at GH¢4.00 a seedling.

Totals: receipts GH¢4,000 + 6,000 + 6,000 + 1,000 = 17,000 (including the opening balance); payments GH¢1,000 + 400 + 780 + 120 + 250 + 780 + 1,500 = 4,830; closing balance GH¢12,170 (17,000 − 4,830).

Month-end routine

1. Total the cash book and count the cash in hand; agree the closing balance.
2. Reconcile the bank and mobile-money statements to the cash book; list the differences.
3. Update stock cards and count the seedlings by block; write off dead ones.
4. List debtors and creditors with due dates.
5. Make a trial-style check: the closing balance sheet must balance.
6. Write the income statement: sales minus costs equals profit.
7. Write a simple balance sheet: what you own and owe.
8. Look at next month's cash and file the records.

An example month: July

Opening position on 1 July (example): cash GH¢4,000; seedling stock 4,400 × 2.20 = GH¢9,680; net equipment GH¢8,100 (a shade house at GH¢6,000 and a pump and tank at GH¢3,000, bought six months ago, accumulated depreciation GH¢900); one creditor GH¢1,000. Total assets 4,000 + 9,680 + 8,100 = GH¢21,780. Liabilities GH¢1,000, so equity = GH¢20,780 (capital 20,000 plus retained profit 780).

During July: 3,500 seedlings were sold (3,000 for cash and 500 on credit to a farmer group for GH¢2,000, of which GH¢1,000 was paid on 28 July); 120 seedlings died and were written off; wages, polybags and water for the next batch (GH¢1,560 + 400 + 120 = 2,080) are kept as growing stock until that batch is sold.

Total assets GH¢24,916 equal equity GH¢24,916, so the books balance. Notice that profit (5,636) is not the same as the rise in cash (8,170): cash went up from 4,000 to 12,170 because you were paid cash for sales, but the farmer group still owes GH¢1,000, you paid the creditor, you spent GH¢2,080 on the next batch and you took GH¢1,500 as drawings.

Debtors and ageing

Chase every debt when it is due, not when you need the money. Stop supply to a buyer who is more than 30 days late, if the contract allows (Unit 3).

Reconciliation: bank and mobile money

Compare each line of the statement with the cash book. Tick matches. Differences are usually charges and fees you forgot to enter, payments received but not yet in the book, mistakes in addition, or a payment recorded twice. Correct the book, not the statement.

Tax records and the law

Keep records in Ghana for at least six years from the end of the year of assessment or VAT period. Use the filing calendar: SSNIT by the 14th; PAYE and withholding tax by the 15th; VAT by the last working day of the following month; provisional tax quarterly; annual return within four months of year-end; ORC annual return or renewal yearly; STMA permit by 31 March. Under the MTS the rate is 3% of turnover from GH¢20,001 to GH¢750,000: a nursery with GH¢96,800 turnover would owe 96,800 × 0.03 = GH¢2,904 a year (example; confirm with GRA whether the scheme applies to you). Free tools: Excel or Google Sheets, the Zoho Books free plan and Wave. From 1 January 2027 the 2025 IFRS for SMEs applies to companies using it.

Check yourself: Unit 6

1. A batch costs GH¢4,000 and 8 in 10 of the 2,500 seedlings sown are saleable. What is the cost per saleable seedling?
2. What is the difference between mark-up and margin?
3. How long must business records be kept?

Competency standard

Range. A tree nursery business plan. Evidence. One-page plan; forecast; panel score sheet.

Quality and customer care

Give every client a written delivery note with batch code, number, size standard and your phone number. Visit or call after planting and ask how many survived; write it in the lot register. Answer complaints in writing within two days (good practice). If a buyer's seedlings died because you sent a bad lot, replace them or refund; if they died because the buyer planted them wrongly, advise and sell new ones. Survival feedback is your best advertisement, and the Green Ghana report of more than 72 percent survival gives you a figure to beat.

Pricing strategy

Price from cost, not from fear: include direct cost, overhead, mortality and a margin. Use at least three price levels: a bulk price for orders above a stated number, a retail price and a premium price for certified or grafted plants. Do not compete with free Forestry Commission seedlings on price; compete on quality, certification, species choice, delivery and guarantee. Raise prices when you are always sold out. Coconut seedling classified ads ranged from GH₵8 to over GH₵40, a reminder that quality and place change prices a lot. A study found farmers willing to pay GH¢0.80 to 1.00 for professionally raised seedlings, but those were vegetable-type seedlings, not trees. Check prices again before every season.

Scaling without breaking your cash

Growth adds work and costs before it adds sales, because you pay for pots, labour and seed months ahead (see the forecast below). Grow in steps:

1. Fill the capacity you already have (Unit 1).
2. Add a second product with the same site and skills (for example, grafted fruit trees after forest trees).
3. Add workers only when orders are signed.
4. Add a second site or a bigger shade house only with a deposit or a loan you can repay from signed sales.

Example. If a new shade house costs GH¢6,000 and adds capacity for 3,000 more seedlings a season, each giving GH¢1.80 over direct cost, the extra contribution is 3,000 × 1.80 = GH¢5,400 a season, so it pays back in a little more than one season if you can sell all of them. Selling them is the real risk.

Partnerships, contracts and tenders

Tenders. Public bodies and big NGOs may buy seedlings through quotations or tenders. The steps and portal for Forestry Commission seedling supply were not verified, so ask the Assembly's procurement office or the Commission which route applies and what documents they ask for (tax clearance, registration, insurance and past experience: not verified). Prepare a tender folder before you need it: registration certificate, TIN, permit, TCDA certificate (if any), two or three references, photos of your nursery, your quality standard and your price list. For a large volume do the payment-risk calculation first (Unit 3).

Records for a loan

Lenders ask for registration, TIN, 6 to 12 months of cash book and mobile-money statements, a plan and a forecast. Tidy books are your best collateral.

Succession and ethics

Write your procedures down (batch sheet, lot code, grading standard, cash book routine) so the nursery runs without you, and name who takes over if you are ill. Ethics rules:

Capstone: a 12-month cash-flow forecast

A cash-flow forecast lists for each month the opening cash, expected receipts, expected payments and closing cash. A profit does not mean cash: customers who pay late and costs paid months before sales leave you short.

Example forecast (example numbers; the same nursery as Unit 6). Opening cash GH¢20,000. Sales are seedlings × GH¢4.00; 80 percent is paid in the month of sale and 20 percent in the next month; no customer owes money at the start. Production costs are GH¢2.20 per seedling, paid two months before the sale. Fixed cash costs are GH¢1,970 a month (attendant 1,695 plus phone, transport and permit share 275). Drawings are GH¢800 a month. One-off payments: January 300 (permit and renewals), February 1,500 (replace shade netting), March 600 (permits). Seedlings sold follow the seasons (March to June and September to November): 600, 900, 3,000, 3,600, 3,400, 2,000, 700, 500, 2,800, 3,400, 2,600 and 700; for next year's January and February assume 300 and 500.

Year totals: receipts GH¢96,240; payments GH¢87,340; closing cash GH¢28,900 (20,000 + 96,240 − 87,340). The lowest closing balance is GH¢2,890 in March, just as the buyers come. If opening cash were only GH¢8,000, March would close at minus GH¢9,110, a cash crisis even though the nursery is profitable.

Profit for the year (example, from the same figures): sales 96,800 (24,200 × 4.00) less direct costs 53,240 (24,200 × 2.20) = gross profit 43,560; less attendant 20,340, overheads 3,300, depreciation 1,800 and one-off items 2,400 = net profit 15,720. Cash rose only GH¢8,900. The check: 15,720 profit + 1,800 depreciation (not cash) − 9,600 drawings − 560 still owed by customers + 3,300 of production cost paid before the year for January and February sales − 1,760 paid in November and December for next year = 8,900.

Make your own. Use your own real numbers and label guesses as guesses. Check every month where closing cash falls below zero and plan how to fix it: take deposits, delay a purchase, collect a debt, stagger batches, or borrow a small amount.

Panel scoring (20 marks each): customer and problem; products and legal route including TCDA, Forestry Commission and EPA questions; money (start-up, prices, break-even, forecast); safety, quality and ethics; clarity and answers to questions. Competent: at least 60 of 100 with no zero in safety, quality and ethics (author's rule).

Check yourself: Unit 7

1. Why can a nursery with a good profit still run out of cash in March?
2. Name two ways to compete with free seedlings.
3. What goes in a tender folder?

1. Why do you work backwards from the buyer's planting date?
2. What is the Ghana guide's rule for bed area per 1,000 seedlings before walkways?
3. What does a batch sheet record?
4. Name the six crops covered by the TCDA planting-material rule and the date it began.
5. If a seed lot germinates at 55 percent, how many seeds do you sow per pot by the FAO rule?
6. What two questions does traceability answer?
7. Why is a 90-day-after-delivery payment dangerous for a small nursery?
8. What must a pesticide have before you may use it?
9. Within how many days must an employer report a work accident?
10. What is the cost of registering a sole-proprietor business name in 2026?
11. What is the difference between mark-up and margin?
12. A batch costs GH¢6,000; 2,000 of the 2,500 seedlings sown are saleable. What is the cost per saleable seedling?

What this module does not cover: the cocoa and oil-palm nurseries (see the hub's Cocoa Farm Rehabilitation and Oil Palm Production books); TCDA registration form, fees and conditions; Forestry Commission nursery or plantation registration; EPA permit class for a nursery; contract rates per seedling for government programmes; current Western Region prices for polybags, soil, sand and seedlings (none verified).

Every source used in this manual is listed, with links, in the Teacher Copy.