Abstract

Rapid urbanization has affected and will continue to affect food consumption patterns. The objective of this paper was to identify and examine the key factors that drive the demand for Food- Away-From-Home (FAFH) in the face of rapid urbanization in Ghana. Cross sectional data from 107 households in a typical Ghanaian urban center, Kumasi, was used to conduct multiple regression analyses by employing the Ordinary Least Squares (OLS) method. Evidence from the study suggests that the “away from home” food market is very important to the average urban dweller since it is a key source of his dietary nutrients. The study found out that about 27% of household food budget was spent on FAFH. The study revealed that income level, sex of household head, number of dependants, and number of males in full-time employment were the principal determinants of household expenditure on food-away-from-home. Contrary to findings from past studies conducted in developed economies, our study revealed that in a typical urban center in a developing economy like Ghana, low income households spend more on food away from home than high income households. The results imply that if we want consumers to eat more from home, rather than away from home, to improve their nutrition and health status, efforts should be made to create jobs for consumers to improve their income levels. It was recommended that in order to safeguard the health status of low income households which depends heavily on the “away from home” food market, food vendors in this market segment should be organized and trained to improve the nutritional value of their foods. When this is done, Ghana’s health budget would be drastically reduced and national productivity will increase as a result of good health of the human capital.