Kava: The green GOLD  in Vanuatu’s economy

In Ghana, the saying Ye te sika so, Nanso Ekom De Yen highlights the paradox of wealth amidst economic hardship. Ghana is bless­ed with numerous natural medicinal resources that could bolster its economy, yet these remain largely untapped. I have extensively discussed how hibiscus (sobolo) and various other herbs could contribute to economic growth if given the necessary governmental support.

This article presents a case study of a national herb from Vanuatu that has been successfully developed into a crucial economic asset. That herb is kava.

Kava is bitter. Kava is strong. Kava is unlike anything you have ever tasted. The kava plant (Piper methysticum) is indigenous to the South Pacific islands, with different varieties cultivated based on soil, climate, and other growing condi­tions—similar to tea, coffee, or wine. The sedative drink, derived from kava roots, appears muddy and has a bitter aftertaste. Despite this, it is cherished across the islands for its relaxing and narcotic properties. The Alcohol and Drug Foundation in Australia classifies kava as a depres­sant drug.

Protecting kava as a

premium product

With the growing global demand for kava, safeguarding its reputa­tion as a premium and safe product has become a priority for small Pacific nations with limited income sources. Different varieties of kava have varying effects, prompting the development of testing protocols to differentiate high-quality strains from inferior ones. This distinction is critical for regulating exports and maintaining product integrity.

Kava’s contribution to Vanuatu’s GDP

In 2020, Vanuatu was consuming approximately 40 tonnes of kava per week in its nakamals (kava bars). About 90 per cent of Vanuatu’s kava production is consumed local­ly, overshadowing export sales. Nev­ertheless, kava remains a valuable component of the national economy and cultural identity. In 2018, Vanu­atu’s GDP stood at US $914 million, rising to $1.126 billion in 2023, according to the World Bank.

In 2019, Vanuatu exported 819 tons of kava, generating approxi­mately 834 million Vatu (over US $7 million). The Vanuatu Kava Industry Association reports that the average freight-on-board (FOB) export price for noble kava root (cleaned, dried, and sorted) from Port Vila is around $40 per kilogram. Major export destinations include Nouméa (New Caledonia) and Suva (Fiji), where Vanuatu kava fuels a robust kava bar industry.

With high demand and favour­able pricing, kava farmers are now enjoying increased profits. At $20- $25 per kilogramme of processed noble kava, Ni-Vanuatu farmers are improving their living conditions, acquiring boats, and reinvesting in their communities. Previously, manu­facturers of kava extracts controlled prices, but with the current market dynamics, they must now pay fair prices for Vanuatu kava.

An emerging trend in Vanuatu is the sale of both kava and beer at na­kamals. Many patrons enjoy drinking a bowl or two of kava before follow­ing it with beer—a practice known as kalé, particularly popular among tourists and expatriates.

Economic growth and

kava exports

The 2023 Vanuatu Private Sector Economic Update highlighted sev­eral positive trends despite the chal­lenges posed by COVID-19. Kava exports and tourism have been major drivers of economic growth. Be­tween 2014 and 2022, kava exports surged by 366 per cent, indicating a thriving domestic and international market. The domestic kava market is estimated to be twice the size of the export market, significantly benefit­ing local farmers.

According to reports by Chris Kilham, kava destined for interna­tional markets undergoes rigorous inspection by Vanuatu Biosecurity. Inspectors check for mold, fun­gus, rot, and contaminants before granting export approval. Exporters utilise major airlines such as Virgin, Air New Zealand, Air Caledonia, and Air Vanuatu, with large shipments transported via sea containers hold­ing 10-20 metric tonnes.

The Kava Act 2002 and

noble kava

The Kava Act 2002 mandates that only noble or medicinal kava can be sold in Vanuatu. Noble kava is considered the gold standard due to its favorable psychoactive effects, promoting relaxation without nausea or headaches. Noble varieties contain specific ratios of kavalactones— the active compounds responsible for kava’s sedative properties. Of the 18 identified kavalactones, the six primary ones include kavain, dihydrokavain, methysticin, dihy­dromethysticin, yangonin, and deme­thoxy-yangonin. Noble kava varieties have high concentrations of kavain and dihydrokavain and lower levels of demethoxy-yangonin, ensuring a pleasant experience.

Due to these benefits, pharmaceu­tical companies have shown interest in kava, creating lucrative opportuni­ties for Ni-Vanuatu farmers. In 2019, kava accounted for 57 per cent of Vanuatu’s export market, valued at approximately $48.4 million.

Global kava market expansion

In 2020, Fiji exported nearly $20.7 million worth of kava to markets in the United States, New Zealand, the Marshall Islands, and Nauru. Since 2016, crop production has almost doubled to over 13,000 tons.

Fijian-Australian company Fiji Kava Ltd., which specialises in powdered kava and kava-based ther­apeutics, was listed on the Australian Stock Exchange in 2018. Its founder, Zane Yoshida, envisioned kava as a stress-relief solution, particular­ly in the wake of the COVID-19 pandemic. He estimated that the kava industry could be worth $210 billion by 2026, encompassing both traditional beverages and therapeutic applications.

tream

Kava market

The Anabru kava market is a centre to buy kava, the introduction of kava bars with multiple windows, the selling of kava and beer togeth­er, the elimination of the Vanuatu Commodities Marketing Board (VCMB), and the abolition of tudei kava exports.

On the outskirts of Port Vila, people from many islands rent small spaces at the Anabru Market, where they sell their own kava. Anabru looks like a rustic little motel, one long building with multiple small rooms. Vendors with both large and small amounts of kava can sell at Anabru. Some vendors sell two or three sacks’ worth of kava, while others sell entire truckloads. Many of the smaller local kava bars around Port Vila get their kava at Anabru market, choosing from kava varieties from Espiritu Santo, Malekula, Pen­tecost, and Epi islands.

At the various kava bars, coconut shells have been replaced by ceramic bowls. It used to be that a small coconut shell filled with kava would cost 50 Vatu, and a large shell would cost 100 Vatu. Now, the amount of kava that gets ladled into a bowl determines the cost. Customers may buy a small 50-Vatu bowl, a regular 100-Vatu bowl, or even a 200-Vatu bowl for a strong bit of kava at once.

Lessons from Vanuatu’s

Kava Model

Vanuatu’s success with kava export and commercialisation stems from:

1. Government Regulation & Support – The Vanuatu government established strict quality standards and policies to ensure kava’s safety and marketability.

2. International Trade Agree­ments – Kava gained international recognition as a beverage and herbal product, securing export deals in Europe, the U.S., and Asia.

3. Value-Addition & Brand­ing – Instead of selling raw kava, Vanuatu processes it into powder, capsules, and beverages, increasing its market value.

4. Research & Standardisa­tion – Scientific studies backed kava’s health benefits, increasing global acceptance.

5. Community Involvement – Local farmers were empowered to cultivate kava, ensuring economic benefits for rural communities.

Applying the model to ghana’s herbal industry

Case Study: Sobolo (Hibiscus Tea)

Current status

• Sobolo is widely consumed in Ghana but is mainly sold as an informal, homemade beverage.

• The market is dominated by small-scale producers with little export penetration.

• Lacks standardised packag­ing, branding, and regulatory backing for mass commercialisation.

Opportunities using the kava model

1. Government regulation & quality control

o Establish a committee under the Traditional Medicine Practice Council to set standards for Sobolo and other recognized herbal production.

o Enforce hygienic process­ing, packaging, and certification for export.

2. Research & scientific back­ing

o Conduct clinical studies to highlight Sobolo’s health benefits (e.g., blood pressure control, antioxi­dants).

o Partner with universities and health institutions to create a strong knowledge base.

3. Value-addition & branding

o Produce Sobolo tea bags, syrup concentrates, powder, and ready-to-drink bottled versions.

o Develop flavored Sobolo varieties (e.g., with ginger, lemon, or mint) to attract different consumer segments.

o Create Ghanaian Sobolo Brands for supermarkets and inter­national markets.

4. Export & trade agreements

o Leverage AfCFTA (African Continental Free Trade Area) to expand Sobolo exports across Africa.

o Negotiate export deals with European, American, and Asian markets.

5. Community involvement & job creation

o Train local farmers to culti­vate hibiscus at a large scale.

o Establish processing cen­ters in rural communities for employ­ment.

Other herbal opportunities in Ghana

Beyond Sobolo, Ghana has several medicinal plants that can follow the Kava model:

• Prekese (Tetrapleura tetrap­tera) – Used in traditional medicine, can be commercialized into tea, syrup, or powder.

• Neem (Azadirachta indica) – Known for its antimicrobial prop­erties, it can be used in herbal teas, soaps, and cosmetics.

• Moringa (Moringa oleif­era) – Already gaining international attention but needs better branding and standardisation.

Conclusion

Kava is often considered the ‘green gold of the Pacific. Vanuatu has a sustainable kava trade in which the plant is cultivated without any toxic agricultural inputs, the growers get a fair price, and market demand remains strong. The entire Vanuatu kava industry has become more sophisticated, with more measures to ensure high quality of exports and avoid contamination.

Ghana can learn from Vanuatu’s Kava model to develop natural herbs like Sobolo (Hibiscus tea) and other indigenous medicinal plants to boost its economy. Vanuatu has success­fully built a multi-million-dollar kava industry, which provides jobs, foreign exchange, and cultural identity. By adopting similar strategies, Ghana can enhance its herbal medicine sector.

The author is a Professor of Naturopathy, a Lawyer(Gambia Bar), and a Chartered Health Economist. e-mail: professor40na­[email protected]

BY PROF. RAPHAEL NYARKOTEY OBU

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