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Interlinkage In The Rice Market Of Ghana: Money-Lending Millers Enhance Efficiency

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  • Furuya, Jun
  • Sakurai, Takeshi

Abstract

Most of the large-scale millers in Ghana provide a loan to the farmers under the agreement that the farmers will bring their paddy to them. This paper examines the effect of this interlinkage on the efficiency of rice milling. A quadratic cost function was estimated, and capacity utilization was calculated in relation to money lending. The results show that if the millers provide a loan to the farmers, the operating rate will increase by 24%.

Suggested Citation

  • Furuya, Jun & Sakurai, Takeshi, 2003. "Interlinkage In The Rice Market Of Ghana: Money-Lending Millers Enhance Efficiency," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25871, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae03:25871
    DOI: 10.22004/ag.econ.25871
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    1. Crow, Ben & Murshid, K. A. S., 1994. "Economic returns to social power: Merchants' finance and interlinkage in the grain markets of Bangladesh," World Development, Elsevier, vol. 22(7), pages 1011-1030, July.
    2. Carter, Michael R., 1989. "The impact of credit on peasant productivity and differentiation in Nicaragua," Journal of Development Economics, Elsevier, vol. 31(1), pages 13-36, July.
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    Cited by:

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    2. Sylvaine Lemeilleur, 2014. "The role of input vouchers in modernizing the fresh fruit and vegetable market in Turkey," Agricultural Economics, International Association of Agricultural Economists, vol. 45(4), pages 477-487, July.
    3. Ghanem, Marwa Ghareeb & Shafei, Mahmoud A. & El-Rasoul, Ahmed Abou El-Yazid, 2017. "The economic efficiency analysis of some rice mills in Egypt by using DEA and SFA," MPRA Paper 98196, University Library of Munich, Germany.

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