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Technical Efficiency of Cocoa Farmers in Ghana

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  • Besseah, Felix A.
  • Kim, Sangho

Abstract

The commitment of the government in promoting and encouraging the welfare of cocoa farmers makes cocoa policies critical in Ghana. Having dropped below global production levels, however, technical efficiency in Ghana has continued to decline over the years. This study aims to analyse the extent of productivity and find the sources of technical efficiency in cocoa-producing households by applying the stochastic frontier approach to the Ghana-Living Standards Survey Round Five of 2005/06. The estimated technical efficiency has a mean of 47.82%. Crop diversification, mechanised farming and hired labour enhance technical efficiency, while emigration results in its deterioration. Other critical factors that influence efficiency are also identified.

Suggested Citation

  • Besseah, Felix A. & Kim, Sangho, 2014. "Technical Efficiency of Cocoa Farmers in Ghana," Journal of Rural Development/Nongchon-Gyeongje, Korea Rural Economic Institute, vol. 37(2), pages 1-24.
    • Handle: RePEc:ags:jordng:196615
    DOI: 10.22004/ag.econ.196615
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    References listed on IDEAS

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    1. Francis Teal & Marcella Vigneri, 2004. "Production Changes In Ghana Cocoa Farming Households Under Market Reforms," Development and Comp Systems 0409062, University Library of Munich, Germany.
    2. Francis Teal & Marcella Vigneri, 2004. "Production changes in ghana cocoa farming households under market reforms," Economics Series Working Papers WPS/2004-16, University of Oxford, Department of Economics.
    3. Guy Nkamleu & Joachim Nyemeck & Jim Gockowsk, 2010. "Working Paper 104 - Technology Gap and Efficiency in Cocoa Production in West and Central Africa: Implications for Cocoa Sector Development," Working Paper Series 241, African Development Bank.
    4. Joachim Nyemeck BINAM & Jim GOCKOWSKI & Guy Blaise NKAMLEU, 2008. "Technical Efficiency And Productivity Potential Of Cocoa Farmers In West African Countries," The Developing Economies, Institute of Developing Economies, vol. 46(3), pages 242-263, September.
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    Cited by:

    1. Andras Tothmihaly, & Verina Ingram., 2017. "How can the productivity of Indonesian cocoa farms be increased?," GlobalFood Discussion Papers 258588, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    2. Aboah, Joshua & Setsoafia, Edinam Dope, 2022. "Examining the synergistic effect of cocoa-plantain intercropping system on gross margin: A system dynamics modelling approach," Agricultural Systems, Elsevier, vol. 195(C).
    3. Fabrice-Gilles Ndombi Avouba & Prince Ossebi Douniam & Christelle Ines Leticia Ndombi Ondze, 2024. "Efficiency of SMEs in Africa: Evidence from Congolese Data," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(3), pages 10956-10984, September.
    4. Tothmihaly, Andras & Ingram, Verina & von Cramon-Taubadel, Stephan, 2019. "How Can the Environmental Efficiency of Indonesian Cocoa Farms Be Increased?," Ecological Economics, Elsevier, vol. 158(C), pages 134-145.
    5. Gyan, John Kwame & Bajan, Bartłomiej, 2022. "Market analysis on cocoa beans export: the case of Ghana and cote d’ivoire in west Africa," Journal of Agribusiness and Rural Development, University of Life Sciences, Poznan, Poland, vol. 66(4), April.
    6. Andras Tothmihaly & Verina Ingram, 2019. "How can the productivity of Indonesian cocoa farms be increased?," Agribusiness, John Wiley & Sons, Ltd., vol. 35(3), pages 439-456, July.
    7. NDUBUEZE-OGARAKU, Mercy Ebere & ADEYOOLA, Olutola Ayodele & NWIGWE, Cecilia Akuchinyere, 2021. "Determinants Of Technical Efficiency Of Small-Holders Yam Farmers In Nigeria," Review of Agricultural and Applied Economics (RAAE), Faculty of Economics and Management, Slovak Agricultural University in Nitra, vol. 24(01), March.
    8. Bismark Amfo & Robert Aidoo & James Osei Mensah, 2021. "Food coping strategies among migrant labourers on cocoa farms in southern Ghana," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 13(4), pages 875-894, August.
    9. Higuchi, Angie & Coq-Huelva, Daniel & Vasco, Cristian & Alfalla-Luque, Rafaela & Maehara, Rocío, 2023. "An evidence-based relationship between technical assistance and productivity in cocoa from Tocache, Peru," Revista de Economia e Sociologia Rural (RESR), Sociedade Brasileira de Economia e Sociologia Rural, vol. 61(01), January.
    10. Gideon Danso-Abbeam & Lloyd J. S. Baiyegunhi, 2020. "Do farm-level technical efficiency and welfare complement each other? Insight from Ghana’s cocoa industry," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-15, December.

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