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Article
Publication date: 26 September 2019

Richard Kwasi Bannor, Helena Oppong-Kyeremeh, Samuel Atewene and Camillus Abawiera Wongnaa

The purpose of this paper is to examine the factors influencing the choice and the amount of cocoa beans sold to public and private licensed buying companies in the Western North…

Abstract

Purpose

The purpose of this paper is to examine the factors influencing the choice and the amount of cocoa beans sold to public and private licensed buying companies in the Western North of Ghana.

Design/methodology/approach

The study was conducted in the Western North of Ghana. Cragg’s Double Hurdle model was used to examine the factors influencing the choice of licensed buying company (LBC) whereas Kendall’s coefficient of concordance was employed in analysis of the marketing challenges.

Findings

The results showed that non-price incentives determine the choice and the amount cocoa beans sold to an LBC. Specifically, education, years of experience in cocoa farming and timely payment of sold cocoa beans positively influence the choice of public LBC. However, off farm job participation, provision of credit facilities and extension services affect the choice of private LBC as marketing outlet. Perceived low price of cocoa beans, inadequate credit support, and adjustment of scales used in weighing of cocoa beans were identified as the most important challenges confronting farmers.

Research limitations/implications

The research provides important information on non-price incentives influencing cocoa marketing outlet decision as well as the marketing challenges faced by farmers which can contribute to improving internal marketing efficiency of the cocoa industry in Ghana. Besides, this study also extends the frontiers in terms of methodological approach by adopting Cragg’s Double Hurdle Model in addressing the research question.

Originality/value

The research provides important information on non-price incentives influencing cocoa marketing outlet decision as well as the marketing challenges faced by farmers which can contribute to improving internal marketing efficiency of the cocoa industry in Ghana. Besides, this study also extends the frontiers in terms of methodological approach by adopting Cragg’s Double Hurdle Model in addressing the research question.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 9 no. 4
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 2 March 2021

Reuben Jagri Binpori, Dadson Awunyo-Vitor and Camillus Abawiera Wongnaa

In order to improve access to resources for smallholder farmers, efforts are being made to promote contract farming in Ghana. This is seen as a strategy to increase agricultural…

Abstract

Purpose

In order to improve access to resources for smallholder farmers, efforts are being made to promote contract farming in Ghana. This is seen as a strategy to increase agricultural productivity of farmers, give better market access and guarantee adequate supply of raw materials to agro-based industries. However, the challenge is whether contract farming leads to improvement in food security status of farmers. The study therefore seeks to explore to what extent farmers' food security status is influenced by their participation in contract farming activities.

Design/methodology/approach

Using Cragg's double-hurdle model to analyse participation in contract farming, the authors control for selection bias using propensity score matching applied to a data set of 336 observations to examine the impact of contract farming on the food security levels of rice farmers in Ghana.

Findings

The results of this study show that yield of paddy and the wealth of the farmer are the main factors that influence the quantity of paddy rice to be contracted in contract farming arrangements. This study also finds that participation in contract farming will increase food security by 109%. In conclusion, contract farming has a significant positive impact on the farmers' food security status.

Originality/value

Agricultural policies and rural development initiatives supporting the promotion and expansion of contract farming should be pursued to persuade more farmers to produce under contract farming agreements.

Details

World Journal of Science, Technology and Sustainable Development, vol. 18 no. 2
Type: Research Article
ISSN: 2042-5945

Keywords

Article
Publication date: 3 October 2020

Anjani Kumar, Raya Das, Aditya K S, Seema Bathla and Girish K. Jha

This paper is an attempt to understand the pattern of credit among agricultural households in Eastern India and to identify the correlates of their access to institutional credit…

Abstract

Purpose

This paper is an attempt to understand the pattern of credit among agricultural households in Eastern India and to identify the correlates of their access to institutional credit for policy imperatives.

Design/methodology/approach

The study uses unit-level data from the All-India Debt and Investment Survey of the 59th and 70th rounds of the National Sample Survey Office for the years 2002–2003 and 2012–2013. Cragg's double-hurdle model and the Heckman selection model are used to estimate the determinants of access to and the amount of institutional loans taken by households. These models also account for potential selection bias in the findings.

Findings

The study reveals that access to credit is strongly associated with the socioeconomic and demographic characteristics of agricultural households. However, about half of the farmers in the eastern states of India lack access to institutional credit despite the government's attempts to include them in the ambit of formal financial services. Thus, strategies for developing agriculture in Eastern India must include efforts to bring small and marginal farmers under the coverage of institutional credit.

Research limitations/implications

These data are based on the responses given by the sample households and not the experimental data. The data pertain to the year 2013.

Originality/value

The findings emphasize that strategies for developing agriculture in Eastern India must give special push to enhance small and marginal farmers' access to institutional credit.

Details

Agricultural Finance Review, vol. 81 no. 2
Type: Research Article
ISSN: 0002-1466

Keywords

Article
Publication date: 5 June 2024

Jeffery Kofi Asare, Nicholas Oppong Mensah, Priscilla Agyemang, Anderson Matthew and Surjeet Singh Dhaka

The warehouse receipt system (WRS) is critical for farmers because it addresses agricultural market inefficiencies, provides credit access, reduces postharvest losses and…

Abstract

Purpose

The warehouse receipt system (WRS) is critical for farmers because it addresses agricultural market inefficiencies, provides credit access, reduces postharvest losses and increases access to profitable markets. However, its use and implementation across the commodity value chain remain relatively limited in Sub-Saharan Africa, particularly among cash crop producers. This study examines cashew farmers' perceptions of WRS implementation and determinants of farmer participation.

Design/methodology/approach

A total of 153 cashew farmers from the Bono region of Ghana were sampled using a multistage sampling approach. Perception index analysis and Cragg's double hurdle model were used for the analysis.

Findings

The results revealed that farmers strongly perceived that WRS augmented credit and market access. In addition, farm size, household size, annual income, perception of collateral and higher selling price determined farmers' willingness to participate in WRS.

Research limitations/implications

Despite the existence of other cashew farmers in Ghana, the study was limited to cashew farmers in Bono Region.

Originality/value

Despite the plethora of benefits of WRS, it is surprising that its implementation in the cashew subsector is geographically limited to East Africa. Thus, this study is the first to provide empirical evidence on the perception of WRS implementation and further examine farmers' willingness to participate in WRS in Ghana.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-12-2023-0946.

Details

International Journal of Social Economics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 3 December 2020

Emmanuel Kwame Nti, Camillus Abawiera Wongnaa, Nana Sampson E. Edusah, John-Eudes Andivi Bakang and Vasco Baffour Kyei

The purpose of this paper is to support the development of effective strategies that enhance community water supply systems. The study examined service constraints and willingness…

Abstract

Purpose

The purpose of this paper is to support the development of effective strategies that enhance community water supply systems. The study examined service constraints and willingness to pay for better services in community-managed water supply services using empirical evidence from beneficiaries of a small-town water supply system in Ghana.

Design/methodology/approach

A survey design of both descriptive and exploratory research is adopted, the descriptive survey handles the quantitative aspect, while the exploratory survey handles the qualitative aspect. The authors collected data using a structured survey questionnaire from 387 beneficiaries who were public standpipe and domestic users. Descriptive statistics, Kendall's coefficient of concordance and Cragg's two-step model were the methods of analysis employed.

Findings

The respondents ranked lack of capacity (managerial) as the topmost constraint of the community-managed water system. The findings indicate that 57% of the beneficiaries were not willing to pay, whiles 43% were willing to pay. Also, results from Cragg's two-step regression model indicate that different sets of factors affect willingness-to-pay and amount-to-pay decisions. The study revealed that while a willingness-to-pay decision is influenced by income, education, marital status and customer service, the estimated-amount-to-pay decision is more influenced by income and education.

Originality/value

Building on the empirical evidence, the findings indicated that the water and sanitation management team can increase the current fee of GH¢ 5.00/1 m3 (≈US$ 0.87) by increasing beneficiaries charge for a bucket of water from GH¢ 0.10p (≈US$ 0.017) to GH¢ 0.21p (≈US$ 0.036) for better services within the community. Importantly, the additional charge should take into consideration income and education which were noted to significantly influence the beneficiary's amount-to-pay decision for better services in the community-managed water supply system.

Details

World Journal of Entrepreneurship, Management and Sustainable Development, vol. 17 no. 3
Type: Research Article
ISSN: 2042-5961

Keywords

Article
Publication date: 5 March 2018

Andrea M. Leschewski, Dave D. Weatherspoon and Annemarie Kuhns

The purpose of this paper is to analyze households’ acquisition of healthy food away from home (FAFH) from restaurants. Specifically, determinants of households’ decision to…

Abstract

Purpose

The purpose of this paper is to analyze households’ acquisition of healthy food away from home (FAFH) from restaurants. Specifically, determinants of households’ decision to purchase healthy FAFH, the share of households’ FAFH expenditures allocated to healthy FAFH and the share of households’ FAFH calories obtained from healthy items are identified.

Design/methodology/approach

Using data from the National Household Food Acquisition and Purchase Survey, the UK Food Standards Agency’s Nutrient Profiling Model is used to classify the healthfulness of households’ FAFH purchases. A double-hurdle model is estimated to identify determinants of households’ decision to purchase healthy FAFH and the share of their FAFH expenditures and calories allocated to healthy items.

Findings

Households’ acquisition of healthy FAFH varies with income, food assistance, FAFH purchase frequency, dieting, restaurant type, household composition, region and season. There is little difference in the impact of these factors on healthy FAFH expenditure shares vs calorie shares, suggesting that healthy FAFH expenditures proxy the contribution of healthy FAFH to a households’ diet.

Practical implications

Results suggest that increased availability of healthy FAFH may need to be supplemented by targeted advertising and promotions, revisions to nutrition education programs, improved nutrition information transparency and value pricing in order to improve the dietary quality of households’ FAFH acquisitions.

Originality/value

This study is the first to analyze household acquisition of healthy FAFH.

Details

British Food Journal, vol. 120 no. 3
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 10 April 2017

Adam Hoffer, Rejeana Gvillo, William Shughart and Michael Thomas

The purpose of this paper is to identify how consumption of 12 goods – alcohol, cigarettes, fast food, items sold at vending machines, purchases of food away from home, cookies…

Abstract

Purpose

The purpose of this paper is to identify how consumption of 12 goods – alcohol, cigarettes, fast food, items sold at vending machines, purchases of food away from home, cookies, cakes, chips, candy, donuts, bacon, and carbonated soft drinks – varies across the income distribution by calculating their income-expenditure elasticites.

Design/methodology/approach

Data on 22,681 households from 2009-2012 from the Bureau of Labor Statistics’ Consumer Expenditure Survey were used. The data were analyzed using ordinary least squares regressions and Cragg’s double hurdle model which integrates a binary model to determine the decision to consume and a truncated normal model to estimate the effects for conditional (y>0) consumption.

Findings

Income had the greatest effect on expenditures for alcohol (0.314), food away from home (0.295), and fast food (0.284). A one percentage-point increase in income (approximately $428 at the mean) translated into a 0.314 percentage-point increase in spending on alcoholic beverages (approximately $1 annually at the mean). Income had the smallest influence on tobacco expenditures (0.007) and donut expenditures (−0.009).

Research limitations/implications

Percentage of a household’s discretionary budget spent on the studied goods falls substantially as income gets larger. Policies targeting the consumption of such goods will disproportionately impact lower income households.

Originality/value

This is the first manuscript to calculate income-expenditure elasticities for the goods studied. The results allow for a direct analysis of targeted consumption policy on household budgets across the income distribution.

Details

Journal of Entrepreneurship and Public Policy, vol. 6 no. 1
Type: Research Article
ISSN: 2045-2101

Keywords

Article
Publication date: 3 July 2020

Anjani Kumar, Gaurav Tripathi and P. K. Joshi

New varieties of paddy are constantly being developed in India in order to sustain yield gains in the face of biotic and abiotic stresses. In this study, the authors attempt to…

Abstract

Purpose

New varieties of paddy are constantly being developed in India in order to sustain yield gains in the face of biotic and abiotic stresses. In this study, the authors attempt to identify the drivers for adoption of new varieties of paddy in India; the authors also estimate the impact on yield of the adoption of new paddy varieties.

Design/methodology/approach

Survey data consisted of the reported information from approximately 20,000 paddy farmers in India. The study employs Cragg's double-hurdle model to study the probability and intensity of adoption of new varieties; we use regression discontinuity design to estimate the change in yield due to adoption of new varieties.

Findings

The authors’ findings indicate that the adoption of new varieties of paddy in India varies significantly within and between regions; further, the adoption of new varieties is affected by a number of socioeconomic and demographic factors; the authors also find that the adoption of new varieties increases yield significantly.

Research limitations/implications

These are observational data and not based on the experiments. The authors relied on farmers' memory to recall the information.

Originality/value

The authors suggest the formulation of strategic policies that can cater to the needs of regions and states that are lagging behind in the adoption of new paddy varieties.

Details

Journal of Agribusiness in Developing and Emerging Economies, vol. 11 no. 3
Type: Research Article
ISSN: 2044-0839

Keywords

Article
Publication date: 7 December 2015

Tony Muhumuza

The purpose of this paper is to analyze the relationship between access to rural product markets and the extent and nature of child labor. It is built on the view that if physical…

Abstract

Purpose

The purpose of this paper is to analyze the relationship between access to rural product markets and the extent and nature of child labor. It is built on the view that if physical markets can shape rural development through, for instance, influencing prices, household production decisions, and employment, the associated activity growth could increase child labor.

Design/methodology/approach

Using the Uganda National Household Survey, the author combines two methodological approaches: first, a probit model to estimate the probability of a child engaging in labor, and second, a double-hurdle model to analyze the hours of child work.

Findings

The author finds that children increase time in domestic work when local product markets are distant, while their time in economic activity declines. A similar pattern is observed for the incidence of child labor. The likelihood of child labor in domestic activity increases for each extra hour of travel to the market, while child labor in economic activity declines. This could reflect the possibility that households may switch child work from market-oriented activities to domestic work when they are remotely located from markets. Results confirm findings from earlier cross-country studies that access to product markets may be detrimental to children. Second, they demonstrate that the effect of the markets varies, depending on the age of children, as well as the nature of the work they engage in.

Originality/value

No part of this work has been published anywhere before.

Details

African Journal of Economic and Management Studies, vol. 6 no. 4
Type: Research Article
ISSN: 2040-0705

Keywords

Article
Publication date: 18 March 2016

Xiaohuan Yan and XUEXI HUO

Economic reforms in rural China have led to the emergence of land and labor markets. The development of rural land rental markets can improve agricultural productivity and equity…

Abstract

Purpose

Economic reforms in rural China have led to the emergence of land and labor markets. The development of rural land rental markets can improve agricultural productivity and equity by facilitating transfers of land to more productive farmers and facilitating the participation in the non-farm economy of less productive farmers. In contrast to the burgeoning development of off-farm labor markets, the development of rural land rental market has lagged. The purpose of this study is to analyze the factors affecting households’ entry and transaction intensity in rural land rental markets, especially the effects of land tenure and off-farm employment.

Design/methodology/approach

Based on a field survey data of 479 household in Henan Province in 2009, the authors used Cragg’s double hurdle model to identify the determinants for households’ land rental participation and its transaction amount.

Findings

Off-farm employment is one of main driving factor for household’s land rent-out decision. Tenure insecurity reduces both the propensity and the magnitude of rental market transactions. Land use certificates significantly contribute to participation in land-rental markets and the rental amount.

Originality/value

This paper treats household land rental market participation as a related two-step process, focusing on both land transfer and its transaction amount. This paper also builds on a broad view, including analysis on both demand and supply side of land rental market.

Details

China Agricultural Economic Review, vol. 8 no. 2
Type: Research Article
ISSN: 1756-137X

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