Determinants of rice farmer participation in the direct marketing channel in Ghana
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Date
2021-05-01
Open Access Location
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
MDPI (Basel, Switzerland)
Rights
(c) 2021 The Author/s
CC BY 4.0
CC BY 4.0
Abstract
Enhancing smallholder farmers’ access to reliable, ready, and direct marketing channels is a prerequisite for sustainable food supply and poverty reduction in the developing countries including Ghana. However, it is a great challenge for smallholder farmers to access direct marketing channels in Ghana. This paper analyzes the factors that influence smallholder rice farmers’ participation, and the intensity of participation, in direct marketing channels using primary data from 199 farmers in three rice-growing districts in the Northern Region of Ghana. A double hurdle model was used in the empirical analysis. The study findings show that a lower percentage of farmers sold their rice output to processors (direct marketing). Farm size, the price of rice output per 85 kg bag, access to market information, and access to credit increased farmers’ participation in direct marketing channels, whereas payment period and ownership of a bicycle reduced their participation. The study concludes that improving farmers’ access to market information and credit availability would enhance participation in direct marketing channels.
Description
Keywords
rice marketing, rice farmers, Ghana, double hurdle model, transaction cost theory, random maximization theory
Citation
Donkor EA, Garnevska E, Siddique MI, Donkor E. (2021). Determinants of rice farmer participation in the direct marketing channel in Ghana. Sustainability (Switzerland). 13. 9.