Response of rice yields in Ghana: some prescriptions for future rice policy

Boansi, David (2013): Response of rice yields in Ghana: some prescriptions for future rice policy.

Abstract

With local rice production lagging well behind demand as a result of low productivity of farmers’ fields, this study analyzed the response of rice yields in Ghana to major internal and external factors which have direct and indirect effects on production and to producers. Yield of rice was found to increase with producer price of rice, irrigated area, labor availability and world price of rice to producer price of rice ratio. It however decreases with increases in harvested area and price of urea fertilizer due to fertility issues, producer price of maize due to influences from resource allocation, and with nominal rate of assistance due to secondary distortions on input prices. To increase and sustain rice yields, future rice policy measures should couple area expansion with vital intensification measures to help mitigate the adverse impact from sole expansion of area and should as well ensure appropriate transmission of prices with least distortion. Investment should be made towards the initiation and diffusion of low cost water control and irrigation systems across the country and vital measures be devised to reduce labor shortages. In improving the fertility of farmers’ fields, the current fertilizer subsidy structure should be improved upon and measures put in place to improve farmers access to credit as this is a vital issue that needs addressing to ensure appropriate response of farmers to future price and non-price incentives

• Item Type: MPRA Paper
• Language: English
• Keywords: Yield response, rice planning, productivity, Ghana
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture > Q11 - Aggregate Supply and Demand Analysis ; Prices; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture > Q18 - Agricultural Policy ; Food Policy

References

Aker, J.C., Block, S., Ramachandran, V. and Timmer, P.C. (2011). West African Experience with the World Rice Crisis, 2007-2008. CGD Working Paper 242. Washington, D.C.: Center for Global Development. http://www.cgdev.org/content/publications/detail/1424823

Bingxin, Y. and Shenggen, F. (2009). Rice production response in Cambodia. Contributed Paper prepared for presentation at the International Association of Agricultural Economists Conference, Beijing, China, August 16-22, 2009

Cummings, J. (1975). The Supply Responsiveness of Indian Farmers in the Post-Independence Period: Major Cereal and Cash Crops: Indian J. Agricultural Economics, 30(1):25-40

Dawe, D., (2004). “Changing Structure, Conduct and Performance of the world Rice Market.” Proceedings of FAO Rice Conference, Rome, Italy. 12-13 February, 2004

Defoer, T., Wopereis, M.C.S., Jones, M.P., Lanҫon, F., Erenstein, O. And Guei, R.G. (2004). Challenges and Technical Opportunities for Rice-based production systems for food security and poverty alleviation in Sub-Saharan Africa. Proceedings of FAO Rice Conference, Rome, Italy, 12-13 February, 2004

Dercon, S. (1993). Peasant Supply Response and Macroeconomic Policies: Cotton in Tanzania. J. African Economies, 2(2):157-194

FAO (2006). Briefs on Import Surges –Countries. No. 5, Ghana: rice, poultry and tomato paste. November 2006. Commodities and Trade Division, Food and Agriculture Organization of the United Nations, Rome, Italy. ftp://ftp.fao.org/docrep/fao/009/ah628e/ah628e00.pdf

Fintrac Inc. (2012). The market for maize, rice, soy, and warehousing in Northern Ghana. Enabling Agriculture Trade (EAT) Project. USAID. http://www.fintrac.com/cpanelx_pu/EAT/14_39_5614_EAT_Assessment_Ghana_fin_09Feb12.pdf

Holt, M. (1999). A Linear Approximate Acreage Allocation Model. J. Agricultural and Resource Economics, 24(2): 383-397

International Rice Research Institute, IRRI. World Rice Statistics: http://ricestat.irri.org:8080/wrs/

Licker, R., Johnston, M., Barford C., Foley, J.A., Kucharik, C.J., Monfreda, C. and Ramankutty, N. (2010). Mind the Gap: How do climate and agricultural management explain the “yield gap” of croplands around the world? A Journal of Macroecology. Global Ecology and Biogeography (Global Ecol. Biogeogra.) 2010. Blackwell Publishing Ltd. DOI:10.1111/j.1466-8238.2010.00563.x

Ministry of Food and Agriculture, MoFA (2009): National Rice Development Strategy (NRDS) (DRAFT). February 2009. Accra, Ghana. http://www.jica.go.jp/english/our_work/thematic_issues/agricultural/pdf/ghana_en.pdf

Molua, E.L. (2010). Response of rice yields in Cameroon: Some implications for Agricultural Price Policy. Libyan Agriculture Research Center Journal Internation 1 (3): 182-194, 2010. ISSN 2219-4304. © IDOSI Publications, 2010

Molua, E.L. (2008). Turning up the Heat on African Agriculture: Economic Impact of Climate Change on Agriculture in Cameroon. African J. Agricultural and Resource Economics, 2(1):45-64

Mythili, G. (2008). ‘Acreage and yield response for major crops in the pre- and post -reform periods in India: A dynamic panel data approach’. Report prepared for IGIDR-ERS/USDA project: Agricultural markets and policy, Indira Gandhi Institute of Development Research, Mumbai

Olaf, K. and Emmanuel, D. (2009). Global Food Security Response: Ghana Rice Study. Attachment I to the Global Food Security Response West African Rice Value Chain Analysis. microREPORT#156, USAID

Sachchamarga, K. and Williams, G.W. (2004). Economic factors affecting rice production in Thailand. Texas Agribusiness Market Research Center (TAMRC) International Research Report No. IM-03-04. March 2004

Zeigler, R.S. (undated). Advancing Cutting-Edge science to boost rice production, increase farmers’ incomes, and conserve the environment. International Rice Research Institute. https://www.cgiarfund.org/sites/cgiarfund.org/files/Images/bbl_march15_2012_RZEIGLER.pdf