Production, Productivity and Market Participation of Smallholder Cowpea Producers in the Northern Region of Ghana

Abstract

This thesis analysed the production, productivity and market participation of smallholder cowpea producers in the Northern Region of Ghana. It estimated the factors influencing cowpea production participation, productivity and market participation decisions. A multi-stage random sampling was employed in selecting four major cowpea producing districts and communities. Purposive and random sampling techniques were employed to select a sample of 300 respondents comprising of 240 cowpea producers and 60 non-producers from three communities in each district. A semi-structured questionnaire guided the interviews. The Triple Hurdle Model (THM) functionally comprising of first hurdle Probit, second hurdle Probit and third hurdle Truncated normal regressions, was used to estimate the factors that influence cowpea production participation and market participation decisions. The Instrumental Variable (IV) regression model was employed to estimate the effect of intensity of market participation on productivity while controlling for endogeneity. The results revealed that the major determinants of cowpea production and market participation decisions, which are similar include gender, education, distance to nearest market, own means of transportation, access to market information, proximity good road network, labour, tractor services, value of livestock owned, access to improved cowpea seed, and extension services. Determinants of cowpea land productivity are the proportion of harvest sold, educational level of farmer, farm size, value of livestock, use of improved seed, access to credit and selling price of cowpea. Two key recommendations emerge for local government: provision of market spaces and good road infrastructure in order to reduce transaction costs and maintaining the free compulsory basic education policy. For research institutions and the private sector, development of more improved cowpea seed; investing in tractor hiring services and sale of improved cowpea seed, will boost cowpea productivity and market participation in the Northern Region of Ghana.