John Kanburi Bidzakin, Simon C. Fialor, Dadson Awunyo-Vitor and Iddrisu Yahaya
Even though many studies identify positive effects of contract farming (CF) on the livelihood of farmers, the use of CF as a tool to increase farm performance is unsettled debate…
Abstract
Purpose
Even though many studies identify positive effects of contract farming (CF) on the livelihood of farmers, the use of CF as a tool to increase farm performance is unsettled debate. Information on CF is relatively not available in staple food chains. Theoretical considerations have shown that there are challenges in employing CF in staple food chains such as rice. With the increasing trend of rice CF in Ghana, it is very critical to establish its performance in rice production in Ghana. It is therefore imperative to analyse the impact of CF on the performance of smallholder rice farmers.
Design/methodology/approach
A survey was conducted where 350 rice farmers selected through a stratified sampling technique using structured questionnaires were interviewed. Descriptive and inferential statistics including stochastic frontier analyses and endogenous treatment effect regression were used to analyse the data.
Findings
The results from the endogenous treatment effect regression model show that CF improves rice farmers' technical, allocative and economic efficiencies by 21, 23 and 26%, respectively. Farm size and CF were identified as common factors influencing technical, allocative and economic efficiency measures of the farmers positively. It further identified age of farmer, educational level and household labour as factors influencing farmers' participation in CF positively.
Research limitations/implications
It is recommended that CF is a good tool to enhance rice production efficiency, and hence, farmers should be encouraged to participate in CF as strategy to enhance the local rice production in Ghana.
Social implications
The outcome of this study has the potential to influence rice production in the country. The country is a net importer of rice and just about 35% self-sufficient in rice production.
Originality/value
This study is the first to assess performance of CF in rice crop production in Ghana and also one of the few to use efficiency as a performance measure.
Details
Keywords
Kingsley Opoku Appiah, Dadson Awunyo-Vitor, Kwame Mireku and Christian Ahiagbah
This study aims to examine the association between five firm-specific characteristics and the level of compliance with International Financial Reporting Standards (IFRS) by…
Abstract
Purpose
This study aims to examine the association between five firm-specific characteristics and the level of compliance with International Financial Reporting Standards (IFRS) by companies listed on Ghana Stock Exchange. The five firm-specific characteristics are firm size, profitability, leverage, auditor type and firm age.
Design/methodology/approach
The study uses dataset from 31 listed Ghanaian firms from 2008 to 2012. Random effect is used to examine the influence of the predictive variables on the level of IFRS corporate compliance.
Findings
The result reveals a positive significant relationship between the level of compliance and firm size, auditor type, cross-listing and sector (information and communications technology (ICT) and agro-forestry). On the contrary, the level of compliance exhibits a negative significant association with leverage and firm age. It is observed that the level of compliance is not related to profitability. The results are robust to different model specifications.
Practical implications
This study identifies firm-specific characteristics that influence IFRS compliance by listed firms in Ghana. This would aid accounting policy makers to institute strategies to encourage compliance with IFRS by the listed firms.
Originality/value
The study contributes to financial reporting literature relating to developing economies and Ghana, in particular.
Details
Keywords
Camillus Abawiera Wongnaa, Alhassan Abudu, Awal Abdul-Rahaman, Joel Atta Ennin and Dadson Awunyo-Vitor
Outgrower scheme as a contractual agreement between farmers and some funding entities has in recent times found proliferation among resource poor farmers in Ghana, especially in…
Abstract
Purpose
Outgrower scheme as a contractual agreement between farmers and some funding entities has in recent times found proliferation among resource poor farmers in Ghana, especially in northern Ghana. This contractual arrangement, which involves the provision of farm inputs, and in some cases, technical support by the implementing company and the repayment by farmers with portions of their harvest, is often regarded as an effective way to mutually improve the outcomes of both smallholder farmers and outgrower companies. The study aims to analyse. the level of awareness, nature of input package, determinants of participation and intensity of participation in input credit scheme by smallholder rice farmers in the Mamprugu Moagduri District of Ghana’s North East Region, using the Integrated Water Management and Agriculture Development (IWAD) scheme as a case.
Design/methodology/approach
Using a quantitative analytical approach, the study gathers information from 233 randomly selected smallholder rice farmers consisting of 150 participants and 83 non-participants using a structured questionnaire. Descriptive statistics, as well as the Tobit model, are the methods used in the analysis.
Findings
The results show that while factors such as age, marital status, number of dependents and farming experience only influenced participation in the scheme, religion, age, sex, number of dependents and farming experience influenced intensity of participation.
Originality/value
This study calls for the adoption of sustainable approaches by input credit companies in their credit support to smallholder farmers rather than the current ad hoc support during each cropping season.
Details
Keywords
Camillus Abawiera Wongnaa, Peter Addai, Prince Quainoo, Kwasi Ohene-Yankyera, Kwame Enoch Tham-Agyekum and Dadson Awunyo-Vitor
This study examined the factors influencing oil palm farmers’ decisions to engage in contract farming as well as their extent of participation.
Abstract
Purpose
This study examined the factors influencing oil palm farmers’ decisions to engage in contract farming as well as their extent of participation.
Design/methodology/approach
The study used cross-sectional data collected from 210 oil palm producers in the western region of Ghana. Descriptive statistics and Cragg’s double hurdle model were the methods of analysis.
Findings
The results showed that household size, membership of farmer association, farm size, market knowledge and loan availability significantly positively influence farmers’ decisions to engage in contract farming. Also, while membership in farmer associations and market knowledge exerted significant positive influences on the extent to which farmers participated in contract farming, extension contacts and distance to the farm exerted significant negative influences on the extent of farmers’ participation.
Practical implications
The government, in collaboration with other interested parties, should educate and encourage farmers on the benefits of participating in contract farming arrangements with reputable and well-known institutions that have taken steps to make their services available to farmers.
Social implications
The study recommends that the government and other contracting firms, like the Golden Star Oil Palm Plantation, should make farm credit a key aspect of their packages, as this will be more attractive to the smallholders.
Originality/value
The study adds to existing literature by providing contracting companies with helpful information on factors influencing oil palm farmers’ decisions to engage in contract farming.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-03-2024-0284
Details
Keywords
Patrick Owiredu, Camillus Abawiera Wongnaa, Patricia Pinamang Acheampong, Monica Addison, Kwaku Agyei Adu and Dadson Awunyo-Vitor
Various models and approaches are implemented to provide technical assistance and support to improve cocoa farmers' welfare in Ghana. The Farmer Business School (FBS), which is…
Abstract
Purpose
Various models and approaches are implemented to provide technical assistance and support to improve cocoa farmers' welfare in Ghana. The Farmer Business School (FBS), which is analogous to Farmer Field School (FFS), is one of the few initiatives of GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit) and Ghana Cocoa Board (COCOBOD). The main aim of the initiative is to train smallholder cocoa farmers to perceive cocoa production as a business. However, there is limited or conflicting evidence as to the effect of FBS on productivity and food security, especially in Ghana. This study assessed FBS participation and the participation's impact on productivity and food security of cocoa farmers.
Design/methodology/approach
The study used primary data collected from 542 cocoa farmers in Central and Western North regions of Ghana and employed descriptive statistics, perception index and Endogenous Switching Regression (ESR) as analytical tools.
Findings
The results, which reported an overall perception index of 0.7, indicated that the farmers had a strong positive perception on the FBS program. The results also showed that sex of a farmer, number of years of formal education, farm size, extension contact, perception, distance to extension outlet and membership of farmer-based organizations (FBOs) significantly influenced the decision to participate in FBS program. Also off-farm income, years of education and household size significantly influenced farm productivity and household food security. The results further showed that participation in FBS improved productivity and food security of cocoa farmers.
Research limitations/implications
The study used data from two regions of Ghana, namely the Central region and the Western North region. Findings from studies using data covering all cocoa growing areas of Ghana could be more informative in formulating policies aimed at encouraging participation in FBS and consequently help improve cocoa productivity and food security.
Originality/value
This article offers insights into the welfare effects of FBS on cocoa farmers as previous similar studies are without this information.
Details
Keywords
Camillus Abawiera Wongnaa, Michael Nyarko, Monica Addison and Dadson Awunyo-Vitor
A key strategy in the policy of saw millers and artisanal millers supplying the domestic market with legal and sustainable lumber is the transformation of chainsaw operators into…
Abstract
Purpose
A key strategy in the policy of saw millers and artisanal millers supplying the domestic market with legal and sustainable lumber is the transformation of chainsaw operators into legal artisanal millers to stop the production of illegal timber and supply only authorized wood to local trade points. The challenge, however, is how to develop the concept of its viability and acceptability to the chainsaw operators. Specifically, existing and potential investors’ knowledge about the possible costs and revenue is non-existent. This study aims to examine the financial and economic viability of the artisanal timber milling (ATM) business in rural Ghana.
Design/methodology/approach
Using data from three operational artisanal milling companies in Ghana, net present value, internal rate of return, profitability index and payback period were used in analyzing the viability of artisanal timber milling.
Findings
The results showed that the ATM business is financially and economically viable, attractive and profitable.
Social implications
ATM business has the potential to create more jobs in the timber industry, reduce illegalities in the forestry sector and improve the living standard of individuals used by the sector.
Originality/value
As part of ATM’s medium and long-term strategies, the study encourages stakeholders to consider assisting existing and potential actors who have the passion to venture into this business to acquire concessions and financial support from financial institutions.
Details
Keywords
John Kwaku Amoh, Dadson Awunyo-Vitor and Kenneth Ofori-Boateng
This study aims to assess customers’ awareness and level of knowledge on electronic banking fraud.
Abstract
Purpose
This study aims to assess customers’ awareness and level of knowledge on electronic banking fraud.
Design/methodology/approach
A well-structured interviewer-assisted questionnaire was used to collect data from 400 clients of a case study bank. Data were analysed using descriptive statistics. Kendall’s coefficient of concordance (W) statistic was also estimated to track and rank the fraudulent activities identified by the respondents with respect to electronic banking.
Findings
This study found that respondents were aware of most of the specific forms of electronic banking fraud. Firstly, automated teller machinfraud is the most common scam for which customers are aware of. Secondly, institutional factors such as lack of monitoring and education of clients are major factors which expose the bank and clients to fraudulent electronic banking acts. Thirdly, the most effective action that can be taken to prevent fraud in the bank is increased security and personal identification number (PIN) protection education.
Research limitations/implications
This study focusses on a universal bank and uses data from customers of only one branch of the bank to achieve the research objectives.
Originality/value
One uniqueness of this paper is in the adoption of Kendall’s coefficient of concordance (W) statistic to track and rank fraudulent banking activities. The findings will allow financial institutions to know the forms of current and innovative electronic banking fraudulent activities that customers are aware of. It will also enable the banks to find ways to inform their clients about emerging electronic banking fraudulent activities to prevent them from falling victims.
Details
Keywords
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
Keywords
Dadson Awunyo-Vitor, Ramatu Mahama Al-Hassan, Daniel Bruce Sarpong and Irene Egyir
– The purpose of this paper is to investigate the determinants of agricultural credit rationing by formal lenders in Ghana.
Abstract
Purpose
The purpose of this paper is to investigate the determinants of agricultural credit rationing by formal lenders in Ghana.
Design/methodology/approach
This study employed descriptive statistics, analysis of variance (ANOVA) and Heckman's two-stage regression model to identify types of rationing faced by farmers and investigate factors that influence agricultural credit rationing by formal financial institutions. Data used in this study are gathered through a survey of 595 farmers in seven districts within Brong Ahafo Region of Ghana.
Findings
The result reveals that farmers face three types of rationing. Evidence from the Heckman two-stage models shows that engagement in off farm income generating activities, increase in farm size, positive balances on accounts and commercial orientation of the farmers has the potential to reduce rationing of credit applicants by formal lenders.
Practical implications
The results provide information on the factors that need to be considered as important in an attempt to reduce agricultural credit rationing by formal lenders.
Originality/value
The value of this study is that farmers would use the results of this study to improve access to required amount of agricultural credit from formal financial institutions. The information would also benefit stakeholders in the agricultural sector, particularly youth in agriculture program organized by Ministry of Food and Agriculture in Ghana as how to improve access to credit and reduce rationing of program participants by formal financial institutions.
Details
Keywords
Muhammad Usman Arshad, Fahad Najeeb Khan, Muhammad Ishfaq, Muhammad Nadir Shabbir and Syed Mehmood Raza Shah
This study aims to explore the firm's specific, opacity and economy-specific variables to explain the variation in South Asian market returns and indicate that how the difference…
Abstract
Purpose
This study aims to explore the firm's specific, opacity and economy-specific variables to explain the variation in South Asian market returns and indicate that how the difference in adoption of accounting standards refers to the effect of the movement in stock returns.
Design/methodology/approach
Following the scope of the study, factor analysis, fixed effect, Driscoll and Kraay standard errors (DKSE) and Panel Corrected standard error (PCSE) models have been inducted to determine the influence of firm-specific, opacity and economy-specific variables on stock returns. The sample of study comprises 1,885 firms from five countries located in the South Asia region with the period 2005–2018. To ensure the reliability of data, firm-specific data have been collected from DataStream International, while an international country risk guide was used to compile the data for economy-specific variables.
Findings
This study concluded that firm-specific variables showed a consistent and significant association with stock return except for beta, accrual and momentum while earning aggressiveness was the only factor in opacity measure to capture the variation in stock return. The implementation of international accounting standards seemed to be significant and proves to be helpful to enhance the quality of accounting information.
Research limitations/implications
The limitations of this study comprised the estimation error by avoiding the firm's observations with negative equity in case of earning opacity and majority (more than 50%) of the observation belongs to a single market as India out of final sample which leads to having biasedness in findings.
Practical implications
This study helps the investors to consider the firms with smaller market capitalization and lower book to market ratio and avoid the momentum strategy under firm specific factors. Moreover, earning aggressiveness under opacity domain capture the variation in stock return and must be considered while investing funds.
Originality/value
The influence of adoption of international accounting standards along with firm and economy specific variable in South Asian Equity Markets return was the major contribution. Moreover, the inclusion of DKSE and PCSE models to examine the relevance of the financial and economic informational environment was also considered as a part of major contribution of this study.