Does adoption of cocoa hand pollination (CHP) improve welfare of farmers? Evidence from smallholder cocoa farmers in Ghana

Abstract

This paper evaluates the impact of the adoption of cocoa hand pollination (CHP) on the welfare of smallholder cocoa producers. Using data collected from 1200 cocoa farmers in Huni Valley and Kejebril districts of Ghana, we employed endogenous switching regression, propensity score matching and inverse probability weighted adjustment techniques to assess the impact. The two-step Cragg was used to examine the determinants of the decision and intensity of adoption. The results showed that education, marriage and farm size positively influenced both the decision and intensity of adoption of the CHP technique. The result further showed that the cost of labour for implementing the technology, age, education, family head, economic active members, age of the cocoa tree, off-farm work, credit access and farm size significantly determined the impact of adoption on smallholder cocoa producers’ welfare. Additionally, there is a positive impact of CHP adoption on productivity, income and food insecurity. Careful consideration should be given to these factors including collaborations between government and stakeholders in the cocoa industry through the regular sensitization and trainings for farmers on improved technologies as the CHP to increase productivity, household income and reduce food insecurity of smallholder cocoa farmers.

Keywords

• adoption
• propensity score matching
• hand pollination
• endogenous switching regression
• welfare