Economic value of non-market ecosystem services derived from trees on cocoa farms

Abstract

Tree-based conservation agriculture is becoming critical for reducing vulnerability of agricultural production systems from climate risks while enhancing forest-agriculture landscapes. On-farm tree integration is being promoted to restore degraded forest in cocoa landscapes. This study assessed farmers' knowledge and attitude towards non-market ecosystem services provided by trees on cocoa farms. Contingent valuation method was used to estimate economic value of these services to farmers. Data from 340 cocoa farmers from 10 cocoa-farming communities in the Western and Western North Regions of Ghana were analyzed. The results show farmers are familiar with non-market ecosystem services provided by on-farm trees. About 83% of respondents had either retained naturally occurring trees or intentionally planted trees on their farms. Cocoa farmers were willing to pay for tree integration on farms to enhance a bundle of essential regulating and supporting non-market ecosystem services such as providing habitat for pollinating insects and nutrient cycling. The estimated economic values for a bundled non-market ecosystem services provided by integrated trees on cocoa farms was GH₵837.59 (USD 164.00) per farmer per hectare per year. This amount is approximately 8.2% of the mean annual household income of respondent and equivalent to approximately 128 kg (2 bags) of marketable cocoa beans. Family size, age, value motivations and favourable attitude towards forest in general statistically predicted willingness to pay. Cocoa farmers hold substantial economic value for non-market ecosystem services provided by trees on cocoa farms and are likely to support on-farm tree integration initiatives that provide these essential non-market ecosystem services for enhanced cocoa productivity.

Keywords

• Economic values
• Tree integration
• On-farm trees
• Cocoa farms
• Non-market ecosystem services
• Ghana