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Participation in UTZ-RA voluntary cocoa certification scheme and its impact on smallholder welfare: Evidence from Ghana

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  • Iddrisu, Mubarak
  • Aidoo, Robert
  • Abawiera Wongnaa, Camillus

Abstract

The study analyzed the determinants and extent of participation in UTZ-RA cocoa certification program as well as its impacts on smallholder farmers' welfare. Using cross-sectional data collected from 296 cocoa farmers in Ghana and employing the Cragg double hurdle model to analyse participation, the study also controls for sample selection bias using propensity score matching technique. The results revealed that household size, years of formal education, non-farm income, sex of respondent, quantity of man-hours of labour used in cocoa production as well as dependency ratio influenced participation. The findings also reveal that the UTZ-RA cocoa certification program increased yield and household income. It however had a negative impact on the food security status of cocoa farming households. Data from this paper has demonstrated that increased productivity and income from certification of commodities might not necessarily lead to enhanced food security status of enrolled farmers. The study recommends that, the Rainforest Alliance scheme should consider food security indicators in the next revised edition of their code of conduct which has since been finalized for implementation. Employment of different food security measurement tools in the revised codes is highly recommended. This will provide a better understanding of the synergies and trade-offs that exist or are likely to exist between cash crop production and food security.

Suggested Citation

  • Iddrisu, Mubarak & Aidoo, Robert & Abawiera Wongnaa, Camillus, 2020. "Participation in UTZ-RA voluntary cocoa certification scheme and its impact on smallholder welfare: Evidence from Ghana," World Development Perspectives, Elsevier, vol. 20(C).
    • Handle: RePEc:eee:wodepe:v:20:y:2020:i:c:s2452292920300643
    DOI: 10.1016/j.wdp.2020.100244
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    Cited by:

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    2. Krumbiegel, Katharina & Tillie, Pascal, 2024. "Sustainable practices in cocoa production. The role of certification schemes and farmer cooperatives," Ecological Economics, Elsevier, vol. 222(C).
    3. Wongnaa, Camillus Abawiera & Kyei, Afrane Baffour & Apike, Isaac Akurugu & Awunyo-Vitor, Dadson & Dziwornu, Raymond K., 2021. "Perception and Adoption of Artificial Pollination Technology in Cocoa Production: Evidence from Ghana," 2021 Conference, August 17-31, 2021, Virtual 314939, International Association of Agricultural Economists.
    4. Solomon Yaw Agyeman-Boaten & Abel Fumey, 2021. "Effects of cocoa swollen shoot virus disease (CSSVD) on the welfare of cocoa farmers in Ghana: evidence from Chorichori community of the Sefwi Akontombra district," SN Business & Economics, Springer, vol. 1(11), pages 1-31, November.
    5. Ollendorf, Franziska & Sieber, Stefan & Löhr, Katharina, 2023. "Societal dynamics of sustainability certification in Ghanaian cocoa producing communities: Assessing social cohesion effects and their implications for collective action," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 47(2), pages 212-238.
    6. Yuxuan Xu & Jie Lyu & Ying Xue & Hongbin Liu, 2022. "Does the Agricultural Productive Service Embedded Affect Farmers’ Family Economic Welfare Enhancement? An Empirical Analysis in Black Soil Region in China," Agriculture, MDPI, vol. 12(11), pages 1-22, November.

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