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Interlinkage In The Rice Market Of Ghana: Money-Lending Millers Enhance Efficiency

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  • Furuya, Jun
  • Sakurai, Takeshi

Abstract

Most of the large-scale millers in Ghana provide a loan to the farmers under the agreement that the farmers will bring their paddy to them. This paper examines the effect of this interlinkage on the efficiency of rice milling. A quadratic cost function was estimated, and capacity utilization was calculated in relation to money lending. The results show that if the millers provide a loan to the farmers, the operating rate will increase by 24%.

Suggested Citation

  • Furuya, Jun & Sakurai, Takeshi, 2003. "Interlinkage In The Rice Market Of Ghana: Money-Lending Millers Enhance Efficiency," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25871, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae03:25871
    DOI: 10.22004/ag.econ.25871
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    References listed on IDEAS

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    1. Crow, Ben & Murshid, K. A. S., 1994. "Economic returns to social power: Merchants' finance and interlinkage in the grain markets of Bangladesh," World Development, Elsevier, vol. 22(7), pages 1011-1030, July.
    2. Carter, Michael R., 1989. "The impact of credit on peasant productivity and differentiation in Nicaragua," Journal of Development Economics, Elsevier, vol. 31(1), pages 13-36, July.
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    Cited by:

    1. Nkonya, Ephraim & Pender, John L. & Kato, Edward, 2009. "Options for enhancing agricultural productivity in Nigeria:," NSSP working papers 11, International Food Policy Research Institute (IFPRI).
    2. Sylvaine Lemeilleur, 2014. "The role of input vouchers in modernizing the fresh fruit and vegetable market in Turkey," Agricultural Economics, International Association of Agricultural Economists, vol. 45(4), pages 477-487, July.
    3. Ghanem, Marwa Ghareeb & Shafei, Mahmoud A. & El-Rasoul, Ahmed Abou El-Yazid, 2017. "The economic efficiency analysis of some rice mills in Egypt by using DEA and SFA," MPRA Paper 98196, University Library of Munich, Germany.

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