Farmers’ Willingness to Pay for Private Irrigation Supply in Nandom District, Ghana

Kamaldeen Yussif ,Francis Obeng ,Isaac Gershon Kodwo Ansah

doi:10.4314/gjds.v14i1.3

Abstract

This study investigated farmers willingness to pay (WTP) for private irrigation in Nandom district, Ghana. The study randomly sampled 236 farmers and analyzed data using descriptive statistics and ordered logit regression model. Results revealed that 94.5 percent of the farmers were WTP for private irrigation services with a mean of 35.83 cedis. Farmers’ WTP is determined by income, age, farm size, engagement in an off-farm occupation, labour hours invested in farm operation, yield losses experienced from drought, anticipated yield gain from the use of irrigation, engagement in dry season gardening and access to extension services. It was concluded that the establishment of private irrigation schemes is a feasible venture and should be considered as a policy option for improved supply of agricultural water. To sustain farmers’ WTP for private irrigation service, the creation of off-farm ventures is recommended as it serves as alternative income sources to finance farm operations. Keywords : Farmers’ Willingness to Pay, Private Irrigation, Ordered Logit Regression, Nandom

Highlights

Rain-fed agriculture is the main economic activity on which 80 percent of the district’s economy is dependent (NDA, 2014)
The study has demonstrated that farmers are willing to pay for private irrigation services, especially those who are already engaged in dry season farming
With a mean willingness to pay (WTP) of GH¢35.60 per acre seasonally, the potential for private investors to set up private irrigation supply or for government to take advantage of public-private partnerships is bright

Summary

Introduction

Rain-fed agriculture is the main economic activity on which 80 percent of the district’s economy is dependent (NDA, 2014). Presents a serious threat to crop production in the northern Ghana. Farmers in some districts of the north are saddled with in low crop output, low and unstable household income, worsened food insecurity and migration of their household members Farmers’ Willingness to Pay for Private Irrigation Supply in Nandom District, Ghana. To address this production challenge and to enhance the livelihoods of farmers in the dryer northern Ghana, agricultural planners have in the past developed state-sponsored irrigation facilities in the drier parts of Ghana to provide water for all year round farming. The development has created employment opportunities for farmers whiles stabilizing food prices, ensuring food security and poverty reduction

Methods

Results

Conclusion