EFFECTS OF PRODUCTION PARAMETERS ON RICE OUTPUT IN THE KETU NORTH DISTRICT OF THE VOLTA REGION, GHANA

Abstract

This article investigated the effects of production parameters on thecultivation of rice in the Ketu North District of

Ghana. Out of 1,024 farmers, 290 rice farmers were chosen to take part in the study using a two-stage sampling

procedure. A structured interview schedule was used to collect primary data from 285 respondents resulting in a

response rate of 93%. A translog stochastic frontier production function with a model for inefficiency effects was

employed in data analysis, using the Maximum Likelihood Method.Land area under cultivation, fertilizer input,

irrigation cost, and equipment were identified as the major input factors that significantly influenced yield of rice in

the Ketu North District. Also, results indicated 0.642 returns to scale; which implies that an aggregate increase in

inputs results in a less than proportionate increase in the yield of rice in the study area. This indicates a decreasing

returns to scale. The findings of this study would guide governments and civil society organisations to understand

where public investments can best be directed to boost rice production in Ghana. Increased rice output would raise

farmers’ income and improve their livelihood security. Also, increased output of rice will help reduce rice imports

to save foreign exchange and strengthen the local currency. Finally, the findings of this study would fill the gaps in

literature and contribute to knowledge.

Key words: irrigation scheme, return to scale, production, stochastic frontier analysis