Perceived Impact of Developmental Activities of Licensed Buying Companies on Performance of Cocoa Farmers in the Western Region of Ghana

Abstract

A descriptive survey approach was used to study the perceived impact of development activities of Licensed Buying Companies (LBCs) on performance of 499 cocoa farmers in the Juabeso and Aowin Suaman districts in the Western Region of Ghana in the post-privatisation era. Views were also sought from the LBCs, and COCOBOD. The use of adjusted scales by LBCs and poor impassable roads were mentioned as important constraints in both production and marketing of cocoa. LBCs provided various developmental activities, social facilities and services to the cocoa farming communities. Farmers' perception of LBCs developmental activities on their performance was high with respect to farm output but there was least improvement in their participation in LBC and community activities. Farmers also indicated that their involvement in planning, implementation, monitoring and evaluation of extension programmes were motivational factors for them. The important factors that most motivated farmers to sell to an LBC were mainly market related: bonus payment, prompt payment of sold beans, nearness of the LBC's shed in the village, the use of unadjusted scale and award of scholarship to their children. Recommendations are made for improving the performance of the cocoa industry at the farmers and policy levels. The importance to increase frequency of extension contacts, strengthen farmer groups. improve farmers participation in development programmes and the monitoring of LBCs marketing activities is highlighted.