Small – scale industries and poverty reduction in rural Ghana: A study of the basket weaving industry in the Bolgatanga Municipality

Abstract

The study assessed the contribution of the basket weaving industry to poverty reduction in the Bolgatanga Municipality. The study covered 206 weavers, five leather workers, five straw sellers, two dye sellers, two exporting companies and three institutions that support the basket weaving industry. The study used accidental and purposive sampling methods and employed the exploratory research design. The main research instruments used for the data collection were interview schedule, interview guide and focus group discussion guide, while the SPSS was used for the data analysis. The study revealed income as the main motivation for weaving. The long standing problem of inadequate credit due to high interest rates and stringent collateral requirements involved in accessing bank loans as well as the low performance of promotional institutions affected the development of the industry in the municipality. The study recommended; the coming together of all stakeholders in the industry to determine a common price for the baskets so as to enhance the income of the weavers; the formation of weavers’ groups to access micro credits to purchase raw materials to ensure continuous production of the baskets as well as the extension of the services of the promotional institutions to cover the weavers in their strides to reduce poverty.