Effects of land tenure systems on resource-use productivity and efficiency in Ghana’s rice industry

This study examines the effects of land tenure systems on resource-use productivity and efficiency in the Upper East region of Ghana with data drawn from the Ghana Agricultural Production Survey. A stochastic frontier model is employed to analyse resource-use productivity and efficiency of the rice farms. The study establishes that rice farms under the various land tenure systems are technically inefficient. Technical efficiency for the pooled sample was 61.80%. The estimated technical efficiencies for the farms under owned, rented and sharecropping were 68.19%, 61.61% and 45.17% respectively. The rice production frontier is influenced by farm size, fertiliser, seed and labour. Furthermore, owned land and fixed rent reduce the inefficiency of rice production. Other factors, such as dibbling and credit access, increase inefficiency, while marital status, extension contact and broadcasting decrease inefficiency in rice production. The study suggests that the formulation of appropriate land policies should gear towards ensuring secure rights to farmlands.