| Literature DB >> 27441260 |
Owusu Amponsah1, Håkan Vigre2, Imoro Braimah1, Torben Wilde Schou3, Robert Clement Abaidoo4.
Abstract
The acute waste management problems, coupled with the proliferation of small scale industries in many developing countries, make low quality water treatment before use inevitable in the long run. These industries have the potential to discharge effluent containing chemicals and heavy metals into the environment. The indiscriminative use of pharmaceutical products by households in many of these countries is another source of health concern. Low quality water treatment in these countries has however been hampered by the high cost of infrastructure provision and maintenance. Cost-sharing among stakeholders appears to be a promising strategy to finance and maintain the wastewater treatment infrastructure. In this study therefore, the willingness and ability of urban open space commercial vegetable farmers to pay for reclaimed water for irrigation purposes has been assessed. One hundred open space commercial vegetable farmers and four vegetable farmers' associations were selected and interviewed in Kumasi in Ghana using semi-structured interview schedules and interview guides respectively. The results of the study show that approximately three out of every five vegetable farmers were willing to pay for reclaimed water for irrigation. The results further show that the probability of being willing to pay by farmers who agreed that the current water they used for irrigation was harmful is approximately 5.3 times greater than that of those who did not. The analysis of the farmers' ability to pay revealed that all the farmers would be capable of paying for reclaimed water at a price of US$0.11/m(3). This has implications for land tenure security and vegetable consumers' willingness to pay higher prices for the produce.Entities:
Keywords: Agricultural economics; Agriculture; Development
Year: 2016 PMID: 27441260 PMCID: PMC4946009 DOI: 10.1016/j.heliyon.2016.e00078
Source DB: PubMed Journal: Heliyon ISSN: 2405-8440
Fig. 1Map of Kumasi Metropolitan Area showing major towns.
Fig. 2Total rainfall and rain days between 1961 and 2012.
Location of sampled vegetable farmers according to the major vegetable producing sites in Kumasi.
| Location | Population | Sample size |
|---|---|---|
| Gyinyase: | ||
| Farmwell Organic Vegetable farmers | 12 | 5 |
| Karikari farms: Progressive Vegetable Growers’ Association | 20 | 8 |
| Peace and Love Vegetable Growers’ Association | 15 | 6 |
| Ayeduase New site | 34 | 14 |
| Emena: | ||
| Hospital | 14 | 6 |
| Township | 17 | 7 |
| KNUST: | ||
| College of Engineering: Frafra Vegetable Farmers’ Association | 18 | >7 |
| Business School | 15 | 6 |
| Hall Six and Gaza | 35 | 14 |
| Ayigya-Tech-Kentinkrono | 7 | 2 |
| University of Education, Kumasi Campus | 20 | 8 |
| Apemso | 29 | 12 |
| Presbyterian Girls Senior School | 6 | 2 |
| Sir Max – Ahodwo | 3 | 1 |
| Ayigya (affordable housing) | 4 | 2 |
| Total | 249 | 100 |
Description of the explanatory variables used for the explanation of the urban open space commercial vegetable farmers’ willingness to pay for reclaimed water.
| S No. | Variables | Acronym | Description of the variable | Type of variable |
|---|---|---|---|---|
| 1. | Age of the farmers (years) | Age | This refers to the life years of a farmer after birth (in years). It was hypothesised that a farmer's age does not significantly explain his/her willingness to pay for reclaimed water. This was rejected at p ≤ 0.05. | Continuous |
| 2. | Number of persons per household | Household size | This refers to the number of people constituting a farmer's household. A household has been defined as the number of people who share the same housekeeping arrangements. It was hypothesised that the size of a farmers' household does not significantly explain his/her willingness to pay for reclaimed water. This was rejected at p ≤ 0.05. | Continuous |
| 3. | Television watching habit (in hours per day) | TV Habit | TV habit refers to the number of hours a farmer devoted to watching television programmes in a day. Given that risks reduction measures could be aired on Ghanaian airwaves, it has been hypothesised that TV watching significantly explains farmers' willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 4. | Radio listening (in hours per day) | Radio Habit | This refers to the number of hours a farmer spent listening to radio programmes in a day. It was hypothesised that farmers' radio listening habit significantly explains their willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 5. | Newspaper reading habit (in hours per day) | Newspaper Habit | Newspaper habit refers to the number of hours a farmer devoted to reading newspapers in a day. It was hypothesised that farmers’ newspaper reading habit significantly explains their willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 6. | Number of years of farming (years) | Experience | Experience refers to the number of years a farmer has been engaged in vegetable production in the city or elsewhere. Farmers who have been engaged in farming for more years may be willing to pay to sustain their economic activity. It was hypothesised therefore that 'experience' significantly explains the farmers willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 7. | Net revenue per capita (US$) | Per capita revenue | Per capita revenue has been used as a measure of the wealth derived from vegetable farming. It was hypothesised that per capita revenue is a significant factor which explains the farmers' willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 8. | Annual net-revenue | Net revenue | The net revenue is the difference between the annual gross revenue and expenditure for each farmer. It was hypothesised that a farmer's net revenue significantly explains his/her willingness to pay for reclaimed water for irrigation. This was accepted at p ≤ 0.05. | Continuous |
| 9. | Farm size determined by the number of beds (number) | Beds | The number of beds a farmer owned was used as a proxy to estimate his/her farm size. It was hypothesised that the farm size is a significant factor which explains farmers' willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Continuous |
| 10. | Sex of the farmers | Sex | Sex refers to the biological make (either male or female) of a vegetable farmer. It was hypothesised that farmer's sex is not a factor which explains their willingness to pay for reclaimed water. This was rejected at p ≤ 0.05. | Categorical (dichotomous) |
| 11. | Highest educational attainment | Education | This was defined as the highest level of formal education a farmer attained prior to starting the economic activity. It was anticipated that farmers who have higher educational attainments would be know the health benefits of using reclaimed water instead of untreated low quality water. It was therefore hypothesised that formal educational level is a significant factors which explains farmers' willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Categorical (ordinal) |
| 12. | Perception about the quality of water used for irrigation | Perception | This refers to farmers who agreed that the water used for irrigation is harmful to the health of the farmers and consumers. It was hypothesised that farmers' perception is a significant explanatory factors for their willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 13. | Land tenure security | Land tenure | This refers to the ownership of the land used for vegetable farming. Farmers who have secure land tenure (even in de facto terms) were expected to be willing to pay for reclaimed water. The hypothesis therefore was that land tenure security significantly explains farmers' willingness to pay for reclaimed water. This was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 14. | Source of water for irrigation | Irrigation water | The types of water used for irrigation have been categorised into two namely: 1) contaminated and 2) uncontaminated. It was hypothesised that farmers source of irrigation water is a significant predictor of their willingness to pay for reclaimed water for irrigation. This was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 15. | Consumption of part of the vegetables at the household level | Consumption | The vegetable farmers who consumed some of the vegetables they produced were thought to be willing to pay for reclaimed water to sustain their source of food and protect their health. It was therefore hypothesised that 'consumption' is a significant factors which explains the farmers' willingness to pay for reclaimed water. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 16. | Participation in farm-based multiple barrier interventions field trials / workshops | Participation | This refers to farmers who have ever participated in risks reduction field trials or workshops. It was hypothesised that participation in field trials or workshops on the health risks associated with untreated low quality water reuse for irrigation is a significant explanatory factors farmers' willingness to pay for reclaimed water. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 17. | Membership of farmers association | Membership | It has been hypothesised that membership of vegetable farmers' association is not a significant predictor of farmers' willingness to pay for reclaimed water. This was rejected at p ≤ 0.05. | Categorical (dichotomous) |
| 18. | Access to agricultural extension service | Agric Extension | It was hypothesised that access to agricultural extension services is a significant explanatory factor for farmers’ willingness to pay for reclaimed water for irrigation. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 19. | Ability to pay US$0.46/m3 | ATP@US$0.46/m3 | It was hypothesised that a farmers' ability to pay for reclaimed (based on the 5% threshold) at US$0.46/m3 is a significant explanatory factor his/her willingness to pay. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 20. | Ability to pay US$0.69/m3 | ATP@US$0.69/m3 | It was hypothesised that a farmers' ability to pay for reclaimed (based on the 5% threshold) at US$0.69/m3 is significantly explains his/her willingness to pay. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 21. | Ability to pay US$0.99/m3 | ATP@US$0.99/m3 | It was hypothesised that a farmers' ability to pay for reclaimed (based on the 5% threshold) at US$0.99/m3 significantly explains their willingness to pay. The hypothesis was accepted at p ≤ 0.05. | Categorical (dichotomous) |
| 22. | Location of farm according to sub metropolitan area | Location | The vegetable producing sites were categorised into three groups based on the sub-metropolitan areas they were located. It was hypothesised that farmers' location in the city does not significantly explain their willingness to pay for reclaimed water. The hypothesis was rejected at p ≤ 0.05. | Categorical (ordinal) |
Categorisation of the continuous variables using national statistics and for use in a binary logistic regression analysis.
| Variables | Description of the variable | Type of variable |
|---|---|---|
| Categorical | ||
| Age | Farmer’s age in years | Low = less than 30 years |
| High = 30 years and above | ||
| Household size | Number of people constituting his/her household | Small = less than 4 persons |
| Large = 4 or more persons | ||
| Television | Number of hours the farmer watches television in a day | Weak = less than 2 hours a day |
| Strong = 2 or more hours a day | ||
| Radio | Number of hours the farmer listen to radio in a day | Weak = less than 3 hours a day |
| Strong = 3 or more hours a day | ||
| Newspaper | Number of hours the farmer reads newspapers in a day | Weak = less than 1 hour a day |
| Strong = 1 or more hours a day | ||
| Experience | The number of years the farmers has been cultivating vegetables in the city. | Low = less than 2 years |
| High = 2 or more years | ||
| Annual net revenue (income level per household) | The difference between gross revenue and gross expenditure | Low = less than US$4,280 per annum |
| High = US$4,280 or more per annum | ||
| Income per capita | The net revenue divided by the household size | Low = Less than US$735/annum |
| High = More than US$735/annum | ||
| Number of beds | Number of vegetable bed owned by a farmer | Low = less than 30 beds |
| High = 30 or more beds | ||
Items considered in the estimation of the annual total cost of vegetable production. Source: Adapted from Nemes (2009).
| Fixed Cost (US$) | Variable Cost (US$) |
|---|---|
| Rental of land spread over the number of years the agreement covers | Ploughing and tillage |
| Land charges and administrative costs spread evenly to cover the number of years the land has been acquired for | Seeds and transplants |
| Servicing farm-related loans spread over the number of years the loan is expected to be repaid | Fertilisers, manure and mulch |
| Replacement values of machines including depreciation, interest and insurance spread over the lifespan. | Pesticides and herbicides, |
| Energy (electricity and fuel) | |
| Labour (regular and seasonal hired labour) | |
| Machine repair and maintenance | |
| Renting equipment | |
| Cold storage | |
| Transport | |
| Variable irrigation expenses | |
| Other materials (e.g. packing containers) | |
| Record keeping and certification costs |
Characterising the urban vegetable farmers using the continuous variables.
| Variables | Results | ||||
|---|---|---|---|---|---|
| Minimum | 25thpercentile | 50thpercentile | 75thpercentile | Maximum | |
| 1. Age [life years after birth] | 24 | 30 | 35 | 43 | 76 |
| 2. TV habit [hours/day] | 1 | 2 | 3 | 3 | 4 |
| 3. Household size [number/household] | 1 | 2 | 4 | 5 | 7 |
| 4. Radio habit [hours/day] | 2 | 3 | 4 | 5 | 8 |
| 5. Newspaper habit [hours/day] | 0 | 0 | 0 | 0 | 0 |
| 6. Experience [years] | 1 | 8 | 10 | 14 | 22 |
| 7. Net revenue [US$] | 427 | 1,607 | 2,784 | 6,924 | 25,051 |
| 8. Per capita revenue [US$/annum] | 93 | 482 | 1,000 | 2,040 | 17,482 |
| 9. Beds | 15 | 22 | 33 | 60 | 200 |
Characterising the urban vegetable farmers using categorical variables.
| Variable | Results | ||
|---|---|---|---|
| 1. Sex [%] | Male, 90 | Female, 10 | |
| 2. Education [%] | None, 31 | Basic, 61 | Secondary and above, 9 |
| 3. Perception [%] | There are no health risks, 13; There are health risks, 87 | ||
| 4. Land tenure [%] | Secure, 9 | Insecure, 91 | |
| 5. Irrigation water [%] | Contaminated, 100: [stream=22, shallow wells=78] | ||
| Uncontaminated, 0 | |||
| 6. Consumption [%] | No, 4 | Yes, 96 | |
| 7. Participation [%] | No, 71 | Yes, 29 | |
| 8. Membership [%] | No, 70 | Yes, 30 | |
| 9. Agric. extension [%] | No, 52 | Yes, 48 | |
| 10. ATP@US$0.46/m3 | No, 63 | Yes, 37 | |
| 11. ATP@ US$0.69/m3 | No, 88 | Yes, 12 | |
| 12. ATP@ US$0.99/m3 | No, 6 | Yes, 94 | |
| 13. Location | South-western (Oforikrom Sub Metro), 75% | ||
| Southern-most (Asokwa and Nhyiaeso Sub Metros), 17% | |||
| North-western (Kwadaso Sub Metro), 8 | |||
Typologies of vegetables cultivated by the farmers.
| Vegetable | Number = 98 | Percentage |
|---|---|---|
| Cabbage ( | 22 | 23 |
| Lettuce ( | 68 | 69 |
| Spring onion ( | 67 | 68 |
| Carrots | 1 | 1 |
| Green pepper | 1 | 1 |
Fig. 3Structure plan of the Kumasi Metropolitan Area.
Fig. 4Location of farmlands along surface water bodies.
Fig. 5Highest amount each open space commercial vegetable farmer was willing to pay for a cubic metre of reclaimed water.
Stratification of the explanatory variables by using 2 × 2 table to identify the variables that explain with willingness to pay.
| Variable | Willingness to Pay | Fisher’s Exact Test (p-value) | OR | Confidence level | RR | Confidence level | |||
|---|---|---|---|---|---|---|---|---|---|
| Yes | No | 2-sided | |||||||
| Old | 51 | 25 | 0.8 | 1.2 | 0.43 | 3.14 | 1.1 | 0.74 | 1.50 |
| Young | 14 | 8 | |||||||
| Male | 58 | 30 | 1.0 | 0.8 | 0.20 | 3.44 | 0.9 | 0.61 | 1.45 |
| Female | 7 | 3 | |||||||
| Small | 32 | 14 | 0.67 | 1.3 | 0.57 | 3.06 | 1.1 | 0.83 | 1.45 |
| Large | 33 | 19 | |||||||
| High | 32 | 11 | 0.20 | 1.9 | 0.81 | 4.64 | 1.2 | 0.94 | 1.64 |
| Low | 33 | 22 | |||||||
| Yes | 61 | 33 | 1.0 | 0.6 | 0.06 | 6.16 | 0.9 | 0.48 | 1.55 |
| No | 3 | 1 | |||||||
| Yes | 19 | 9 | 1.0 | 1.1 | 0.43 | 2.80 | 1.0 | 0.76 | 1.40 |
| No | 46 | 24 | |||||||
| Small | 33 | 15 | 0.83 | 1.2 | 0.51 | 2.67 | 1.1 | 0.79 | 1.40 |
| High | 32 | 18 | |||||||
| Yes | 16 | 13 | 0.16 | 0.50 | 0.21 | 1.23 | 0.8 | 0.54 | 1.12 |
| No | 49 | 20 | |||||||
| Strong | 60 | 25 | 0.03 | 3.8 | 1.14 | 12.89 | 1.8 | 0.91 | 3.70 |
| Weak | 5 | 8 | |||||||
| Strong | 48 | 22 | 0.49 | 1.4 | 0.57 | 3.51 | 1.1 | 0.81 | 1.58 |
| Weak | 17 | 11 | |||||||
| High | 64 | 32 | 1.0 | 2.0 | 0.12 | 33.03 | 1.3 | 0.33 | 5.37 |
| Low | 1 | 1 | |||||||
| Secure | 5 | 4 | 0.48 | 0.60 | 0.15 | 2.42 | 0.8 | 0.45 | 1.51 |
| Insecure | 60 | 29 | |||||||
| There are health risks | 64 | 21 | 0.0 | 18.29 | 3.8 | 88.43 | 5.3 | 1.45 | 19.13 |
| No health risks | 1 | 12 | |||||||
| Yes | 28 | 20 | 0.1 | 0.5 | 0.21 | 1.55 | 0.9 | 0.59 | 1.05 |
| No | 37 | 13 | |||||||
| 15. Irrigation water quality | |||||||||
| Uncontaminated | 0 | 0 | 0.35 | 0.0 | Undefined | 0.0 | Undefined | ||
| Contaminated | 65 | 33 | |||||||
| High | 37 | 19 | 1.0 | 1.0 | 0.42 | 2.27 | 1.0 | 0.75 | 1.32 |
| Low | 28 | 14 | |||||||
| High | 22 | 14 | 0.5 | 0.7 | 0.29 | 1.64 | 0.9 | 0.65 | 1.20 |
| Low | 43 | 19 | |||||||
| Relatively large | 32 | 18 | 0.7 | 0.8 | 0.35 | 1.87 | 0.9 | 0.70 | 1.23 |
| Relatively small | 33 | 15 | |||||||
| 19. Ability to pay US$0.46/m3 | |||||||||
| Yes | 27 | 9 | 0.2 | 1.9 | 0.76 | 4.71 | 1.2 | 0.93 | 1.61 |
| No | 38 | 24 | |||||||
| 20. Ability to pay US$0.69/m3 | |||||||||
| Yes | 9 | 3 | 0.8 | 1.6 | 0.40 | 6.39 | 1.2 | 0.80 | 1.65 |
| No | 56 | 30 | |||||||
| 21. Ability to pay US$0.99/m3 | |||||||||
| Yes | 4 | 2 | 1.0 | 1.0 | 1.18 | 5.85 | 1.0 | 0.56 | 1.8 |
| No | 61 | 31 | |||||||
The variable 'newspaper habit' was omitted because none of the farmers has the habit of reading newspapers.
Was lowered by 1.
Was increased by 1.
Multivariable analysis to identify the variables that significantly explain willingness to pay from the 2 × 2 table.
| B | S.E. | Wald | df | Sig. | Exp(B) | 95% C.I. for EXP(B) | |||
|---|---|---|---|---|---|---|---|---|---|
| Lower | Upper | ||||||||
| Step 1 | Educational level | 0.606 | 0.537 | 1.274 | 1 | 0.259 | 1.834 | 0.640 | 5.257 |
| Membership | -0.592 | 0.562 | 1.110 | 1 | 0.292 | 0.553 | 0.184 | 1.665 | |
| TV habit | 1.280 | 0.760 | 2.838 | 1 | 0.092 | 3.596 | 0.811 | 15.944 | |
| Perception | 3.650 | 1.114 | 10.734 | 1 | 0.001 | 38.475 | 4.334 | 341.576 | |
| Agric extension service | -0.783 | 0.559 | 1.960 | 1 | 0.162 | 0.457 | 0.153 | 1.368 | |
| ATP at US$0.46m3 | 0.959 | 0.596 | 2.592 | 1 | 0.107 | 2.609 | 0.812 | 8.381 | |
| Intercept | -3.629 | 1.383 | 6.886 | 1 | 0.009 | 0.027 | |||
| Step 2 | Educational level | 0.621 | 0.534 | 1.350 | 1 | 0.245 | 1.861 | 0.653 | 5.303 |
| TV habit | 1.314 | 0.745 | 3.113 | 1 | 0.078 | 3.720 | 0.865 | 16.005 | |
| Perception | 3.579 | 1.107 | 10.454 | 1 | 0.001 | 35.829 | 4.093 | 313.613 | |
| Agric extension service | -0.875 | 0.550 | 2.532 | 1 | 0.112 | 0.417 | 0.142 | 1.225 | |
| ATP at US$0.46m3 | 1.044 | 0.592 | 3.106 | 1 | 0.078 | 2.840 | 0.889 | 9.070 | |
| Intercept | -3.764 | 1.364 | 7.614 | 1 | 0.006 | 0.023 | |||
| Step 3 | TV habit | 1.345 | 0.732 | 3.375 | 1 | 0.066 | 3.838 | 0.914 | 16.119 |
| Perception | 3.638 | 1.109 | 10.757 | 1 | 0.001 | 38.017 | 4.323 | 334.330 | |
| Agric extension service | -0.807 | 0.541 | 2.229 | 1 | 0.135 | 0.446 | 0.155 | 1.287 | |
| ATP at US$0.46m3 | 1.047 | 0.586 | 3.191 | 1 | 0.074 | 2.849 | 0.903 | 8.988 | |
| Intercept | -3.619 | 1.355 | 7.135 | 1 | 0.008 | 0.027 | |||
| Step 4 | TV habit | 1.491 | 0.711 | 4.394 | 1 | 0.036 | 4.441 | 1.102 | 17.899 |
| Perception | 3.707 | 1.102 | 11.317 | 1 | 0.001 | 40.737 | 4.699 | 353.189 | |
| ATP at US$0.46m3 | 0.834 | 0.564 | 2.188 | 1 | 0.139 | 2.303 | 0.763 | 6.955 | |
| Intercept | -4.144 | 1.319 | 9.874 | 1 | 0.002 | 0.016 | |||
| Step 5 | TV habit | 1.342 | 0.681 | 3.879 | 1 | 0.049 | 3.827 | 1.007 | 14.553 |
| Perception | 3.598 | 1.079 | 11.109 | 1 | 0.001 | 36.514 | 4.402 | 302.865 | |
| Intercept | -3.629 | 1.219 | 8.861 | 1 | 0.003 | 0.027 | |||
| Step 6 | Perception | 3.599 | 1.071 | 11.299 | 1 | 0.001 | 36.571 | 4.484 | 298.260 |
| Intercept | -2.485 | 1.041 | 5.7 | 1 | 0.017 | 0.083 | |||
Estimated annual gross revenue, total expenditure and net revenues.
| Indicators | Annual Gross revenue | Total annual expenditure | Net annual revenue | Per capita annual net revenue |
|---|---|---|---|---|
| Minimum | 640 | 27 | 427 | 93 |
| 25th percentile | 1,975 | 185 | 1,607 | 482 |
| 50th Percentile | 3,093 | 387 | 2,784 | 1,001 |
| 75th percentile | 7,417 | 809 | 6,921 | 2,040 |
| Maximum | 26,667 | 3,803 | 25,051 | 17,483 |
Fig. 6Proportion of farmers' expenditure on irrigation water based on the assumed price of (a) US$0.46/m3, (b) US$0.69/m3, (c) US$0.99/m3, plotted against the affordability threshold of 5 percent of gross revenue.
Fig. 7Pricing reclaimed water based on the affordability threshold.
Fig. 8Percentage of farmers who must reduce the quantity of water used for irrigation in order to afford the bid prices.