Influence of NGOs and Development Agencies on Technical Efficiency:the Experience of Smallholder Soy

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Soybean is an important aspect of food security and poverty alleviation, especially in northernGhana.NGOs and development agencies play an essential role in the efforts to increasesoybean productivity in this area, where 70% of national production emanates.Despite theirconspicuous presence in facilitating capacity building, access to production resources andmarkets, the influence of these originations on technical efficiency has not been furtherexplored in northern Ghana.This study therefore estimates the influence of NGOs ontechnical efficiency among smallholder soybean farmers using a stochastic frontier analysis and translog production function with data collected from 349 smallholder soy beanproducers in the three northern regions of Ghana.Results show that the mean technicalefficiency of soy bean production is 0.885, indicating a growth potential of 11.5%.Land size,agro-chemical and seed contribute to production growth, while labor is over used.We findthat NGOs facilitation as well as group membership influences technical efficiency.Furthermore, farmers facilitated by NGOs and development agencies are 4.4% more efficientthat farmers not facilitated.Our study therefore implies that production and efficiency can beimproved by providing more services to farmer group members and sustainable interventions from NGOs and social programs.
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