Contracting, market access and deforestation

Ryan Abman and Clark Lundberg

Journal of Development Economics, 2024, vol. 168, issue C

Abstract: We study the impacts of market access on forest loss in Ghana through a program designed to increase smallholder participation in oil palm commodity markets. Improved market access is facilitated through production contracts in which smallholders receive credit to establish production, a guaranteed price and quantity for the contract duration, and output pickup at the village. Using a variety of difference-in-differences approaches, we find substantial increases in forest loss in targeted villages following the introduction of the contracting program. The findings suggest that the ecological impacts of reforms to market access may be sizeable.

Keywords: Market access; Deforestation; Credit constraints; Contracting; Ghana; Oil palm (search for similar items in EconPapers)
JEL-codes: O13 Q13 Q23 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:deveco:v:168:y:2024:i:c:s030438782400018x

DOI: 10.1016/j.jdeveco.2024.103269

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