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Researching the Impact of Increased Cocoa Yields on the Labour Market and Child Labour Risk in Ghana and Côte D’Ivoire

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Researching the Impact of Increased Cocoa Yields on the Labour Market and Child Labour Risk in Ghana and Côte D’Ivoire Researching the Impact of Increased Cocoa Yields on the Labour Market and Child Labour Risk in Ghana and Côte d’Ivoire ICI Labour Market Research Study Researchers: Marcella Vigneri and Renata Serra, with Ana Lucia Cardenas All intellectual property rights are exclusively held by ICI and the research donors. No copy or other use without prior written consent of ICI. © 2016 International Cocoa Initiative (ICI). All Rights Reserved. Acknowledgements: This research study has been co-funded by the generous support of the Lindt Cocoa Foundation, Sustainable Trade Initiative, World Cocoa Foundation, Jacobs Foundation and the International Finance Corporation. Disclaimer: Please note that the opinions expressed within this report are those of the authors and do not necessarily reflect the views of the International Cocoa Initiative or those of the research study donors. The recommendations for policies and interventions however, were developed in collaboration with ICI and the research study donors. Researcher Affiliations and Acknowledgements: The authors (Marcella Vigneri, Oxfam GB; Renata Serra, University of Florida and Ana Cardenas, Secretariat of Social Development Mexico) would like to thank the in-country research collaborators who led and organized data collection and thus made possible this research: For the Ghana case study: Dr. Olivia Agbenyega (Kwame Nkrumah University of Science & Technology), Ebenezer Owusu-Addo (Kwame Nkrumah University of Science & Technology), Emmanuel Sraku (Ghana Cocoa Board) and the fieldwork team. For the Côte d’Ivoire case study: the whole research team at the Centre Ivoirien de Recherches Economiques et Sociales (CIRES), especially Dr Abdoulaye Kouma and Dr Ibrahim Diarra. The authors would also like to thank Sherelle Wilson (ICI) for her guidance during the whole research process; Dr Amanda Berlan, Senior Lecturer in Ethical Business, University of Coventry, and an anonymous reviewer for valid comments and feedbacks. 1 Table of Contents List of Acronyms ....................................................................................................................4 Introduction ..........................................................................................................................5 Key Findings from the Research Study ....................................................................................6 Structure of the Report ..........................................................................................................9 1. Summary from the literature review ..............................................................................9 1.1 Definitions of child labour and hazardous child labour ........................................................9 1.2 Understanding the determinants of child labour and WFCL ............................................... 11 1.3 Linkages between productivity-enhancing interventions and labour demand and supply ... 12 1.4 Understanding demand and supply of adult labour and links to child labour ..................... 13 1.5 Implications from the literature review ............................................................................ 13 2. Methodology .............................................................................................................. 15 2.1 Quantitative methodology ............................................................................................... 17 2.1.1 Sampling methods and Survey Data: Ghana ......................................................................... 17 2.1.2 Sampling methods and Survey Data: Côte d’Ivoire ............................................................... 19 2.2 Qualitative methodology ................................................................................................. 21 2.3 Measurement issues and key variable definitions: Ghana and Côte d’Ivoire ...................... 22 2.3.1 Land size correction factors .................................................................................................. 22 2.3.2 Bias affecting self-reported data on child work-days and child labour ................................ 23 2.3.3 Definition and construction of key variables ........................................................................ 24 3. Analysis and findings from the Ghana study ................................................................. 27 3.1 Profiling cocoa communities in the study sites .................................................................. 27 3.1.1 The village context ................................................................................................................ 27 3.1.2 A profile of cocoa farm managers ......................................................................................... 28 3.1.3 A profile of the children sampled .......................................................................................... 30 3.2 Evidence on the four research questions .......................................................................... 32 RQ1. What are the conditions that determine the demand of adult labour and children’s work? What are the key features of the labour supply for cocoa in the village? .............................. 32 RQ2. What production technologies are being implemented to increase land productivity, and what implication does this have on the labour demand?........................................................... 48 RQ3. Are higher yields associated with higher labour demand? To what extent may incomes derived from improved cocoa productivity respond to the labour demand? ................................... 58 RQ4. Is there evidence of higher hazardous child labour or non-hazardous child labour occurring where programmes exist to increase cocoa yields? What factors are associated with a higher risk of incidence of hazardous and non-hazardous child labour? .......................................... 68 3.3 Explaining the incidence of child labour (non-hazardous) and hazardous child labour ........ 78 4. Analysis and findings from the Côte d’Ivoire study ........................................................ 83 4.1 Profiling cocoa communities in the study sites .................................................................. 83 4.1.1 The village context ................................................................................................................ 83 4.1.2 A profile of cocoa farm managers ......................................................................................... 84 2 4.1.3 A profile of the children sampled .......................................................................................... 87 4.2 Evidence on the four research questions .......................................................................... 89 RQ1. What are the conditions that determine the demand of adult labour and children’s work? What are the key features of the labour supply for cocoa in the village? .............................. 89 RQ2. What production technologies are being implemented to increase land productivity, and what implication does this have on the labour demand?......................................................... 107 RQ3. Are higher yields associated with higher labour demand? To what extent may incomes derived from improved cocoa productivity respond to the labour demand? ................................. 112 RQ4. Is there evidence of higher hazardous child labour or non-hazardous child labour occurring where programmes exist to increase cocoa yields? What factors are associated with a higher risk of incidence of hazardous and non-hazardous child labour? ........................................ 119 4.3 Explaining the incidence of child labour (non-hazardous) and hazardous child labour ...... 141 5. Study conclusions and implications ............................................................................ 145 Recommendations for Policies and Interventions ........................................................................... 152 References ......................................................................................................................... 156 Appendix 1. Challenges in building a panel of revisited cocoa farmers ................................. 158 Appendix 2. Sample of children’s drawings ......................................................................... 163 Appendix 3. Maps of Survey Sites ....................................................................................... 168 3 List of Acronyms CL: Child Labour F CFA: Franc Communauté Financière Africaine (Franc of the West African Financial Community) FGD: Focus Group Discussion HH: Household HL: Hazardous child labour ICI: International Cocoa Initiative SCP: Sustainable Cocoa Programme WFCL: Worst Forms of Child Labour S.D.: Standard Deviation Exchange rates (September 2015) 1 F CFA = 0.00202 US$ 1 Ghanaian Cedis (GH¢) = 0.25 US$ 4 Introduction The International Cocoa Initiative (ICI) has commissioned the present research study to examine the impact of increased cocoa yields on the child labour risk and the labour market in Ghana and Côte d’Ivoire. This study comes at a crucial time when the cocoa industry is investing in improving coca yields as one of the main conduits for higher incomes and sustainability of the sector in West Africa. The projected one million cocoa shortage as a result of low-yielding and low productivity cocoa production in the region, in the context of a 25-30% projected increase in cocoa demand by 2020 due
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