64th ISI World Statistics Congress - Ottawa, Canada

64th ISI World Statistics Congress - Ottawa, Canada

THE EFFECT OF ACTIVITIES OF ILLEGAL MINING ON COCOA PRODUCTION AND ITS IMPACT ON ECONOMIC DEVELOPMENT

Conference

64th ISI World Statistics Congress - Ottawa, Canada

Format: CPS Paper

Session: CPS 48 - Statistics and economics II

Tuesday 18 July 4 p.m. - 5:25 p.m. (Canada/Eastern)

Abstract

Mining in tropical countries contributes significantly to the global minerals supplies but unregulated mining activities in reserved forests is associated with destruction, loss of habitats and loss of biodiversity. In recent times, several reports both from the electronic and print media had indicated that, arable land meant for farming activities within the cocoa growing areas has been taken over by the activities of illegal mining popularly known as “galamsey”. The main purpose of this study is to investigate the effects of the activities of illegal mining on cocoa production, what are the reasons why cocoa farmers opt to offer their lands to the illegal miners, what are the economic implications and many other things including environmental issues.
Illegal gold mining in Ghana further exacerbates a volatile cocoa market. In 2014, experts predicted a global cocoa shortage by 2020. “Galamsey” is regarded as the biggest threat to cocoa production. According to the Ghana COCOBOD, the crop generates about $2 billion in foreign exchange annually for the country.
The economic reward of cocoa production is enormous and cannot be ignored. Using a case study approach, the research work will use interviews, observations and documentary sources to obtain data for the study. The case study will be carried out at Upper Denkyira East in Central region, Ghana. The study reveals that, about 65 farms have been totally destroyed and some 53 other farms are at risk of being destroyed by the activities of illegal miners. Moreover, as some farmers are willing to offer their lands to illegal miners, some do that in situations beyond their control.