scholarly journals Technology adoption and technical efficiency of smallholder farmers in Tolon district of Ghana: double bootstrap DEA approach

2020 ◽  
Author(s):  
Benjamin Tetteh Anang ◽  
Hamdiyah Alhassan ◽  
Gideon Danso-Abbeam

Abstract The study explored the impact of improved variety adoption on technical efficiency of smallholder maize farmers in Tolon District of northern Ghana. Smallholder maize farmers in the study area were sampled using random sampling technique. Double bootstrap data envelopment analysis was applied to estimate technical efficiency and its determinants. The results indicate that producers in the study area have a bias-corrected technical efficiency of 57% under variable returns to scale (VRS) assumption and 52% under constant returns to scale (CRS) assumption. Controlling for potential endogeneity of the adoption variable, the results indicate that adoption of improved varieties enhance technical efficiency of maize farmers in the study area. Technical efficiency of the farmers increased with herd size but decreased with years of formal education, household size, extension contact, frequency of weeding, and farm size. Ensuring that improved seeds are made available and affordable to smallholder farmers and promotion of livestock rearing are policy measures likely to enhance technical efficiency of smallholder farmers.

2019 ◽  
Vol 11 (24) ◽  
pp. 6974
Author(s):  
Nalun Panpluem ◽  
Adnan Mustafa ◽  
Xianlei Huang ◽  
Shu Wang ◽  
Changbin Yin

Rice production holds a significant position in the Thai economy. Although it is the world’s largest rice exporter, Thailand’s increase in rice production is the result of an expansion in the cultivation area rather than an increase in yield per unit area. The present study was designed to estimate the technical efficiency and its governing factors for certified organic rice-growing farms in Yasothon Province, Thailand. A data envelopment model was employed to assess the technical efficiency of 328 farmer groups. The data revealed that the average technical efficiency was 23% and 28% under constant returns to scale (CRS) and variable returns to scale (VRS) specifications, respectively. Farmers can reduce the use of machinery, fertilizer, seed, and labor as input factors by about 80.1%, 25.62%, 24.72%, and 19.15%, respectively, while still achieving the same level of output. Multiple regression analysis was applied to estimate factors that affect the pure technical efficiency score (PTES) in the test regions. Results show that household size, farm size, water source, market accessibility, health symptoms, income, and labor were highly related to the TES and the amount of organic rice production. The regression coefficients of the predictors show that the income was the best predictor of the PTES at a significance level of p < 0.05. It is concluded that the farmers can potentially increase their yields by up to 72%–77% under current management practices.


2013 ◽  
Vol 3 (1) ◽  
pp. 24 ◽  
Author(s):  
Edward Martey ◽  
Alexander Nimo Wiredu ◽  
Prince M. Etwire ◽  
Mathias Fosu ◽  
S. S. J. Buah ◽  
...  

<p>Northern Ghana is characterized by food insecurity largely due to over reliance on rain-fed agriculture under low farm input conditions. The present study investigated the effect of factors influencing mineral fertilizer adoption and use intensity among smallholder farmers in Northern Ghana. A total of 330 smallholder farmers selected through multi-stage sampling technique were interviewed. Adoption of fertilizer technology was determined by age, nativity, farm size, access to credit, and distance to agricultural office. The result of the truncated regression estimates indicated that income of household head, membership of farmer association, distance to agricultural office, access to input shop, income earning household that do not participate in agricultural development project and income earning male headed household were the significant factors influencing fertilizer use intensity. Distance to agricultural office was a key positive determinant of fertilizer adoption and use intensity. The study recommends improvement in road infrastructure and technical training of agricultural extension agents. Farmer based organization must be trained on regular basis to enhance their productive skills and technology uptake.</p>


Agriculture ◽  
2020 ◽  
Vol 10 (4) ◽  
pp. 108
Author(s):  
Tamer Işgın ◽  
Remziye Özel ◽  
Abdulbaki Bilgiç ◽  
Wojciech J. Florkowski ◽  
Mehmet Reşit Sevinç

A single and a double bootstrap of data envelopment analysis examines Harran Plain cotton farming in Turkey. The single bootstrap technique was employed to derive the bias-corrected efficiency values under both constant returns to scale (CRS) and versus variable returns to scale (VRS) technologies while discriminating between the two technologies using a smoothed bootstrap test statistic. Results indicated that the farms operated under VRS technology. Given that VRS technology prevailed across Harran Plain cotton farmers sampled, we then determined factors affecting the bias-corrected technical efficiencies using the double bootstrap technique. Another important finding in the single bootstrap analysis is that cotton farmers in the region have a U-shaped technical efficiency based on the input and output scale. Thus, small-scale farmers tend to use their resources more efficiently in cotton farming than that of both medium- and large-scale farmers. Interestingly, the medium-scale farmers with resource inefficiency are at the forefront of the other two types of farmers (i.e., small-scale and large-scale) on the Harran Plain in Turkey. The results also showed that most of the farm and farmer specific as well as economic factors play a significant role in explaining the technical efficiency values.


Author(s):  
Orelien Tresor Feumba Tchamba

The aims of this paper is to analyze the effect of access to credit on the technical efficiency of farms in Cameroon’s rural area. Using a sample of 545 farm households, we first estimate a Data Envelopment Analysis (DEA) model with constant returns to scale; then a censored TOBIT model enabling us to identify factors of efficiency, especially the effect of access to credit on efficiency. Two main results emerge from our analysis. First, we find that on average, the level of technical efficiency of farms is 56.78%; showing therefore the possibility of substantial efficiency gains. Second, farm size, association membership, and fertilizer expenditure negatively affect technical efficiency, while access to credit, age and education increase it. Based on these results, we believe that it’s interesting for farm householders to organize themselves in associations to benefit from available credits and financial facilities and to share their experiences in the agricultural field in order to improve their efficiency.


2020 ◽  
Vol 1 (1) ◽  
pp. 13-23
Author(s):  
Nsikak-Abasi A. Etim ◽  
Dorothy Thompson ◽  
Ubong A. Asa ◽  
Ubong A. Asa

Majority of Nigeria’s rural poor especially smallholder farmers who rely on agricultural production for their subsistence face considerable difficulties in increasing productivity due to the adverse impact of changes in climate. But migrant remittance has become an important part of the strategy for rural households to cope with negative environmental consequences through reduction in vulnerability to climate variability, improvement in livelihood and expansion in production. An empirical study to measure the impact of migrant remittances on small holder agricultural production was conducted. Through the multistage sampling technique, 120 smallholder farmers were selected and data were collected using questionnaire. Multiple regression analysis based on Cobb-Douglas production function was used to determine the impact of migrant remittance on agricultural production. Result of the analysis revealed that the most critical factors which positively and significantly (p<0.05) influenced the output of remittance receiving households were education, experience, farm size and labour. Findings also showed that the same covariates also influence output of non-remittance receiving households. Policies to increase the inflow of remittances to poorer households engaging in agricultural production would be a rational decision.


2019 ◽  
Vol 79 (3) ◽  
pp. 304-322 ◽  
Author(s):  
Edward Martey ◽  
Alexander N. Wiredu ◽  
Prince M. Etwire ◽  
John K.M. Kuwornu

Purpose Production credit is essential for enhancing the technical efficiency (TE) and the welfare of smallholder farmers in Africa. The purpose of this paper is to examine the impact of credit on smallholders’ TE using cross-sectional data from 223 maize-producing households in Northern Ghana. Design/methodology/approach Due to the exogenous assignment of credit and assumption of homogeneity in farm technologies, the propensity score matching (PSM) analysis was used to compare the average difference in TE between farmers that had received credit and those that had not. Findings The results revealed that production credit impacts positively on smallholder farmers’ TE. Access to production credit is significantly influenced by access to markets and extension services, distance to market, asset index and land fragmentation. The provision of credit enhances the timely purchase and efficient allocation of farming inputs to produce the maximum possible output. Per capita income and land fragmentation also play important roles in reducing smallholders’ TE. Practical implications To increase efficiency gains, credit programs for agricultural interventions should target resource-poor smallholder farmers. The efficiency gains can be sustained through stronger partnerships with financial institutions. Policy interventions aimed at increasing smallholder farmers’ access to production credit (e.g. through the creation of a conducive investment environment that lowers the lending rate and collateral requirements) must be vigorously pursued. Originality/value To the best of authors’ knowledge, this is one of the only recent studies to examine the impact of credit on the TE of farming households by applying the translog stochastic frontier production function and the PSM approaches.


2021 ◽  
Vol 24 (2) ◽  
pp. 21-34
Author(s):  
Abrham Tezera Gessesse ◽  
Ge He

70 percent of the world and 80 percent of China’s tea production produced by smallholder farmers. However, the tea production per unit area significantly unchanged in the past decades. Understanding factors affecting the technical efficiency of smallholder tea producers is very important to maximize tea production. Aimed at examining the impact of land tenure security and land certification on smallholder tea producers’ technical efficiency, this paper employs the Cobb- Douglas Stochastic Production Frontier (CD-SPF) and Translog Stochastic Production Frontier (TL- SPF) methods for Maximum Likelihood Estimate (MLE) with cross-sectional data collected from 161 randomly selected tea farm plot households in Ya’an city, China. We found that an 1 mu (0.067 ha) increase in the tea farm size will produce a 1.086 tea yield advantage for smallholder tea farmers. We also found that the values of input-output elasticity of land size, household income and labor decrease in turn with 0.144, 0.105 and 0.010 respectively. The results show that farm size is a more crucial input for tea production than income and labor. Moreover, we identify the determinations which enhance the technical efficiency of smallholder tea producers such as land certification, land tenure security age, education, farming experience, total farm size holding, chemical fertilizer, plot steepness and plot distance from home and find that the elimination of land tenure insecurity through land registration and certification makes a clear difference in that. We therefore recommend that tea farmland need to expand and enlarge for better production through comprehensive land consolidation program. We also suggest endorsing the land certificates of all land holders as this will help improve land tenure security, enhance technical efficiency and promote the tea production of smallholder producers.


2014 ◽  
Vol 4 (1) ◽  
pp. 114 ◽  
Author(s):  
Micah B. Masuku ◽  
M. O. Raufu ◽  
Nokwanda G. Malinga

<p>Access to credit is regarded as an important intervention for improving the incomes of the rural population, mainly by mobilizing resources to more productive uses. Production of vegetables by smallholder farmers in Swaziland is inconsistent and lower than the national demand, hence the gap is filled by imports from South Africa. The purpose of the study was to assess the influence of credit on technical efficiency of smallholder vegetable farmers in Swaziland. Data were collected in 2013 from farmers through a structured questionnaire, which was administered using personal interviews. A two-stage sampling procedure was used by stratifying the vegetable farmers in the Hhohho region according to the four Rural Development Areas (RDAs). This was followed by a simple random sampling technique used to select the number of vegetable farmers from each stratum. A sample size of 120 farmers was selected from a population of 289. The Stochastic Frontier production function was used to analyze the data using the STATA program (version 12). The results revealed that credit had a negative effect on technical efficiency of cabbage and green pepper farmers, while it had a positive effect on the technical efficiency of tomato, and beetroot farmers. The technical efficiency of tomatoes and cabbage farmers was affected by age, education level, farming experience and access to credit (p &lt;0.01), while beetroot and green pepper was affected by farmer’s age, and off-farm income. (p&lt;0.05). The study recommended that vegetable farmers should increase the amount of seeds, fertilizer and chemicals used in order to improve yields. The Government of Swaziland should subsidize farming inputs and financial institutions should make credit more available to agribusinesses in order to improve the efficient use of input resources.</p>


2011 ◽  
Vol 43 (4) ◽  
pp. 515-528 ◽  
Author(s):  
Amin W. Mugera ◽  
Michael R. Langemeier

In this article, we used bootstrap data envelopment analysis techniques to examine technical and scale efficiency scores for a balanced panel of 564 farms in Kansas for the period 1993–2007. The production technology is estimated under three different assumptions of returns to scale and the results are compared. Technical and scale efficiency is disaggregated by farm size and specialization. Our results suggest that farms are both scale and technically inefficient. On average, technical efficiency has deteriorated over the sample period. Technical efficiency varies directly by farm size and the differences are significant. Differences across farm specializations are not significant.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samuel Ahado ◽  
Jiří Hejkrlík ◽  
Anudari Enkhtur ◽  
Tserendavaa Tseren ◽  
Tomáš Ratinger

PurposeThe purpose of this paper is to examine the impact of agricultural cooperative membership on potato production and technical efficiency.Design/methodology/approachA combination of propensity score matching technique and sample selection stochastic frontier framework that addresses potential selection bias due to observable and unobservable attributes is used to estimate the effect of participation between cooperative members and non-members. Using a stochastic meta-frontier approach, the technical efficiency of farmers was estimated and compared.FindingsThe empirical results show that the effect of participation in agricultural cooperatives is associated with increased yield and technical efficiency. A comparison of group-specific frontiers indicates that cooperative members perform better than non-members. Cooperative membership decisions is significantly associated with household and farm characteristics (e.g. education, participation in off-farm work, total farmland, distance to market and geographic location).Practical implicationsThe findings of this study demonstrate that cooperative organisations can be an important tool to enhance the productivity and efficiency of smallholder farmers. Successful cooperative models together with training programs designed to enlighten farmers on the importance and tangible benefits of collective action should be used to enlarge participation in cooperative organisations. In addition, governments and development agencies should implement targeted investment and capacity building programs related to irrigation management, gender-sensitive awareness and development of the internal institutional mechanisms in cooperatives for the transfer of knowledge and mutual learning so that all members benefit from cooperatives.Originality/valueDespite the pervasive evidence of the impact of cooperatives on productivity and technical efficiency in the Asian region, this study is probably the first attempt in the crop sector in Mongolia. It provides a rigorous empirical analysis of the impact of agricultural cooperative membership on potato production and technical efficiency through a counterfactual design.


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