scholarly journals Technical Efficiency of the Setbag Net Fishery in Bangladesh: An Application of a Stochastic Production Frontier Model

2018 ◽  
Vol 15 (2) ◽  
pp. 59-65 ◽  
Author(s):  
Md Golam Rabbani ◽  
Md Akhtaruzzaman Khan ◽  
M Serajul Islam ◽  
Rozina Yeasmin Lucky
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Technical Inefficiency ◽  
Total Cost ◽  
Fishing Boat ◽  
Effect Model ◽  
Proper Training ◽  
Stochastic Production

A study was conducted to examine the technical efficiency for Setbag net fishing boats operated in the year 2014. A total of 100 samples of Setbag net fishing boats were selected, of which 40 were from Cox’s Bazar, 40 were from Chittagong and 20 were from Bagerhat. Stochastic frontier (with technical inefficiency effect) model was specified and estimated. Results have shown that the estimated mean technical efficiency of Setbag net fishing boats is 84 percent. The efficiency of Setbag net fishing boat was positively associated with total cost, while the number of nets were negatively related to fishing day and crew size. Head maji’s age had significant effect on inefficiency at 5% level. Although, the effect on boats’ efficiency was positive, (though insignificant) for head maji’s experience, head maji’s education, engine horse power and boat age. The use of modern fishing boat and improved fishing technology should be promoted, through proper training and motivation program for fisher. At the same time old and unfit fishing boat and gears should be gradually removed and replaced by new and modern fishing boat.The Agriculturists 2017; 15(2) 59-65

scholarly journals STOCHASTIC PRODUCTION FRONTIER: FRAMEWORK AND DEVELOPMENT

2012 ◽  
Vol 5 (2) ◽  
pp. 88
Author(s):  
Suyanto Suyanto
Keyword(s):  
Panel Data ◽  
Technical Efficiency ◽  
Stochastic Frontier ◽  
Theoretical Framework ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Stochastic Frontier Approach ◽  
Two Stage ◽  
Stochastic Production ◽  
The One

This paper explores the framework and development of stochastic frontier Approach (SFA). The original idea of the SFA and its theoretical framework is discussed to provide a basic foundation of the approach. The development of SFA with more flexible distribution assumptions follows the pioneering model. Experts alsodevelop the time-variant technical efficiency models, in order to allow variation between times for a production unit. The most recent development is the panel data SFA, which includes the two-stage and the one-stage procedures.

scholarly journals Technical efficiency of certified maize seed in Palpa district, Nepal: A stochastic frontier production approach

2018 ◽  
Vol 3 (1) ◽  
pp. 45-52
Author(s):  
Mahima Bajracharya ◽  
Mahesh Sapkota
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Stochastic Production Frontier ◽  
Maize Seed ◽  
Production Frontier ◽  
Stochastic Production ◽  
The Cost ◽  
Production Approach

The cereal crop, maize is regarded as staple food mainly in hill areas of Nepal. Seed is one of the vital input which determines the production and yield of any crop. Farmers are found using the required inputs in haphazard way which had increased the cost of production and inefficiency of resources used. The study on seed sector is limited. For such a backdrop, this study was aimed to assess the level of technical efficiency (TE) of certified maize seed production. The total of 164 certified seed producer were interviewed in June, 2016 using simple random sampling technique in Palpa district of Nepal. The result revealed that increase in amount of seed and labor by one percent would increase the yield of certified maize seed by 0.29 and 0.34 percent respectively. The TE was estimated using stochastic production frontier model in Stata software. The average TE was found 70 percent which revealed the scope of increasing TE by 30 percent using the existing available resources. There were about 29 percent farmers who had TE of ≥0.7-0.8 followed by 27.44 percent at ≥0.8-0.9. Government and other stakeholders should prioritize to provide technical knowledge via training and increase the visit of extension worker to increase TE of certified maize seed producer in the district.

Deregulation, technical efficiency and production risk in rice farming: evidence from Zhejiang Province, China

2020 ◽  
Vol 12 (4) ◽  
pp. 605-622
Author(s):  
Juanli Wang ◽  
Xiaoli Etienne ◽  
Yongxi Ma
Keyword(s):  
Technical Efficiency ◽  
Performance Metrics ◽  
Production Performance ◽  
Land Market ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Technical Inefficiency ◽  
Production Risk ◽  
Content Type ◽  
Stochastic Production

PurposeThe purpose of this paper is to evaluate the technical efficiency and production risk in China's rice production and examine the effect of factor market reform on these two agricultural performance metrics.Design/methodology/approachUsing an unbalanced farm-level panel data with 2,193 observations on 329 rice farms from 2004 to 2016, the authors estimate a translog stochastic production frontier model that accounts for both technical inefficiency and production risk. A one-step procedure through the maximum likelihood method that combines the stochastic production frontier, technical inefficiency and production risk functions is used to circumvent the bias problem often found in the conventional two-step model.FindingsEstimation results show that both land and labor market reforms significantly improved the level of technical efficiency over the years, although the effect of land market deregulation is of a much higher magnitude compared to the latter. The land market reform, however, has also increased the risk of production. The authors further find that a higher proportion of hired labor in total labor cost helps lower production risk, while also acting to decrease technical efficiency. Additionally, agricultural subsidies not only increased the output variability but also lowered technical efficiencyOriginality/valueFirst, the authors evaluate the effect of market deregulation on technical efficiency and production risk under a stochastic frontier framework that simultaneously accounts for both production performance metrics, which is important from a statistical point of view. Further, the authors exploit both cross-sectional and time-series variations in a panel setting to more accurately estimate the technical inefficiency scores and production risk for individual farmers, and investigate how the exogenous land and labor market reforms influence these two production performance measures in China's rice farming. This is the first study in the literature to analyze these questions under a panel framework.

A generalized stochastic production frontier analysis of technical efficiency of rice farming

2016 ◽  
Vol 9 (2) ◽  
pp. 114-128 ◽  
Author(s):  
Aditi Bhattacharyya ◽  
Raju Mandal
Keyword(s):  
Technical Efficiency ◽  
Rice Production ◽  
Farm Households ◽  
Rice Farming ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Technical Inefficiency ◽  
Content Type ◽  
Farm Level ◽  
Stochastic Production

Purpose This paper aims to analyze farm-level technical inefficiency of rice farming in Assam, India, using a multiple-output generalized stochastic frontier framework. Design/methodology/approach Primary data for this study were collected in 2009-2010 from 310 farm-households in four non-contiguous districts of Dhubri, Morigaon, Dibrugarh and Cachar that are located in different agro-climatic regions of Assam. Based on a Cobb–Douglas production function for multiple rice varieties, the paper simultaneously estimates the generalized stochastic production frontier and examines effects of exogenous factors on farm-level technical inefficiency. Findings Results of this study show that the average technical inefficiency of farms is 8.5 per cent in the sample. Further, inefficiency is lower in the frequently flood prone areas, and availability of government support helps reduce such inefficiency as well. However, technical efficiency is higher for the Muslim farm-households, and it decreases with greater land fragmentation. The study also finds that the use of primitive technology like bullock reduces technical efficiency of rice farming. Originality/value This paper is based on a novel data set that has specially been collected to examine productivity and efficiency of rice cultivation in the flood plains of Assam that has not been studied before. Further, to the best of the authors’ knowledge, this paper is the first one to model rice production as a multiple-output stochastic production frontier and analyze technical efficiency of rice production accordingly.

scholarly journals Efisiensi Teknis Usaha Tani Padi di Provinsi Kepulauan Bangka Belitung

2019 ◽  
Vol 17 (2) ◽  
pp. 139
Author(s):  
Fitri Kartiasih ◽  
Adi Setiawan
Keyword(s):  
Technical Efficiency ◽  
Rice Seed ◽  
Rice Farming ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Land Preparation ◽  
Rice Productivity ◽  
Rice Farmers ◽  
Stochastic Production ◽  
Preparation Equipment

<p>Rice productivity in Indonesia varied greatly between provinces. Rice productivity in the Bangka Belitung Islands was the lowest figure compared to other provinces in Indonesia from 2013 to 2015. The purpose of this study was to provide an overview of rice farming, analyze the technical efficiency and its influencing factors of rice farming, and analyze the income level of rice farming in the Province of Bangka Belitung Islands. The data used in this study were raw data of the 2014 Household Survey of Rice Crop Farming (SPD 2014) conducted by Statistics Indonesia. The analytical method used was the Stochastic Production Frontier. The results showed that the factors influencing rice production were seeds, fertilizers, pesticides and the use of hired labours. The average level of technical efficiency of rice farmers was 20% of maximum production. This shows that rice farming was not yet efficient. Factors that negatively affect the technical efficiency of rice farming were those among other age of the farmer, land preparation equipment, ownership status of land preparation equipment and the planting system. The results of the study also showed that the more efficient the rice farming, the greater the farmers' income. To increase productivity through increasing technical efficiency, it is recommended that rice farmers are facilitated or supported to use a better quality of rice seed.</p><p> </p><p>Abstrak</p><p>Produktivitas padi di Indonesia sangat bervariasi antar provinsi, di mana produktivitas padi di Kepulauan Bangka Belitung menunjukkan angka terendah dibandingkan provinsi lain di Indonesia selama tahun 2013 hingga 2015. Tujuan penelitian ini antara lain untuk memberikan gambaran usaha tani padi di Provinsi Kepulauan Bangka Belitung, menganalisis efisiensi teknis usaha tani padi serta faktor-faktor yang memengaruhinya, dan menganalisis tingkat pendapatan usaha tani padi. Data yang digunakan dalam penelitian ini adalah <em>raw </em>data hasil Survei Rumah Tangga Usaha Tanaman Padi 2014 (SPD 2014). Metode analisis yang digunakan adalah <em>Stochastic Production Frontier. </em>Berdasarkan hasil penelitian menunjukkan bahwa faktor-faktor yang memengaruhi produksi padi di Kepulauan Bangka Belitung adalah penggunaan benih, pupuk, pestisida dan penggunaan pekerja dibayar. Rata-rata tingkat efisiensi teknis petani padi di Kepulauan Bangka Belitung adalah 20% dari produksi maksimum. Hal ini menunjukkan bahwa usaha tani padi belum efisien. Faktor-faktor yang berpengaruh negatif terhadap infesiensi teknis usaha tani padi adalah faktor umur petani, alat pengolahan lahan, status alat pengolahan lahan dan sistem tanam. Hasil penelitian juga menunjukkan bahwa semakin efisien usaha tani padi maka pendapatan petani juga semakin besar. Untuk meningkatkan produktivitas dengan cara meningkatkan efisiensi teknis, disarankan petani padi difasilitasi atau didorong untuk menggunakan benih yang berkualitas.</p>

scholarly journals DETERMINATS OF TECHNICAL EFFICIENCY OF MANGO PRODUCTION IN MEKONG DELTA, VIETNAM: A COBB-DOUGLAS STOCHASTIC FRONTIER PRODUCTION APPROACH

2019 ◽  
pp. 85-91
Author(s):  
T.H.V.T. Kiet ◽  
Shaufique F Sidique ◽  
Mad Nasir Shamsudin ◽  
Ahmad Hanis I A Hadi
Keyword(s):  
Technical Efficiency ◽  
Plant Density ◽  
Market Access ◽  
Stochastic Frontier ◽  
Mekong Delta ◽  
Stochastic Production Frontier ◽  
Land Area ◽  
Cropping Season ◽  
Stochastic Production ◽  
Input Variables

This study employed a Cobb-Douglas stochastic production frontier function to estimate the level of technical efficiency. The results of the analysis showed that cropping season of mango growers have been round year. Difference of the study compared to past researches related to tropical fruits analyzed efficiency of three seasons instead of only focusing on efficiecy of one seasson or total a year. The findings revealed that season 3 ranked first in terms of technical efficiency (58.2%), follwed by season 1 (53.6%) and then season 2 (49.2%). Moreover, the input variables that explained technical efficiency were were fertilizer (root), fertilizer (leaf) and labor in season 1; pesticide, fertilizer (leaf) and labor in seaon 2; and pesticide, fertilizer (root), fertilizer (leaf) and labor in in season 3. In addition, major determinants of socioeconomic characteristics influenced positively on technical efficiency were were plant density and land area in season 1 and season 3; market access, plant density and land area in season 2. Likewise, the constraints to mango production were wrapping bag and classifying sale in season 2, and age and wrapping bag in season 3. KEY WORDS: Technical efficiecny, Cobb-Douglas, mango, Mekong Delta

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