scholarly journals The impact of agricultural extension on farmers’ technical efficiencies in Ethiopia: A stochastic production frontier approach

Author(s):  
Kidanemariam G. Gebrehiwot

Background: To address the structural food deficit and top down extension system that persisted for decades, the government of Ethiopia has introduced a new extension system, called Participatory Demonstration and Training Extension Systems, which serves more than 80% of the total population. As the program was streamlined to fit the different agro-climatic condition of the country, the extension approach practiced in the Tigray region (research area) was called Integrated Household Extension Program.Aim: This article reports on research aimed at measuring the technical efficiency levels of extension participants and non-participants; measuring the impact extension service on technical efficiency.Setting: The research was conducted in the northern part of the country, where agriculture is the main sources of livelihoods. Moisture is the most critical factor in the production system. The land holding size averages 0.5 ha per household compared to above three ha 30 years ago; indicating the high population pressure in the area.Methods: A sample of 362 agricultural extension service participants and 369 non-participant farm households from the northern part of Ethiopia, participated in the study. The stochastic production frontier technique was used to analyse the survey data and to compute farm-level technical efficiency.Results: The results showed an average level of technical efficiency of 48%. It is suggested that substantial gains in output and/or decrease in cost can be attained with the existing technology. All the variables included in the model to explain efficiency were found significant and with the expected sign, except education and number of dependants.Conclusion: The research tried to assess the impact of a new extension service (participatory in nature) on farmers’ productivity in a semi-arid zone, as compared with the conventional extension service and found in the literature areas with relatively better climatic conditions. Hence, if extension administrators could work to uplift the average and below average farmers into better performing farmers level, the overall production and living condition could improve substantially in the research area, and more or less in the rest part of the country.

2015 ◽  
Vol 44 (1) ◽  
pp. 65-77 ◽  
Author(s):  
Olli Niskanen ◽  
Anna-Maija Heikkilä

In Finland, expanding dairy farms often face the problem of additional fields being geographically distant and only available as small parcels. We develop a stochastic production frontier model to estimate the technical efficiency of Finnish dairy farms and simulate the effect of parcel distance and parcel size on the efficiency of an average farm for 2000 through 2009. The overall development of technical efficiency is positive during the study period but increases in distance and decreases in parcel size both significantly reduce farm efficiency. Therefore, efforts to improve the parcel structure are justified.


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.


2013 ◽  
Vol 14 (1) ◽  
pp. 82-108
Author(s):  
Tsurayya Nurrahma

AbstractHaving data sample in 1987, 1995, and 2008, this research aims to analyze the impact of trade liberalization on technical efficiency of Indonesian manufacturing firms since deregulation in the 1980s. In addition, the research also analyzes the impact of other efficiency determinants coming from firm characteristics and market structure. Technical inefficiency score is estimated by using stochastic production frontier model, whereas the impact of efficiency determinants is analyzed by using Ordinary Least Squared model (OLS). For each year observed, liberalization has different impacts on technical efficiency. However, as liberalization continues, it has facilitated firms to produce towards their full technical efficient production-level.Keywords: Trade Liberalization, Firm Technical Efficiency, Manufacturing Industry, IndonesiaAbstrakDengan mengambil sampel tahun 1987, 1995, dan 2008, studi ini dilakukan untuk menganalisis dampak liberalisasi perdagangan terhadap efisiensi teknis perusahaan dalam industri manufaktur Indonesia sejak deregulasi pada tahun 1980-an. Selain itu, dianalisis pula pengaruh faktor determinan efisiensi lainnya yang berasal dari karakteristik internal perusahaan dan struktur industri. Nilai inefisiensi teknis diestimasi dengan model stochastic production frontier, sedangkan analisis pengaruh faktor determinan efisiensi teknis menggunakan model Ordinary Least Squared (OLS). Hasil studi menunjukkan bahwa liberalisasi perdagangan memiliki dampak berbeda terhadap efisiensi teknis pada setiap tahun yang diamati. Namun, liberalisasi akhirnya dapat memfasilitasi perusahaan dalam meningkatkan performanya, melalui peningkatan nilai efisiensi teknis.Kata kunci: Liberalisasi Perdagangan, Efisiensi Teknis Perusahaan, Industri Manufaktur, Indonesia


2019 ◽  
Vol 17 (2) ◽  
pp. 139
Author(s):  
Fitri Kartiasih ◽  
Adi Setiawan

<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>


Mathematics ◽  
2021 ◽  
Vol 9 (21) ◽  
pp. 2688
Author(s):  
Emilio Gómez-Déniz ◽  
Nancy Dávila-Cárdenes ◽  
Alejandro Leiva-Arcas ◽  
María J. Martínez Patiño

This paper estimates the technical efficiency of Olympic disciplines in which Spanish athletes participate, taking into account the results obtained in the last three Olympic Games. A stochastic production frontier model (normal-exponential), using two control variables linked to economic factors such as budget and sports scholarships, is estimated in order to obtain different Olympic sports’ efficiencies distinguished by gender, using data from 2005 to 2016. The results detect some differences among the considered disciplines. In all the cases, athletics, canoeing, cycling, swimming, and tennis, depending on the gender, reach better values. This paper’s novelty lies in the efficiency analysis carried out on the Olympic disciplines and athletes of a country and not on the country’s efficiency, which allows managers and stakeholders to decide about investments concerning disciplines and athletes.


2021 ◽  
Vol 4 (2) ◽  
pp. 246-254
Author(s):  
Surya Prasad Adhikari ◽  
Yuga Nath Ghimire ◽  
Krishna Prasad Timsina ◽  
Sanjiv Subedi ◽  
Meena Kharel

Wheat is a major staple food crop of Nepal, so it is necessary to increase its productivity. However, the national average wheat productivity of Nepal is low as compared to other neighboring countries. This study employed a Cobb-Douglas stochastic production frontier model to examine the technical efficiency and its determinants using randomly selected household data from 343 wheat farmers from four districts of Nepal. Maximum likelihood estimation results showed that wheat production responded positively to an increase in the quantity of inorganic fertilizer, whereas it was detrimental to seed rate. Likewise, the study found that farmers were not technically efficient with a mean technical efficiency of 81%. The result showed irrigation, herbicides, sowing time, Farm Yard Manure (FYM), and wheat varieties were statistically significant factors that affect the technical efficiency of wheat farmers. Furthermore, to increase wheat productivity, farmers should use better irrigation, appropriate weed management practices, optimum sowing time, and adoption of recent improved varieties. Findings suggest that the technical efficiency of wheat farmers could be enhanced by practicing optimum use of inputs and improving the inefficiency factors


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