scholarly journals EFFECT OF LAND OWNERSHIP ON THE TECHNICAL EFFICIENCY OF CROP FARMERS

2021 ◽  
Vol 53 (4) ◽  
pp. 357-367
Author(s):  
Adedeji OGUNWUSI ◽  
Ivie OLAGHERE ◽  
Olubunmi OMOTESHO
Keyword(s):  
Technical Efficiency ◽  
Land Ownership ◽  
Average Treatment Effect ◽  
Farm Size ◽  
Stochastic Production Frontier ◽  
Access To Credit ◽  
Farm Efficiency ◽  
The Government ◽  
On Farm ◽  
The Impact

The essence of this study was to examine the land ownership pattern in Osun State, Nigeria, with a view to assessing its effect on the technical efficiency of the farms. Precisely, the farm efficiency level was estimated; factors that determine farm efficiency were identified, and the impact of land ownership on-farm efficiency was also assessed. A three-stage random sampling was used to select 144 respondents. Data collected using a pretested interview schedule was subjected to descriptive statistics, stochastic production frontier function, and average treatment effect. The results show that land ownership by absolute interest accounted for about 65% of the farmers. The mean technical efficiency level of the farms was 47%. Farm size and labour are necessary factors to be increased to have increased output. The non-access to credit and land ownership by absolute interest constituted to technical inefficiency of the farms. Similarly, ownership of farmland by absolute interest reduced efficiency by 24% among sampled farmers and 25.5% among owners of farmland. The study, therefore, suggested that farm size should be increased, and credit facilities are made available to farmers to facilitate the acquisition of necessary inputs to increase output given the existing technology. This can be by way of making accessible to food crop farmers, lands belonging to the government, which are currently not in use.

The ripple effect of credit accessibility on the technical efficiency of maize farmers in Ghana

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anthony Siaw ◽  
Yuansheng Jiang ◽  
Martinson Ankrah Twumasi ◽  
Wonder Agbenyo ◽  
Gideon Ntim-Amo ◽  
...  
Keyword(s):  
Technical Efficiency ◽  
Farm Size ◽  
Farm Income ◽  
Agricultural Credit ◽  
Maize Production ◽  
Content Type ◽  
Frontier Analysis ◽  
Access To Credit ◽  
Variable Approach ◽  
The Impact

PurposeThe purpose of this study is to examine the impact of access to credit on technical efficiency (TE) of maize farmers in a developing country, Ghana.Design/methodology/approachThe study employed an instrumental variable approach and the stochastic frontier analysis (SFA) method for the estimation of the results.FindingsThe study found that farmers who have access to agricultural credit stand the chance of increasing TE by a margin of 8%, which also influences the maize production than those who did not have access to credit. The average TE score of the farmers was 74%. The study also found out that factors like membership, gender, farmers' access to credit, age and social network determine farmers' possibility of accessing agricultural credit. The study finds out that returns to size are increasing among the maize farmers and that significant improvement in efficiency can be realized by increasing the level of input used in production. Also, factors such as farm size, labor, seeds and fertilizer are the essential determinants of maize production output. Also, gender, extension, age, off-farm income, access to credit and membership were significant factors influencing technical inefficiency (TI).Originality/valueThe paper contributes to the existing literature on agricultural credit on rural agricultural development. The problem of endogeneity associated with access to credit, which has been considered by other researchers, is dealt with this study. This paper also provides information to government policymakers, practitioners and all other stakeholders in the maize sub-sectors and also will benefit small farmers outside the study area.

scholarly journals Irrigation, Technical Efficiency, and Farm Size: The Case of Brazil

2021 ◽  
Vol 13 (3) ◽  
pp. 1132
Author(s):  
Gabriel A. Sampaio Morais ◽  
Felipe F. Silva ◽  
Carlos Otávio de Freitas ◽  
Marcelo José Braga
Keyword(s):  
Technical Efficiency ◽  
Rural Areas ◽  
Agricultural Sector ◽  
Farm Size ◽  
Small Farms ◽  
Stochastic Production Frontier ◽  
Farm Productivity ◽  
Agricultural Census ◽  
Large Farms ◽  
On Farm

In developing countries, irrigation can help to decrease poverty in rural areas through increased employment in the agricultural sector. Evidence shows that irrigation may increase farm productivity and technical efficiency. In this paper, we estimate the effect of irrigation on farm technical efficiency in Brazil using the 2006 Agricultural Census dataset on more than 4 million farms. We estimate a stochastic production frontier at farm level, considering potential selection bias in irrigation adoption. We find that farms using irrigation are on average 2.51% more technically efficient compared to rain-fed farms. Our findings also suggest that while small farms are more efficient than medium and large farms, the largest difference in technical efficiency between rain-fed and irrigated farms is among large farms. Our results indicate that policies that seek to support expansion of irrigation adoption has also the potential to achieve greater rural development given the estimated effects estimated in this paper among very small and small farms, which are more than 70% of the farms in Brazil.

scholarly journals The Impact of Parcel Structure on the Efficiency of Finnish Dairy Farms

2015 ◽  
Vol 44 (1) ◽  
pp. 65-77 ◽  
Author(s):  
Olli Niskanen ◽  
Anna-Maija Heikkilä
Keyword(s):  
Technical Efficiency ◽  
Dairy Farms ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Parcel Size ◽  
Farm Efficiency ◽  
Stochastic Production ◽  
The Impact

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.

scholarly journals Impact of high yielding wheat varieties adoption on farm income of smallholder farmers in Ethiopia

2019 ◽  
Vol 7 (1) ◽  
pp. 45-59
Author(s):  
Regasa D. Wake ◽  
Degye G. Habteyesus
Keyword(s):  
Smallholder Farmers ◽  
Average Treatment Effect ◽  
Farm Income ◽  
Control Groups ◽  
Wheat Varieties ◽  
Cross Sectional ◽  
The Government ◽  
Livestock Productivity ◽  
On Farm ◽  
The Impact

The objective of this study was to assess impact of adoption of high yielding wheat varieties on farm income in Mao-Komo district of Benishangul-Gumuz, Ethiopia. The study used cross-sectional data collected from sample of 174 farm households selected through two-stage stratified random sampling techniques. Descriptive statistics and econometric models were used to analyze the data. Propensity score matching (PSM) applied to analyze the impact of adoption on farm income. The result of the PSM estimation showed that adoption of high yielding wheat varieties has significant impact on farm income of treated households as compared to the control groups. The treated households had earned farm income of about 21452 Ethiopian Birr per year while the untreated smallholders earned farm income of only 11141 Ethiopian Birr. The average treatment effect on the treated (ATT) of farm income of adopters is greater than non-adopters that has brought about 9 % increases in farm income of smallholders. The findings suggest that the government and stakeholders should need to focus on improving farm land and livestock productivity, strengthening the provision of education, and frequency of extension visits, encouraging participation in non-farm activities, creating reliable information and awareness towards farmers’ perceptions, and improving infrastructures in the area. Finally, further support of high yielding wheat varieties adoption should be given due attention for its impact on farm income generation of smallholders. 

scholarly journals Access to Credit and Farm Efficiency in Cameroon: A Data Envelopment Analysis Approach

2021 ◽  
pp. 48-62
Author(s):  
Orelien Tresor Feumba Tchamba
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Returns To Scale ◽  
Farm Households ◽  
Farm Size ◽  
Data Envelopment ◽  
Agricultural Field ◽  
Access To Credit ◽  
Farm Efficiency ◽  
Constant Returns To Scale

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.

scholarly journals Adoption of Certified Seed and Its Effect on Technical Efficiency: Insights From Northern Kazakhstan

2020 ◽  
Vol 12 (3) ◽  
pp. 175
Author(s):  
Muratbek Baglan ◽  
Xue Zhou ◽  
Gershom Endelani Mwalupaso ◽  
Geng Xianhui
Keyword(s):  
Technical Efficiency ◽  
Certified Seed ◽  
Seed Quality ◽  
Stochastic Production Frontier ◽  
Genetic Purity ◽  
Agricultural Technologies ◽  
The Government ◽  
Gap Data ◽  
The Impact

Despite the economic and food security importance of the Kazakh wheat sector, current statistics suggest a yield gap between actual and potential yields. In view of this, farmers, stakeholders and the government are looking for agricultural technologies to increase the output. To this end, adoption of certified seeds is being promoted. The reasoning is that certified seed is produced from seed of known genetic origin and genetic purity, in a controlled and tested manner, processed and declared in accordance with the Law on Seeds and thus, could aid in producing maximum obtainable output. Unfortunately, little is known on whether this could affect wheat production and technical efficiency more than the conventional seed as such a subject has never benefitted from empirical analysis. To begin to fill this research gap, data from smallholder farms in Kazakhstan is used to evaluate the impact of adoption on technical efficiency by applying the stochastic production frontier. Results indicate that adoption of certified seed has productivity effects. Precisely, adopters are 20% more efficient than their counterparts. To a large extent, this is attributable to the quality of seeds used. Therefore, our study demonstrates the importance of certified seed adoption and accentuates the role governments can play in ensuring seed quality for enhanced technical efficiency.

scholarly journals Technical Efficiency of U. S. Organic Farmers: The Complementary Roles of Soil Management Techniques and Farm Experience

2006 ◽  
Vol 35 (2) ◽  
pp. 327-338 ◽  
Author(s):  
Luanne Lohr ◽  
Timothy A. Park
Keyword(s):  
Technical Efficiency ◽  
Organic Soil ◽  
Stochastic Production Frontier ◽  
Regulatory Strategies ◽  
Efficiency Measures ◽  
Organic Farmers ◽  
Management Techniques ◽  
Stochastic Production ◽  
On Farm ◽  
The Impact

Agricultural policymakers place increasing emphasis on developing efficiency measures for organic producers in order to evaluate regulatory strategies and evolving organic market conditions. We develop technical efficiency measures for U. S. organic farmers using a stochastic production frontier. Farm decisions about acquiring and managing organic soil materials from on-farm and local sources are incorporated into the technical efficiency measure. Productivity differences between newer entrants to organic farming and more experienced producers are estimated in order to isolate the impact of learning and management expertise on farm-level technical efficiency.

scholarly journals Land Tenure and Technical Efficiency of Smallholder Tea Producers: The Case of Ya’An City, China

2021 ◽  
Vol 24 (2) ◽  
pp. 21-34
Author(s):  
Abrham Tezera Gessesse ◽  
Ge He
Keyword(s):  
Technical Efficiency ◽  
Land Tenure ◽  
Smallholder Farmers ◽  
Farm Size ◽  
Stochastic Production Frontier ◽  
Production Frontier ◽  
Tenure Security ◽  
Tea Production ◽  
Stochastic Production ◽  
The Impact

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.

scholarly journals The Impact of Credit on Technical Efficiency Among Vegetable Farmers in Swaziland

2014 ◽  
Vol 4 (1) ◽  
pp. 114 ◽  
Author(s):  
Micah B. Masuku ◽  
M. O. Raufu ◽  
Nokwanda G. Malinga
Keyword(s):  
Technical Efficiency ◽  
Smallholder Farmers ◽  
Stochastic Frontier ◽  
Sampling Technique ◽  
Farm Income ◽  
Green Pepper ◽  
Access To Credit ◽  
Vegetable Farmers ◽  
The Government ◽  
The Impact

<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>

scholarly journals SELECTED ECONOMIC INDICES FOR THE VIABILITY OF ONION PRODUCTION IN BENIN REPUBLIC

2020 ◽  
Vol 57 (3) ◽  
Author(s):  
OLUBUNMI ABAYOMI OMOTESHO ◽  
Clemencio Parfait Douvi ◽  
Ivie Loretta Olaghere
Keyword(s):  
Technical Efficiency ◽  
Efficiency Score ◽  
Farm Size ◽  
Stochastic Production Frontier ◽  
Alternative Source ◽  
A Value ◽  
Stochastic Production ◽  
The Government ◽  
Economic Indices ◽  
The Cost

This study estimated the profitability and the level of technical efficiency of the onion farms. It also identified factors that contribute to technical efficiency in onion production. Data were collected from 180 randomly selected onion farms using a pretested interview schedule. Partial budgeting techniques and the stochastic production frontier were modeled for data analysis. Profitability indices revealed a value of 0.771 and 0.280 for operating ratio and return to capital invested respectively. The mean technical efficiency score for the farms was 88.35%. Quantities of water and onion seedlings, farm size, household size, and farming experience significantly affected the technical efficiency of the farms. The study concluded that onion production was profitable in the study area.  The government should look into the possibility of providing an alternative source of irrigation for the farmers to conserve water and lower the cost of irrigation.

Sign in / Sign up

Export Citation Format

Share Document