scholarly journals Economic Analysis of Smallholder Maize Producers: Empirical Evidence From Helmand, Afghanistan

2020 ◽  
Vol 12 (3) ◽  
pp. 153
Author(s):  
Hamidullah Elham ◽  
Jiajun Zhou ◽  
Mouhamadou Foula Diallo ◽  
Shakeel Ahmad ◽  
De Zhou

Since war started at the end of 2001, the economy was severely devasted in Afghanistan, especially for the agriculture sector. Maize is the third most important cereal crop in Afghanistan, but the productivity of maize has a declining trend which may be caused by low efficiency of maize farmers nowadays. This study examines the production efficiency of maize producers and its important factors with the cross-sectional data form a multi-stage sampling survey of 250 maize producers in Helmand province in 2019. With the adoption of stochastic production frontier (SPF) model and production cost function, the paper gets the estimations of the average technical efficiency (0.737), allocative efficiency (0.65) and economic efficiency (0.568). The inputs, including land, labor, seed, fertilizer and pesticide/weedicides, have significant impacts on maize production and most of the farms exhibit an increasing return to scales. In addition, Tobit regression was applied to identify the influential factors of the production efficiencies for maize producers and the results indicate that education, family size, farm size, farming experience, contact to extension services and access to credit have significantly influence on the efficiency level. Finally, the study suggests that government should take some initiatives, such as extending the agricultural extension service, ensuring supply of high quality seeds and sufficient fertilizer with affordable prices and economical provision of mobile internet facility in remote areas, which will enhance the productivity and efficiency of the farmers and ultimately boost up their economic welfare and livelihood.

2001 ◽  
Vol 33 (1) ◽  
pp. 35-48 ◽  
Author(s):  
Vangelis Tzouvelekas ◽  
Christos J. Pantzios ◽  
Christos Fotopoulos

AbstractUsing recent advances in the stochastic production frontier framework, this paper presents an empirical analysis of technical, allocative and economic efficiency of a sample of organic and conventional cotton farms located in Greece. The results suggest that both farm types in the sample examined are technically, allocatively and economically inefficient. Farmer's age and education and farm size are important factors in explaining differentials in efficiency estimates. In comparative terms, organic farms exhibit lower efficiency scores vis-à-vis their conventional counterparts in terms of technical and economic efficiency; regarding allocative efficiency both farm types are almost equally inefficient. Low efficiency scores in both types of farming may be attributed to the respective intervention policies of the last 20 years.


2020 ◽  
Vol 1 (36) ◽  
pp. 51-63
Author(s):  
Trac Thanh Ngo ◽  
Nga Thi Thanh Son ◽  
Thanh Ngoc Duong

The study was conducted to evaluate the production efficiency and to analyze the factors affecting the production efficiency of chili farmers in Tra Vinh Province. The results of the study was based on data collected from 125 farmers growing chili in Tra Vinh Province. Using descriptive statistical methods, cost and benefit analysis, data envelope analysis (DEA) and the Tobit regression model to evaluate various contributing factors such as: financial efficiency, technical efficiency (TE), allocative efficiency (AE), cost efficiency/economic efficiency (CE/EE), and other factors effecting the efficiency of chili production. The results show that the average yield is 16.6 tons/ha, the average profit is 101.1 million VND/ha, the ratio of profit/cost is 1.56 perannum. Factors affecting chili productivity are the amount of seed, nitrogen, phosphate, potassium, electricity and labor. The level of technical efficiency achieved is 77%, with low efficiency due to optimum efficiency andwaste production of about 5.5 tons/ha. The level of production efficiency achieved is 21.5 tons/ha. Factors effecting the economic efficiency of households include education levels, production experience, training andunion participation.


2018 ◽  
Vol 2018 ◽  
pp. 1-10 ◽  
Author(s):  
John Kanburi Bidzakin ◽  
Simon C. Fialor ◽  
Dadson Awunyo-Vitor ◽  
Iddrisu Yahaya

Irrigation production is a means by which agricultural production can be increased to meet the growing food demands in the world. This study evaluated the effect of irrigation ecology on farm household technical, allocative, and economic efficiency of smallholder rice farmers. Cross-sectional data was obtained from 350 rice farmers across rain fed and irrigation ecologies. Stochastic frontier analyses are used to estimate the production efficiency and endogenous treatment effect regression model is used to estimate the impact of irrigation ecology on rice production efficiency. The impact of irrigation ecology on technical efficiency is about 0.05, which implies farmers producing under irrigation ecology are more technically efficient in their rice production than those in rain fed production. The impact of irrigation ecology on allocative efficiency is about 0.33, which shows that farmers participating in irrigation farming are more allocatively efficient in their rice production than those in rain fed production. The impact on economic efficiency is about 0.23, meaning that farmers participating in irrigation farming are more economically efficient in their rice production than those in rain fed production. Irrigation ecology has positive impact on production efficiency; hence farmers should be encouraged to produce more under irrigation for increased yield and profit.


Author(s):  
Daniel Hailu ◽  

The study identified the factors that cause variation in the level of efficiency in potato production. The study used household level cross sectional data collected in 2015/16 from 196 sample farmers selected by multistage sampling technique. For the data collection, a personally administered structured questionnaire was used. In the analyses, descriptive statistics, a stochastic frontier model (SFM) and a two-limit Tobit regression model were employed. Tobit model revealed that technical efficiency was positively and significantly affected by education, land tenure status, extension service, credit and soil fertility whereas variables such as sex of household head, age of household head, farm size and land fragmentation affected it negatively. Therefore the study suggested the need for policies to discourage land fragmentation and promote education, extension visits, access to credit and soil fertility for improvement in technical efficiency.


Author(s):  
Rajni Kapoor ◽  
Nimai Das

The study aims to explore labor freedom in the agricultural sector for enhancing the efficiency of farming through policy change towards assigning property rights, rental contracts, and better wage-employment options to rural workers. Labor freedom emphasizes land reform and development policy for improving the economic status and capabilities of rural workers. The paper assessed the labor freedom index, weighted through agricultural property rights, labor wage contracts, and rural development policy. Data envelopment analysis is used to assess farm-level efficiency under the framework of Tobit regression for different size-based farm categories. Farm-level information was collected through a primary survey of 336 rural households of an advanced agricultural state in India. The study found a positive association between farm size and intensity of labor freedom, although the extent of freedom differs among farms. Size-specific variation was also observed for allocative efficiency such that marginal and medium-sized farms are more efficient than smaller ones. Tobit regression indicated labor freedom to be positively and significantly related to the efficiency of marginal, small and overall farms with enhancing efficiency of 25, 17 and nearly 20%, respectively; however, estimates of labor freedom insignificantly increased the efficiency of mediums farms, by 4.8%. This result suggests that labor freedom positive and significantly affects the efficiency of farms in general, and marginal and small farms in particular. Of course, the elasticity estimate of enhancing efficiency through labor freedom for medium farmers is found at a lower level.


Author(s):  
Tewoderos Meleaku ◽  
Degye Goshu ◽  
Bosena Tegegne

Efficiency is an important factor for increasing productivity which leads to increase market output to achieve the goal of food security. In economics where resources are scarce and opportunities to use new technologies are limited, increasing efficiency remains the most reasonable means to raise productivity without necessarily developing new technologies or increasing the resource base. So, this study aimed to investigate level of production efficiency, factors affecting production inefficiency of sorghum small holder farmers in Kafta-humera district of Tigray Ethiopia. A two stage sampling technique was used to select 289 sample farmers who were interviewed using a semi- structured questionnaire to obtain data pertaining to sorghum production during the year 2016/2017.Stochastic production frontier model was used to identify production efficiency levels, where as Tobit models was used to estimate factors affecting production efficiency levels. Accordingly, the mean technical, allocative and economic efficiencies were 78.01%, 65.21% and 39.91% respectively. This implies that output can be increased by 21.99% or cost can be reduced by 34.79% with the existing level of technology and resources. Input variables such as land, labor, tractor plow power, chemicals, DAP and Urea fertilizers positively affects production of sorghum. The discrepancy ratio (γ) implied that about 91.91% of the variation in sorghum production was attributed to technical inefficiency effects. Tobit model revealed that age, education, non-farm income, credit, extension service and training positively and significantly affected technical efficiency while age square and total livestock holding had negatively and significantly affected. Additionally, age square, education and frequency of farm visit positively and significantly affected allocative efficiency, while age, non-farm income, credit and extension contact have a negative and significant affect. Economic efficiency was positively and significantly affected by age, education, non-farm income, credit, extension contact and frequencies of farm visit but negatively affected by age square. These indicate that there is a room to increase in production efficiency of sorghum in the study area. Therefore, government authorities and other concerned bodies should take into consideration the above mentioned demographic, socioeconomic and institutional factors to increase efficiency of sorghum.


2021 ◽  
Vol 5 ◽  
Author(s):  
Alula Tafesse ◽  
Bekele Mena ◽  
Abrham Belay ◽  
Ermias Aynekulu ◽  
John W. Recha ◽  
...  

Due to capital constraints and land scarcity in developing countries, introducing new technology to boost productivity is difficult. As a result, working to improve cassava production efficiency is the best option available. Cassava is increasingly being used as a food source as well as an industrial raw material in the production of economic goods. This study estimates cassava production efficiency and investigates the causes of inefficiency in southern Ethiopia. Cross-sectional data from 158 households were collected using a systematic questionnaire. The Cobb-Douglas (CDs) stochastic frontier production model was used to calculate production efficiency levels. The computed mean result showed technical efficiency (TE), allocative efficiency (AE), and economic efficiency (EE) levels of 74, 90, and 66%, respectively. This demonstrated that existing farm resources could increase average production efficiency by 26, 10, and 34%, respectively. The study found that land size, urea fertilizer application, and cassava planting cut all had a positive and significant effect on cassava production. It was discovered that TE was more important than AE as a source of benefit for EE. Inefficiency effects modeled using the two-limit Tobit model revealed that household head age, level of education, cassava variety, extension contact, rural credit, off-farm activities involvement to generate income, and farm size were the most important factors for improving TE, AE, and EE efficiencies. As a result, policymakers in government should consider these factors when addressing inefficiencies in cassava production. It is especially important to provide appropriate agricultural knowledge through short-term training, to provide farmers with access to formal education, to access improved cassava varieties, and to support agricultural extension services.


Agro Ekonomi ◽  
2016 ◽  
Vol 8 (1) ◽  
pp. 1
Author(s):  
Joko Triastono ◽  
Sri Widodo ◽  
Dwidjono Hadi Darwanto

One of the technological components to attain soybean productivity increase is using a modern varieties. This research aims to evaluate the introduction of a new modern variety of soybean, such as Bromo variety, in Klego Subdistrict, Boyolali District, Central Java on first crop season 1998/1999 season. The objectives of the research were to know the effect of the introduction Bromo variety of soybean on soybean productivity, profit and employment, as well as to know the production efficiency.This research used a cross-sectional data of 50 sample farmers consisted of 25 Bromo variety farmers and 25 Local variety farmers. To know the effect of Bromo variety introduction on productivity, profit and employment, it was used regression analysis with Ordinary Least Square (OLS) method. To test the production efficiency of inputs use was used allocative efficiency test.The results showed that Bromo variety introduction were able to increase productivity 501.71 kg/ha, to increase profit Rp 1,852,370/ha and to increase employment 14.25 mandays/ha. The allocative efficiency test showed that the farmers of Bromo variety and the farmers of Local variety hadn't allocated their inputs efficiently yet. To increase the soybean production, Bromo variety can be recommended


2021 ◽  
Author(s):  
Tolesa Tesema

Abstract Traditionally farming system of rural area in Ethiopia is based on producing maize without oxen ploughing which is characterized with clearing land by their own land and cultivating it without oxen ploughing. Thus for many years the farmers of Ethiopia are unable to meet their food security. This situation is continued currently in the study area in which the production system of maize is based on producing advanced methods of production that need improvements of efficiency of farmers .Therefore these studies analyze economic efficiency and constraints of maize production under shifting in the low land farming of Gudeya Bila district. The study was conducted using cross-sectional data collected during the 2020/2021 production year from 154 randomly selected sample households. To estimate the level of technical, allocative and economic stochastic production frontier model was employed and Tobit model was used to identify factors affecting technical, allocative and economic efficiency of sample households.The mean technical, allocative and economic efficiency were 78.78%, 69.99% and 56.66% respectively. The Tobit model results shows that education levels, family size, farm size, construction of terrace, frequency of extension contact, uses of credit, participation in off/non-farm activities and shifting cultivation had a significant positive effect on technical efficiency. Livestock holding and participation in off/nonfarm activities have positive effects and distance to plot were found to have negative effect on allocative efficiency while family size, soil conservation practice, credit, extension service, off/non-farm activities were found to have positive effect and distance to plot is negative influence on economic efficiency. The main conclusion steaming from this analysis was there is the possibility to enhance the efficiency of maize producers in the study area. Thus policies and strategies of the government should be directed towards the contraction of terrace, shifting from shifting cultivation to oxen farming, producing by fragmented of land rather than focusing only on single plot.


2020 ◽  
Author(s):  
Igwe ikenna UKOHA ◽  
Remy Mejeha ◽  
Jude Nwaru ◽  
Okwudili Ibeagwa ◽  
Ifeanyi Maduike ◽  
...  

Abstract The Prevalence of Farmers’ Deterrence from loan applications has the technical potential to proliferate, the level of financial exclusion in developing countries. Conversely, assessments of the determinants of the aforementioned practices remain limited. In contrast to erstwhile studies, this paper this fills the research gap by offering specific consideration to a divergent methodology in examining the prevalence of smallholder women farmers’ deterrence from MFBs credit, while considering expressions of the premeditated decisions made by the farmers not to apply for loans. Cross-sectional data collected via the administration of questionnaire were further analyzed using the loan deterrence indices model (LDI) and the censored Tobit regression (CTR) model. Evidence from results showed a high prevalence of loan deterrence by the farmers. Furthermore, we find that farm size, age of the respondents, household size, annual income, education level, proximity to bank, and accessibility to account officer are strong drivers of loan deterrence in South-East Nigeria. We recommend that MFBs should make loaning conditions “farmer friendly” by introducing more account officers, educating the farmers on terms and conditions to be met on loan contracts, extending credit to farmers irrespective of their age, farm size and annual income among others.


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