The technical and cost efficiencies of hybrid maize production in western Ethiopia

Conventional farmer efficiency studies have addressed the question of whether possibilities exist for inexpensive gains in production through better use of traditional technology. The question of whether the production potentials of new seed technologies have been fully exploited by poor farmers has...

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Autores principales: Alene, D., Hassan, R., Demeke, M.
Formato: Journal Article
Lenguaje:Inglés
Publicado: 2005
Materias:
Acceso en línea:https://hdl.handle.net/10568/91874
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author Alene, D.
Hassan, R.
Demeke, M.
author_browse Alene, D.
Demeke, M.
Hassan, R.
author_facet Alene, D.
Hassan, R.
Demeke, M.
author_sort Alene, D.
collection Repository of Agricultural Research Outputs (CGSpace)
description Conventional farmer efficiency studies have addressed the question of whether possibilities exist for inexpensive gains in production through better use of traditional technology. The question of whether the production potentials of new seed technologies have been fully exploited by poor farmers has rarely been a concern. This paper uses a translog stochastic frontier and inefficiency model to analyze technical efficiency and the factors underlying efficiency differentials among a sample of hybrid maize producers in western Ethiopia. It also uses a dual cost frontier model to compute the cost efficiency of the sample farmers. The results revealed an average technical inefficiency of 25%, showing that farmers actually operate with substantial inefficiency under new technology. This suggests that a considerable maize yield potential remains to be exploited through better use of the technology. An average cost inefficiency of 39% was obtained from the dual model, indicating that farmers could raise the profitability of maize production by 39% by fully adjusting input use. In view of the prevailing high prices of fertilizer against very low price of maize, fertilizer cost inefficiencies among farmers were mainly due to the use of more, rather than less, fertilizer, and this indicates the divergence between economic and biological optimum arising from unfavorable input and output prices facing the farmers. Education, provision of input credit, land tenure, and timely availability of critical inputs are found to be important factors influencing the technical efficiency of maize farmers.
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spelling CGSpace918742023-06-12T21:12:30Z The technical and cost efficiencies of hybrid maize production in western Ethiopia Alene, D. Hassan, R. Demeke, M. maize technology farmers fertilizers dual cost frontier technical efficiency cost efficiency Conventional farmer efficiency studies have addressed the question of whether possibilities exist for inexpensive gains in production through better use of traditional technology. The question of whether the production potentials of new seed technologies have been fully exploited by poor farmers has rarely been a concern. This paper uses a translog stochastic frontier and inefficiency model to analyze technical efficiency and the factors underlying efficiency differentials among a sample of hybrid maize producers in western Ethiopia. It also uses a dual cost frontier model to compute the cost efficiency of the sample farmers. The results revealed an average technical inefficiency of 25%, showing that farmers actually operate with substantial inefficiency under new technology. This suggests that a considerable maize yield potential remains to be exploited through better use of the technology. An average cost inefficiency of 39% was obtained from the dual model, indicating that farmers could raise the profitability of maize production by 39% by fully adjusting input use. In view of the prevailing high prices of fertilizer against very low price of maize, fertilizer cost inefficiencies among farmers were mainly due to the use of more, rather than less, fertilizer, and this indicates the divergence between economic and biological optimum arising from unfavorable input and output prices facing the farmers. Education, provision of input credit, land tenure, and timely availability of critical inputs are found to be important factors influencing the technical efficiency of maize farmers. 2005 2018-03-23T06:48:56Z 2018-03-23T06:48:56Z Journal Article https://hdl.handle.net/10568/91874 en Limited Access Alene, D., Hassan, R. & Demeke, M. (2005). The technical and cost efficiencies of hybrid maize production in western Ethiopia. Quarterly Journal of International Agriculture, 44(2), 167-181.
spellingShingle maize
technology
farmers
fertilizers
dual cost frontier
technical efficiency
cost efficiency
Alene, D.
Hassan, R.
Demeke, M.
The technical and cost efficiencies of hybrid maize production in western Ethiopia
title The technical and cost efficiencies of hybrid maize production in western Ethiopia
title_full The technical and cost efficiencies of hybrid maize production in western Ethiopia
title_fullStr The technical and cost efficiencies of hybrid maize production in western Ethiopia
title_full_unstemmed The technical and cost efficiencies of hybrid maize production in western Ethiopia
title_short The technical and cost efficiencies of hybrid maize production in western Ethiopia
title_sort technical and cost efficiencies of hybrid maize production in western ethiopia
topic maize
technology
farmers
fertilizers
dual cost frontier
technical efficiency
cost efficiency
url https://hdl.handle.net/10568/91874
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