Technical inefficiency and competitiveness in production: the case of rice farmers in Niger state, Nigeria.

Abstract

The study examined technical inefficiency and competitiveness among rice farmers
in Niger State, Nigeria. Data for the analysis came from a random sample survey of the area of study. A Single-stage (Cobb-Douglas based stochastic frontier production function was used in analyzing the data. Evidence from the analysis indicates that the coefficient of land, male family labour and female family labour are 0.1354, 0.2713 and 0.2842 respectively. Those for hired labour, miscellaneous cost and improved seeds are 0.1637, 0.1165 and 0.5432 in that order. With coefficient of 0.5432, improved seeds tend to have the greatest impact on rice production. This is followed by female family labour. The coefficient of female family/ male family labour ratio indicated that the contribution of female and male to output is not the same. The average technical efficiency of about 0.81 is obtained. The average technical inefficiency is thus 0.19. The results of the inefficiency model show that farming experience, extension visits, and ratio of number of female to household size is negative and significant. The implication is that increases in these variables reduce the technical inefficiency of the farmers. About 85% of the farmers have their technical efficiency being greater than or equal to the mean technical efficiency. Rice production is thus classified as being competitive. Farm expansion, access to improved seeds, training programme and effective extension delivery services system measures were recommended.

Keywords: Technical inefficiency, competitiveness, rice farmers, Niger state,
Nigeria.

Agrosearch Vol. 8 (1&2) 2006: pp. 67-80