Analysis of technical and economic efficiencies of Fadama and non-Fadama arable crop farmers in Imo state

Abstract

The study analyzed the technical and economic efficiencies of Fadama and non-Fadama arable crop farmers in Imo state, Nigeria, with focus was on the estimation and comparison of their levels of technical and economic efficiencies. A multi stage sampling technique was employed in the
selection of both the study location and respondents. One hundred and twenty (120) Fadama farmers formed the sample size. Also, 120 non-Fadama farmers were drawn using the same technique for comparison purposes. Data were analyzed using t-test and stochastic frontier model.
Results indicates that the maximum technical efficiency value of Fadama farmers was 87%, while on the part of the non-Fadama farmers, technical efficiency ranged from 0.01 to 0.76 with a mean of 0.50. In terms of economic efficiency, the Fadama farmers posted a mean economic efficiency of 0.52, while their non-Fadama counterparts recorded 0.49. Comparing their efficiency, the coefficient of the difference in technical efficiency is statistically significant. However, the difference in their economic efficiency is not significant. This implies that the Fadama farmers were more technically efficient than economic. The study recommends a reorganization of the ADP extension system to sell the Fadama production technology to more farmers and enhance their productive potentials and capacity.

Keywords: Arable agriculture, Fadama, crop farmers, production technology