Analysis of technical efficiency among rice farmers in Ebonyi State of Nigeria: A stochastic frontier approach

Abstract

This paper analysed the technical efficiency of rice farmers in Ebonyi State, Nigeria. It specifically analysed the levels and determinants of technical  efficiency. A multistage sampling technique was adopted for sample selection. A total of 150 well-structured questionnaires were distributed but only 91 were returned. The Cobb-Douglas production function model was used to predict the farm level technical efficiency. Results from the Cobb- Douglas Regression showed a sigma square (σ2) of 0.06584 which was statistically significant at 1 percent. The technical efficiency scores among the rice farmers ranged from 0.012 to 1.000 with a mean of 0.350. Farm size, quantity of rice seedlings, quantity of fertilizer and quantity of  agrochemical all were showed positive correlation with coefficients of 0.93511, 0.08310, 0.11200 and 0.14345 respectively while farm labour showed  a negative correlation with technical efficiency. The determinants of technical inefficiency were age, household size and extension visits. This paper advocates the strengthening of existing extension system for timely sourcing of highly improved rice varieties and subsidized fertilizer. There is the need to enhance farmers’ technical efficiency through adequate training on optimum input mix.

Keywords: Rice production, technical efficiency, cobb-douglas production function