Technical efficiency and costs of production among plantain farmers in Oyo state, Nigeria.

Abstract

The paper investigated the cost of plantain production with a view to understanding the functional relationship between cost of production and technical efficiency of the plantain farmers as well as some socioeconomic variables. The data used for this study were collected from a sample survey in Ibadan area of Oyo State in the humid forest zone of Nigeria. The survey covered two local government areas and six villages. Stochastic frontier and cost function were fitted to the dataset. The results revealed that plantain production was profitable in the study area. The results further showed that the farmers were fairly efficient in their use of resources and that greater reductions in cost can be achieved through efficiency improvements. The study concluded that improvements in the efficiency levels of farmers appear to be one clear way to improve plantain productivity.

Keywords: Plantain; Stochastic frontier; Technical efficiency; Cost of production; Nigeria

Moor Journal of Agricultural Research Vol. 7 (1&2) 2006 pp. 107-113