Stefan Bäckman

Determinants of Technical Efficiency of Rice Farms in North-Central and North-Western Regions in Bangladesh

This paper estimates a quadratic stochastic frontier production function to examine the determinants of technical efficiency in rice farming in Bangladesh using the computer program FRONTIER 4.1. Primary data has been collected using multi-stage random sampling technique from twelve villages in north-central and north-western regions in Bangladesh. Rice cultivation displayed much variability in technical efficiency ranging from 0.16 to 0.94 with mean technical efficiency of 0.83 which suggested substantial gains in output with available resources and existing technologies. The analysis of the determinants of technical efficiency revealed that the age and education of the household heads, availability of off-farm incomes, land fragmentation, access to microfinance, extension visits, and regional variation were the major factors that caused efficiency differentials among the farm households studied. Hence, the study proposes strategies such as providing better extension services and farmer training programs, ensuring access to agricultural microfinance, reducing land fragmentation and raising educational level of the farmers to enhance technical efficiency.

Review of studies on the establishment and management of policies for multifunctionality

This paper presents a review of the topics in existing research on the establishment and management of public policies for multifunctional purposes. The review is a complete survey of studies carried out in five countries: Finland, Germany, Ireland, Latvia and UK. The viewpoints adopted in developing countries were also surveyed. The concepts, adaptation and implementation of MFA as well as the research carried out were found to vary considerably in the surveyed countries. Several gaps in research were identified. A summary of national policies as well as of the topics studied is presented. 10 areas in which additional research is required are presented.

Crop and soil specific N and P efficiency and productivity in Finland

This paper estimates a stochastic production frontier based on experimental data of cereals production in Finland over the period 1977-1994. The estimates of the production frontier are used to analyze nitrogen and phosphorous productivity and efficiency differences between soils and crops. For this input specific efficiencies are calculated. The results can be used to recognize relations between fertilizer management and soil types as well as to learn where certain soil types and crop combinations require special attention to fertilization strategy. The combination of inputs as designed by the experiment shows significant inefficiencies for both N and P. The measures of mineral productivity and efficiency indicate that clay is the most mineral efficient and productive soil while silt and organic soils are the least efficient and productive soils. Furthermore, a positive correlation is found between mineral productivity and efficiency. The results indicate that substantial technical efficiency differences between different experiments prevail.

Technical efficiency and its determinants in smallholder rice production in northern Ghana

Agriculture remains a dominant economic sector in many developing countries including Ghana. Agricultural production is however dominated by smallholders who are usually classified as being resource-poor. Ensuring that smallholder farmers make efficient use of scarce resources in their production activities is therefore very important to help raise the level of productivity at the small farm sector. Improving agricultural productivity also requires an understanding of the current productive capacity of farmers given the level of technology as well as the factors affecting their efficiency. The current study was therefore carried out to estimate the technical efficiency of smallholder rice farms in Northern Ghana as well as the determinants of inefficiency using data from a cross-section of 300 smallholder farm households. A multi-stage stratified random sampling approach was used to collect data which was fitted to a stochastic frontier production function incorporating an inefficiency effects model. A quadratic form of the production function was specified to represent the production frontier of rice farms based on a preliminary test of the appropriate functional form. The study revealed that the mean technical efficiency of rice farms was 63.8 percent, indicating that farmers are producing below their maximum potential at the current level of technology. Hence without increasing the current level of input use, producers in the study area can potentially increase their efficiency by 36.2 percent at the current level of technology. Apart from seed, all the conventional inputs were significant in their influence on rice output. The determinants of technical efficiency were gender of the farmer, years of formal education, membership of farmers’ association and specialization in rice production. Male farmers as well as less educated farmers were more efficient in production. Similarly, farmers who belonged to a farmers’ organization as well as producers with higher degree of specialization in rice production were found to be more efficient. Irrigation shifted the production frontier upwards indicating higher productivity with irrigation use. Similarly, farmers who double-cropped their fields and farmers in the Northern Region were located on a higher production frontier. The study recommends the expansion of irrigation access to farmers as well as incentivizing farmer-based organizations to enhance the efficiency of farmers in the study area. Access to irrigation will also facilitate double cropping leading to improved rice production in Northern Ghana. Furthermore, specific factors limiting production efficiency of farmers in the Upper East Region require investigation and remedies to improve the efficiency of farmers in that area.