Analysis of technical efficiency of smallholder tomato producers in Asaita district, Afar National Regional State, Ethiopia

Dagmawe Menelek Asfaw

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Efficiency Analysis Using DEA Agricultural economics and policies Agricultural Innovations and Practices

Abstract

The tomato had nutritional, economic and health benefits to the societies, however, its production and productivity were low in developing countries and particularly in Ethiopia. This might be due to technical inefficiency caused by institutional, governmental, and farmers related factors. Therefore this study tried to investigate the factors that affecting technical efficiency and estimating the mean level of technical efficiency of tomato producers in Asaita district, Afar Regional State, Ethiopia. Both primary and secondary data sources were used; the primary data was collected from 267 tomato producers from the study area cross-sectional by using a multistage sampling technique. The single-stage stochastic frontier model and Cobb Douglas production function were applied and statistical significance was declared at 0.05. The maximum likelihood estimates of the stochastic frontier model showed that land, labor, tomato seed, and oxen have a significant effect on tomato output; and education, extension contact, training, and access to credit have a positive and significant effect on technical efficiency, whereas household size, off-farm income, livestock ownership, distance to market, and pesticides have a worthy and significant effect on technical efficiency; and also estimated mean technical efficiency of tomato producer in a study area was 80.9%. In a line with this, the responsible body should prioritize rural infrastructure development in areas such as education, marketplace, and farmer training centers; demonstrate access to credit and extension services; use the recommended amount of pesticides per hectare, and give more intension to mixed farming rather than animal husbandry exclusively.

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References

2004Research Methodology: Methods and Techniques 1977Formulation and estimation of stochastic frontier production function models 1977Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error 1995A model for technical inefficiency effects in a stochastic frontier production function for panel data 2019Analysis of technical efficiency of small holder wheat-growing farmers of Jamma district, Ethiopia 2019Technical efficiency of smallholder farmers in red pepper production in North Gondar zone Amhara regional state, Ethiopia 2008Economic Efficiency and Marketing performance of Vegetable Production in the Eastern and Central Parts of Ethiopia 2012Technical Efficiency of Irrigated and Rain-Fed Smallholder Agriculture in Tigray, Ethiopia: A Comparative Stochastic Frontier Production Function Analysis

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