International Journal of Food and Agricultural Economics (Jan 2020)

EFFICIENCY DIFFERENTIAL IN RICE PRODUCTION TECHNOLOGIES IN GHANA: A COMPARISON BETWEEN STOCHASTIC AND BIAS-CORRECTED METAFRONTIER APPROACHES

  • Rebecca Owusu

Journal volume & issue
Vol. 8, no. 1
pp. 97 – 110

Abstract

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Productivity in rain-fed and irrigated rice farming ecosystems are very important for Ghana’s self-sufficiency in rice. This paper, therefore, provides a synthesis of the irrigated and rain-fed rice farming ecosystems in Ghana using recent advances in the production economics literature. Specifically, the technical efficiency differential in the irrigated and rain-fed rice farming ecosystems are estimated using stochastic and bias-corrected data envelopment metafrontier methods. Technical efficiency drivers of the individual rice farming ecosystems are also examined. Using a sample of 381 for the modelling, the estimated results showed that farms under the irrigated rice farming ecosystem are more technically efficient (71%) compared to those under the rain-fed rice farming ecosystem (59%). However, overall technical efficiency falls short of about 36%, suggesting a substantial level of inefficiency in both rice farming ecosystems. In addition, the results revealed male farmers are more technically efficient compared to female farmers. Also, membership of farming associations has efficiency reducing effect. The study proposes that to improve rice productivity, resources should be invested in improving the managerial skills of farmers operating under the two rice farming ecosystems and in infrastructural development.

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