Evaluating the Factors Affecting the Technical Efficiency of Agricultural Production Cooperatives in Golestan Province

Abstract

This study aimed to evaluate the Factors Affecting the Technical Efficiency of Agricultural Production Cooperatives in Golestan Province by using the data envelopment analysis method with a product-oriented approach and constant and variable returns to scale. The required data was obtained in the field and by completing a questionnaire and interviewing the managers of 36 agricultural production cooperatives active in Golestan province in 2020. To evaluate the technical efficiency, the Tobit regression model has also been used to investigate the factors affecting performance. The results show that the average technical efficiency of the surveyed cooperatives under the conditions of fixed returns and variable returns to the scale is almost equal; Therefore, agricultural production cooperatives in Golestan province are faced with a high level of scale efficiency. The results show that 69% of companies have fixed returns, 25% have descending returns and 6% have upward returns to the scale of production. The results of the study of factors affecting technical efficiency also indicate that the age variable has a negative and significant effect on performance. Also, the asset variable has a positive and significant effect on efficiency. The average values of technical and managerial efficiency show that it is possible to increase the output by 13% with the same amount of input. It is necessary to increase the efficiency of production cooperatives by supporting young people and using them in the field of production and providing the necessary funds for companies.

Keywords

• data envelopment analysis
• technical efficiency
• agricultural production cooperatives
• variable return to scale