Efficiency measurement of edible canna production in Vietnam

Abstract

Edible canna cultivation was considered as one of the potential means to create job, contribute to increase income and reduce poverty for local communities in developing countries such as Vietnam. The study objective was to analyze the efficiency of edible canna production in Vietnam and subsequently to determine the factors affecting its inefficiency. The data envelopment analysis (DEA) was first applied to measure technical, scale, allocative and economic efficiency. The Tobit model was then applied to investigate what factors affecting the inefficiency scores of edible canna production in Vietnam. The data of 346 farmers gathered by face-to-face interviews was used to analyze in this study. The findings unveiled that mean pure technical efficiency (PTE) was highest (0.752), followed by scale efficiency (0.681), overall technical efficiency (0.513) and economic efficiency (0.258). Tobit regression analysis revealed that age, education and extension contact individually had a significantly negative impact on inefficient scores of farms, indicating that government should provide public investment policies tailoring in training, developing well-functioned extension systems as well as enhancing education level to improve the productivity of edible canna production in Vietnam efficiently.

Keywords

• data envelopment analysis (dea)
• edible canna farms
• efficiency
• tobit model
• vietnam