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Crop diversification and technical efficiency in food crop production

Author

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  • Kolawole Ogundari

Abstract

Purpose - The purpose of this paper is to identify the trends in crop diversification (CD) while examining its impact on the technical efficiency of peasant farmers in Nigeria. Design/methodology/approach - The paper employs the Herfindahl and Ogive indices to compute the diversification indices and the stochastic frontier production model (SFPM) to estimate the technical efficiency (TE) level of the farms using unbalanced panel data covering three farming seasons (2006/2007 to 2008/2009). Findings - The results of both the Herfindahl and Ogive indices showed that cropping pattern increased significantly with the intensification of crop diversification in the study across the three seasons. The result of the SFPM shows evidence of decreasing returns‐to‐scale and technical progress in the food crop production in the region. Education, extension, and CD are identified as efficiency increasing policy variables while an average TE level of about 81 percent was obtained from the analysis. Originality/value - To the best of the author's knowledge, this the very first study that employs panel data to analyze technical efficiency of farms in Nigeria.

Suggested Citation

  • Kolawole Ogundari, 2013. "Crop diversification and technical efficiency in food crop production," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 40(3), pages 267-287, February.
    • Handle: RePEc:eme:ijsepp:v:40:y:2013:i:3:p:267-287
    DOI: 10.1108/03068291311291536
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    References listed on IDEAS

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    1. Singh, Sukhpal, 2000. "Contract Farming for Agricultural Diversification in the Indian Punjab: A Study of Performance and Problems," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 55(3), September.
    2. Kumbhakar, Subal C & Ghosh, Soumendra & McGuckin, J Thomas, 1991. "A Generalized Production Frontier Approach for Estimating Determinants of Inefficiency in U.S. Dairy Farms," Journal of Business & Economic Statistics, American Statistical Association, vol. 9(3), pages 279-286, July.
    3. Johannes Sauer & Klaus Frohberg & Henrich Hockmann, 2006. "Stochastic efficiency measurement: The curse of theoretical consistency," Journal of Applied Economics, Universidad del CEMA, vol. 9, pages 139-166, May.
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    Cited by:

    1. Debasis Mithiya & Simanti Bandyopadhyay & Kumarjit Mandal, 2019. "Measuring Technical Efficiency and Returns to Scale in Indian Agriculture Using Panel Data: A Case Study of West Bengal," Applied Economics and Finance, Redfame publishing, vol. 6(6), pages 1-14, November.
    2. Hayatullah Ahmadzai, 2022. "Hope for Change: Is Diversifying Production Portfolios an Ideal Strategy to Boost Farming Efficiency in Afghanistan?," Progress in Development Studies, , vol. 22(1), pages 7-31, January.
    3. Fatima, Hina & Almas, Lal K & Yasmin, Bushra, 2017. "Production Efficiency Analysis of Capsicum (Bell Pepper) Cropping System under the Tunnels in Punjab, Pakistan," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252736, Southern Agricultural Economics Association.
    4. Agnieszka Kurdyś-Kujawska & Agnieszka Strzelecka & Danuta Zawadzka, 2021. "The Impact of Crop Diversification on the Economic Efficiency of Small Farms in Poland," Agriculture, MDPI, vol. 11(3), pages 1-21, March.
    5. S. C. West & A. W. Mugera & R. S. Kingwell, 2022. "The choice of efficiency benchmarking metric in evaluating firm productivity and viability," Journal of Productivity Analysis, Springer, vol. 57(2), pages 193-211, April.
    6. Pavneet Kaur & Naresh Singla & Sukhpal Singh, 2021. "Role of Contract Farming in Crop Diversification and Employment Generation: Empirical Evidence from Indian Punjab," Millennial Asia, , vol. 12(3), pages 350-366, December.
    7. Kotchikpa Gabriel Lawin & Lota Tamini, 2019. "Determinants of Crop Diversification in Burkina Faso - What is the Impact of Risk Preference?," CIRANO Working Papers 2019s-07, CIRANO.
    8. Ogundari, Kolawole, 2013. "Determinants of food-poverty states and the demand for dietary diversity in Nigeria," 2013 Fourth International Conference, September 22-25, 2013, Hammamet, Tunisia 161302, African Association of Agricultural Economists (AAAE).
    9. Hayatullah Ahmadzai, 2017. "Crop Diversification and Technical Efficiency in Afghanistan: Stochastic Frontier Analysis," Discussion Papers 2017-04, University of Nottingham, CREDIT.
    10. Lawin, Kotchikpa G. & Tamini, Lota D., 2017. "Risk preferences and crop diversification amongst smallholder farmers in Burkina Faso," Annual Meeting, 2017, June 18-21, Montreal, Canada 258058, Canadian Agricultural Economics Society.
    11. Nguyen-Anh, Tuan & Hoang-Duc, Chinh & Tiet, Tuyen & Nguyen-Van, Phu & To-The, Nguyen, 2022. "Composite effects of human, natural and social capitals on sustainable food-crop farming in Sub-Saharan Africa," Food Policy, Elsevier, vol. 113(C).
    12. Villano, Renato & Asante, Bright Owusu & Bravo-Ureta, Boris, 2019. "Farming systems and productivity gaps: Opportunities for improving smallholder performance in the Forest-Savannah transition zone of Ghana," Land Use Policy, Elsevier, vol. 82(C), pages 220-227.
    13. Nguyen, Huy, 2014. "Crop diversification, economic performance and household’s behaviours Evidence from Vietnam," MPRA Paper 59090, University Library of Munich, Germany.
    14. Kazakova-Mateva, Yanka & Radeva-Decheva, Donka, 2015. "The role of agroecosystems diversity towards sustainability of agricultural systems," 147th Seminar, October 7-8, 2015, Sofia, Bulgaria 212250, European Association of Agricultural Economists.
    15. Zainab Oyetunde-Usman & Kehinde Oluseyi Olagunju, 2019. "Determinants of Food Security and Technical Efficiency among Agricultural Households in Nigeria," Economies, MDPI, vol. 7(4), pages 1-13, October.
    16. Weiying Liu & Sriram Shankar & Lihua Li, 2021. "Is specialization a strategy to improve farm efficiency in northwest China?," Review of Development Economics, Wiley Blackwell, vol. 25(3), pages 1695-1710, August.
    17. Hayatullah Ahmadzai, 2017. "Status, patterns, and microeconomic drivers of the extent of diversity in crop production: Evidence from Afghanistan," Discussion Papers 2017-07, University of Nottingham, CREDIT.
    18. Abdul Razak Baba & Abdul-Malik Abdulai, 2021. "Determinants of Crop Diversification and Its Effects on Household Food Security in Northern Ghana," Arthaniti: Journal of Economic Theory and Practice, , vol. 20(2), pages 227-245, December.
    19. Gideon, Danso-Abbeam & Brightina, A.A. Abban & Samuel, A. Donkoh, 2017. "Off-Farm Participation And Technical Efficiency Among Smallholder Farmers In The Northern Region, Ghana," APSTRACT: Applied Studies in Agribusiness and Commerce, AGRIMBA, vol. 11(01-2), September.
    20. Khanal, Uttam & Wilson, Clevo & Shankar, Sriram & Hoang, Viet-Ngu & Lee, Boon, 2018. "Farm performance analysis: Technical efficiencies and technology gaps of Nepalese farmers in different agro-ecological regions," Land Use Policy, Elsevier, vol. 76(C), pages 645-653.
    21. Nguyen, Huy Quynh, 2017. "Analyzing the economies of crop diversification in rural Vietnam using an input distance function," Agricultural Systems, Elsevier, vol. 153(C), pages 148-156.

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