IDEAS home Printed from https://ideas.repec.org/p/ags/aare12/124423.html
   My bibliography  Save this paper

A Non-Parametric Analysis of Rice Production Efficiency in Sri Lanka

Author

Listed:
  • Thibbotuwawa, Manoj
  • Mugera, Amin W.
  • White, Benedict

Abstract

This article investigates the production efficiency of rice farming in Sri Lanka using cross section survey data of 90 farms. Past studies on rice farming have mostly focused on technical efficiency (TE). Here, we examine technical efficiency, allocative efficiency (AE) and cost efficiency (CE) using the data envelopment analysis (DEA) approach. On average, the farms were 87% technically efficient; irrigated farms were more efficient (88%) than rain-fed farms (82%). Average cost, allocative and scale efficiencies were 73%, 84% and 87%. Bias corrected TE estimate suggests an expected output expansion of 25% with a given input combination in order to become fully efficient as opposed to 16% based on the original estimates. In addition, a second stage Tobit regression shows that efficiency is influenced by farm size, water security, ownership, seed quality, family labour endowment and female labour participation.

Suggested Citation

  • Thibbotuwawa, Manoj & Mugera, Amin W. & White, Benedict, 2012. "A Non-Parametric Analysis of Rice Production Efficiency in Sri Lanka," 2012 Conference (56th), February 7-10, 2012, Fremantle, Australia 124423, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare12:124423
    DOI: 10.22004/ag.econ.124423
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/124423/files/2012AC%20Rajakaruna%20Mudalige%20CP.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.124423?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Leopold Simar & Paul Wilson, 2000. "A general methodology for bootstrapping in non-parametric frontier models," Journal of Applied Statistics, Taylor & Francis Journals, vol. 27(6), pages 779-802.
    2. Thiruchelvam, S., 2005. "Agricultural Production Efficiency of Bethma Cultivation in Mahaweli System H," Sri Lankan Journal of Agricultural Economics, Sri Lanka Agricultural Economics Association (SAEA), vol. 7, pages 1-21.
    3. Olson, Kent D. & Vu, Linh, 2007. "Economic Efficiency and Factors Explaining Differences Between Minnesota Farm Households," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon 9827, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Kikuchi, M. & Barker, R. & Samad, M. & Weligamage, P., 2002. "Comparative Advantage of Rice Production in An Ex-Rice-Importing Country: The Case of Sri Lanka, 1968-97," 2002 ASAE 3rd International Conference, October 18-20, Jaipur, India 294715, Asian Society of Agricultural Economists (ASAE).
    5. Basanta R. Dhungana & Peter L. Nuthall & Gilbert V. Nartea, 2004. "Measuring the economic inefficiency of Nepalese rice farms using data envelopment analysis," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 48(2), pages 347-369, June.
    6. Marc Jim Mariano & Renato Villano & Euan Fleming, 2011. "Technical Efficiency of Rice Farms in Different Agroclimatic Zones in the Philippines: An Application of a Stochastic Metafrontier Model," Asian Economic Journal, East Asian Economic Association, vol. 25(3), pages 245-269, September.
    7. Mugera, Amin W. & Langemeier, Michael R., 2011. "Does Farm Size and Specialization Matter for Productive Efficiency? Results from Kansas," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 43(4), pages 515-528, November.
    8. Renato Villano & Euan Fleming, 2006. "Technical Inefficiency and Production Risk in Rice Farming: Evidence from Central Luzon Philippines," Asian Economic Journal, East Asian Economic Association, vol. 20(1), pages 29-46, March.
    9. Tim Coelli & Sanzidur Rahman & Colin Thirtle, 2002. "Technical, Allocative, Cost and Scale Efficiencies in Bangladesh Rice Cultivation: A Non‐parametric Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(3), pages 607-626, November.
    10. Frantisek Brazdik, 2006. "Non-Parametric Analysis of Technical Efficiency: Factors Affecting Efficiency of West Java Rice Farms," CERGE-EI Working Papers wp286, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    11. Alexander Gocht & Kelvin Balcombe, 2006. "Ranking efficiency units in DEA using bootstrapping an applied analysis for Slovenian farm data," Agricultural Economics, International Association of Agricultural Economists, vol. 35(2), pages 223-229, September.
    12. Wadud, Md. Abdul., 2003. "Technical, Allocative, and economic efficiency of farms in Bangladesh: a stochastic frontier and DEA approach," Journal of Developing Areas, Tennessee State University, College of Business, vol. 37(1), pages 109-126, September.
    13. Abdul Wadud & Ben White, 2000. "Farm household efficiency in Bangladesh: a comparison of stochastic frontier and DEA methods," Applied Economics, Taylor & Francis Journals, vol. 32(13), pages 1665-1673.
    14. Kelvin Balcombe & Iain Fraser & Mizanur Rahman & Laurence Smith, 2007. "Examining the technical efficiency of rice producers in Bangladesh," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(1), pages 1-16.
    15. Stefan Bäckman & K.M. Zahidul Islam & John Sumelius, 2011. "Determinants of Technical Efficiency of Rice Farms in North-Central and North-Western Regions in Bangladesh," Journal of Developing Areas, Tennessee State University, College of Business, vol. 45(1), pages 73-94, July-Dece.
    16. Richard T. Yao & Gerald E. Shively, 2007. "Technical Change and Productive Efficiency: Irrigated Rice in the Philippines," Asian Economic Journal, East Asian Economic Association, vol. 21(2), pages 155-168, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Thibbotuwawa, Manoj & Mugera, Amin & White, Ben, 2013. "Production Efficiency and Technology Gap in Irrigated and Rain-fed Rice Farming Systems in Sri Lanka: Non Parametric Approach," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152181, Australian Agricultural and Resource Economics Society.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Thibbotuwawa, Manoj & Mugera, Amin & White, Ben, 2013. "Production Efficiency and Technology Gap in Irrigated and Rain-fed Rice Farming Systems in Sri Lanka: Non Parametric Approach," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152181, Australian Agricultural and Resource Economics Society.
    2. Muhammad Arif Watto & Amin W. Mugera, 2014. "Measuring Production and Irrigation Efficiencies of Rice Farms: Evidence from the Punjab Province, Pakistan," Asian Economic Journal, East Asian Economic Association, vol. 28(3), pages 301-322, September.
    3. Watkins, K. Bradley & Hristovska, Tatjana & Mazzanti, Ralph & Wilson, Charles E., Jr., "undated". "Measuring Technical, Allocative, and Economic Efficiency of Rice Production in Arkansas using Data Envelopment Analysis," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 142962, Southern Agricultural Economics Association.
    4. Osti, Surendra & Bampasidou, Maria & Fannin, J. Matthew, 2018. "Revisiting Farm efficiency of Rice-Crawfish farmers: Accounting for the H-2A program," 2018 Annual Meeting, August 5-7, Washington, D.C. 274339, Agricultural and Applied Economics Association.
    5. Kelvin Balcombe & Iain Fraser & Laure Latruffe & Mizanur Rahman & Laurence Smith, 2008. "An application of the DEA double bootstrap to examine sources of efficiency in Bangladesh rice farming," Applied Economics, Taylor & Francis Journals, vol. 40(15), pages 1919-1925.
    6. Abatania, Luke N. & Hailu, Atakelty & Mugera, Amin W., 2012. "Analysis of farm household technical efficiency in Northern Ghana using bootstrap DEA," 2012 Conference (56th), February 7-10, 2012, Fremantle, Australia 124211, Australian Agricultural and Resource Economics Society.
    7. Vu Hoang Linh, 2012. "Efficiency of rice farming households in Vietnam," International Journal of Development Issues, Emerald Group Publishing Limited, vol. 11(1), pages 60-73, April.
    8. Khanal, Aditya & Koirala, Krishna & Regmi, Madhav, 2016. "Do Financial Constraints Affect Production Efficiency in Drought Prone Areas? A Case from Indonesian Rice Growers," 2016 Annual Meeting, February 6-9, 2016, San Antonio, Texas 230087, Southern Agricultural Economics Association.
    9. Watkins, K. Bradley & Hristovska, Tatjana & Mazzanti, Ralph & Wilson, Charles E. Jr & Schmidt, Lance, 2014. "Measurement of Technical, Allocative, Economic, and Scale Efficiency of Rice Production in Arkansas Using Data Envelopment Analysis," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 46(1), pages 1-18, February.
    10. Ali D. Cagdas & Scott R. Jeffrey & Elwin G. Smith & Peter C. Boxall, 2016. "Environmental Stewardship and Technical Efficiency in Canadian Prairie Canola Production," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 64(3), pages 455-477, September.
    11. Speelman, Stijn & D'Haese, Marijke F.C. & Buysse, Jeroen & D'Haese, Luc, 2007. "Technical efficiency of water use and its determinants, study at efficiencies in small-scale irrigation schemes in North-West Province, South Africa," 106th Seminar, October 25-27, 2007, Montpellier, France 7904, European Association of Agricultural Economists.
    12. Speelman, Stijn & D'Haese, Marijke & Buysse, Jeroen & D'Haese, Luc, 2008. "A measure for the efficiency of water use and its determinants, a case study of small-scale irrigation schemes in North-West Province, South Africa," Agricultural Systems, Elsevier, vol. 98(1), pages 31-39, July.
    13. Álvaro Ramírez Suárez, 2013. "Análisis de eficiencia económica de fincas arroceras: una aplicación de una función determinística de ingresos brutos frontera," Revista Lebret, Universidad Santo Tomás - Bucaramanga, vol. 5, pages 213-240, December.
    14. Pereira, Helga & Marques, Rui Cunha, 2017. "An analytical review of irrigation efficiency measured using deterministic and stochastic models," Agricultural Water Management, Elsevier, vol. 184(C), pages 28-35.
    15. Maurice Ogada & Dianah Muchai & Germano Mwabu & Mary Mathenge, 2014. "Technical efficiency of Kenya’s smallholder food crop farmers: do environmental factors matter?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 16(5), pages 1065-1076, October.
    16. Asghar, Sobia & Tsusaka, Takuji W. & Jourdain, Damien & Saqib, Shahab E. & Sasaki, Nophea, 2022. "Assessing the efficiency of smallholder sugarcane production: The case of Faisalabad, Pakistan," Agricultural Water Management, Elsevier, vol. 269(C).
    17. Álvaro Ramírez Suárez, 2013. "Análisis de eficiencia económica de fincas arroceras: una aplicación de una función determinística de ingresos brutos frontera," Revista Lebret, Universidad Santo Tomás - Bucaramanga, vol. 5, pages 213-240, December.
    18. Anik, Asif Reza & Breustedt, Gunnar & Bauer, Siegfried, 2011. "The Impact of Corruption on Farmers' Efficiency in Rice Production: A Natural Experiment from Bangladesh," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114224, European Association of Agricultural Economists.
    19. Watto, Muhammad, 2013. "Measuring Groundwater Irrigation Efficiency in Pakistan: A DEA Approach Using the Sub-vector and Slack-based Models," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152204, Australian Agricultural and Resource Economics Society.
    20. Watto, Muhammad Arif & Mugera, Amin William, 2013. "Measuring Groundwater Irrigation Efficiency in Pakistan: A DEA Approach Using the Sub-vector and Slack-based Models," Working Papers 144943, University of Western Australia, School of Agricultural and Resource Economics.

    More about this item

    Keywords

    Crop Production/Industries;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aare12:124423. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaresea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.