EFFICIENCY ANALYSIS OF YAM PRODUCTION IN YORRO LOCAL GOVERNMENT AREA OF TARABA STATE, NIGERIA

Abstract

The study examined efficiency of yam (Dioscorea spp.) production in Yorro Local Government Area of Taraba State, Nigeria. The objectives of the study were to determine technical, allocative and economic efficiencies of yam farmers in the study area. Multi-stage random sampling methods were employed to select 247 yam farmers in the area. Data collected were analyzed using stochastic frontier production model. The results of the maximum likelihood estimate of production function showed that, farm size, seed/setts, and fertilizer were significant inputs utilized for production among farmers in the study area. The mean technical efficiency of yam farmers was 0.94. Similarly, the results of the maximum likelihood estimate of the cost function indicated that cost of seed/setts, fertilizer, agrochemicals and labour were the significant cost associated with yam production in the study area. The mean allocative and economic efficiencies were 0.95 and 0.89 respectively. The study therefore concluded that majority of yam farmers in Yorro Local Government Area of Taraba state, Nigeria operated at the maximum efficiency level indicating that there was little efficiency gap hence there is still scope for improvement of yam production in the study area. The study recommends investments by individuals, private organizations and government in yam production so that farmers could increase output through more intensive and efficient use of available resources given the current state of technology.