Abstract
Using Data Envelopment Analysis (DEA), this study estimated technical, scale, and pure technical efficiencies for 20 Farmer Producer Organisations (FPOs) in India's hilly state, Sikkim. Despite the financial and non-financial support provided by the central government and many other incentives provided by the state government, the findings indicated that the performance of FPOs in Sikkim was not satisfactory. Only 25 per cent of the sampled FPOs in the state were efficient. The mean values of TE, PTE and SE of FPOs were 0.656, 0.819, and 0.769, respectively. It was found that scale inefficiency was the primary source of technical inefficiency, followed by pure technical inefficiency. The results suggested that FPOs in Sikkim face challenges and need immediate action.
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