Measuring Technical Efficiency of the Smallholder Crop Farms Using Stochastic Production Frontier Approach

Abstract

Agricultural productivity in Africa is the lowest in the world with many households not being able to feed themselves. In Africa, women play a major role in agriculture sector constituting about 70–80 per cent of the labour force there. Regrettably, their farm productivity is relatively low mainly due to their inefficient use of farm inputs, which has a serious implication for their socio-economic condition as well as health and nutrition status. With this backdrop in mind, the study investigated the technical efficiency (TE) of the female crop farmers in Niger Delta, Nigeria. Stochastic production frontier approach and ANOVA models were applied to analyse the primary data collected on the 216 female farmers randomly selected from 18 communities of the 3 states in the Delta. It has been found that the farm size and the quantity of labour positively influence TE of these farmers. However, farmer’s age shows a negative sign implying a decrease in technical inefficiency in age whereas the years of schooling shows a positive sign implying an increase in inefficiency with schooling thereby a resulting decrease in TE with schooling. Farm efficiency level in Delta and Akwa Ibom States was not significantly different. However, TE level in both Delta and Akwa Ibom States was significantly different from Rivers State. Since, the age of farmers showed positive influence on TE, farmers should form group and organise regular meetings to enable share knowledge and experiences on the efficient use of farm resources in the Niger Delta Region, Nigeria.