Abstract

Maize is Ethiopia‘s staple crop and is widely grown by smallholder farmers in most part. However, the productivity of this crop is remaining low relative to the potential available in the country. These have aggravated the food insecurity situation by widening the gap between demand for and supply of food. In Ethiopia, information on the determinants of economic efficiency and levels of smallholder maize production is lacking. This paper was aimed at reviewing the determinants of economic efficiency and the level of technical, allocative and economic efficiency of smallholder maize production in Ethiopia. In these review determinants like age, sex, education, livestock holding, frequency of contact with extension agent, participation in off/non-farm income, household perception, credit use, distance, mobile use, land fragmentation, land ownership and soil fertility were identified as the main determinants of economic efficiency of smallholder maize production in Ethiopia. The level technical, allocative and economic efficiency were different author to author through the review. This indicated that the smallholder maize producer in Ethiopia encountered the problem of inefficiency in maize production. Hence, planning and implementing suitable policy intervention by focusing on the abovementioned determinants are important in Ethiopia.

Highlights

  • Maize (Zea May L.) was originated in America and it is the world’s third most important food crop next to rice and wheat

  • In 2018, maize production was 4.2 million tones, 40% higher than teff and 75% higher than wheat production

  • Bealu et al [8] studies conducted on factors affecting economic efficiency in maize production in Ethiopia, based on data collected from 204 randomly selected farmers, indicated as there was significant level of inefficiency among maize farmers

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Summary

Introduction

Maize (Zea May L.) was originated in America and it is the world’s third most important food crop next to rice and wheat. 124 Mideksa Dabessa Iticha: Review on Determinants of Economic Efficiency of Smallholder Maize Production in Ethiopia importer of grain, it is the largest maize producer in sub-Saharan Africa. Among crops grown in Ethiopia, maize is the most important cereal crop in terms of total production, area coverage and better availability and utilization of new production technologies [15]. It is the highly demanded food crop in the South -western part of Ethiopia. This review intended to assess the determinants of economic efficiency and the level of technical, allocative and economic efficiency of smallholder maize production in Ethiopia

Concept and Definition of Terminologies
Reviews on Methods for Estimation of Economic Efficiency
Overview of Non Parametric Frontier Estimation Methods
Measurement Approach in Analyzing Determinants of Economic Efficiency
Findings
Conclusion and Policy Implications
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