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Wheat Productivity, Efficiency, and Sustainability: A Stochastic Production Frontier Analysis

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  • Ahmad, Munir
  • Chaudhry, Ghulam Mustafa
  • Iqbal, Muhammad

Abstract

This paper uses the farm-level survey data to estimate the stochastic frontier production function incorporating inefficiency effects. Sufficient evidence of positive relationship between wheat productivity and higher and balanced use of fertiliser nutrients was present. The productivity showed an inverse relationship with the proportionate farm area allocated to rice production and illustrated no association with the proportion of farm area under cotton. The average technical efficiency at wheat farms was about 68 percent. An inverse relationship was observed between technical efficiency and farm size. The farmers with greater access to credit and located closer to the markets were found more efficient. The small farmers are not only producing at a lower level but are also operating relatively farther from the production frontier. The results also revealed that wheat growers in Punjab are comparatively more efficient than their counterparts in Sindh and NWFP.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 3672.

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Date of creation: 2002
Date of revision: 2002
Publication status: Published in The Pakistan Development Review 41.4(2002): pp. 643-663
Handle: RePEc:pra:mprapa:3672

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Keywords: stochastic frontier production function; technical efficiency; small farmer; Pakistan; productivity;

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References

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  1. K.P. Kalirajan & M.B. Obwona & S. Zhao, 1996. "A Decomposition of Total Factor Productivity Growth: The Case of Chinese Agricultural Growth before and after Reforms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(2), pages 331-338.
  2. Muhammad Iqbal & M. Azeem Khan & Munir Ahmad, 2001. "Determinants of Higher Wheat Productivity in Irrigated Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 40(4), pages 753-766.
  3. Munir Ahmad & Azkar Ahmad, 1998. "An Analysis of the Sources of Wheat Output Growth in the Barani Area of the Punjab," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(3), pages 231-249.
  4. Bashir Ahmad & Munir Ahmad & Zulfiqar Ahmad Gill, 1998. "Restoration of Soil Health for Achieving Sustainable Growth in Agriculture," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 37(4), pages 997-1015.
  5. Rejesus, Roderick M. & Heisey, Paul W. & Smale, Melinda, 1999. "Sources of Productivity Growth in Wheat: A Review of Recent Performance and Medium- to Long-Term Prospects," Economics Working Papers 7693, CIMMYT: International Maize and Wheat Improvement Center.
  6. Anderson, Jock R. & Feder, Gershon, 2007. "Agricultural Extension," Handbook of Agricultural Economics, Elsevier.
  7. Munir Ahmad & Sarfraz Khan Qureshi, 1999. "Recent Evidence on Farm Size and Land Productivity: Implications for Public Policy," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 38(4), pages 1135-1153.
  8. Munir Ahmad, 2001. "Agricultural Productivity Growth Differential in Punjab, Pakistan: A District-level Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 40(1), pages 1-25.
  9. George E. Battese & Sohail J. Malik & Sumiter Broca, 1993. "Production Functions for Wheat Farmers in Selected Districts of Pakistan: An Application of a Stochastic Frontier Production Function with Time-varying Inefficiency Effects," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 32(3), pages 233-268.
  10. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-32.
  11. Munir Ahmad & M. Ghaffar Chaudhry & Ghulam Mustafa Chaudhry, 2000. "Some Non-price Explanatory Variables in Fertiliser Demand: The Case of Irrigated Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 39(4), pages 477-486.
  12. Jamison, Dean T. & Moock, Peter R., 1984. "Farmer education and farm efficiency in Nepal: The role of schooling, extension services, and cognitive skills," World Development, Elsevier, vol. 12(1), pages 67-86, January.
  13. Lin, Justin Yifu, 1992. "Rural Reforms and Agricultural Growth in China," American Economic Review, American Economic Association, vol. 82(1), pages 34-51, March.
  14. George E. Battese & Sohail J. Malik & Manzoor A. Gill, 1996. "An Investigation Of Technical Inefficiencies Of Production Of Wheat Farmers In Four Districts Of Pakistan," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1-4), pages 37-49.
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Citations

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Cited by:
  1. Jin, Songqing & Yu, Winston & Jansen, Hans G.P. & Muraoka, Rie, 2012. "The impact of Irrigation on Agricultural Productivity: Evidence from India," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126868, International Association of Agricultural Economists.
  2. Munir Ahmad, 2003. "Agricultural Productivity, Efficiency, and Rural Poverty in Irrigated Pakistan: A Stochastic Production FrontiermAnalysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 42(3), pages 219-248.
  3. Tuffour, Michael & Oppong, Boahen Atta, 1. "Profit Efficiency In Broiler Production: Evidence From Greater Accra Region Of Ghana," International Journal of Food and Agricultural Economics (IJFAEC), Niğde University, Faculty of Economics and Administrative Sciences, vol. 2(1).
  4. Velarde, Orlee & Pede, Valerien O., 2013. "Pattern of investment allocation to chemical inputs and technical efficiency: A stochastic frontier analysis of farm households in Laguna, Philippines," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152203, Australian Agricultural and Resource Economics Society.
  5. Muhammad Azeem Khan & Muhammad Iqbal, 2005. "Sustainable Cotton Production Through Skill Development among Farmers: Evidence from Khairpur District of Sindh, Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 44(4), pages 695-716.
  6. Phu Nguyen-Van & Nguyen To-Thea, 2014. "Agricultural extension and technical efficiency of tea production in northeastern Vietnam," Working Papers of BETA 2014-11, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
  7. Farnaz Pourzand & Mohammad Bakhshoodeh, 2014. "Technical effici ency and agricultural sustainability–technology gap of maize producers in Fars province of Iran," Environment, Development and Sustainability, Springer, vol. 16(3), pages 671-688, June.
  8. Jara-Rojas, Roberto & Bravo-Ureta, Boris E. & Moreira, Victor H. & Diaz, Jose, 2012. "Natural Resource Conservation and Technical Efficiency from Small-scale Farmers in Central Chile," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126227, International Association of Agricultural Economists.

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