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Technical Efficiency Analysis of Organic Rice Production in Leyte, Philippines: A Stochastic Frontier Approach

Author

Listed:
  • Lambert, Allen Glennie P.

    (Visayas State University)

Abstract

This study investigates the technical efficiency of organic (uncertified) lowland irrigated rice farming in selected areas of Leyte Province. Technical efficiency indices were derived from a stochastic frontier production function analysis employing the maximum likelihood estimation. Organic (uncertified) rice farmers observed mean technical efficiency was high, with 92% for the dry season and 90% for the wet season, which is comparatively higher than the conventional practices findings available in the literature. Results showed that technical efficiency was significantly affected by farming experience, education, trainings attended, income from other sources, affiliation with organizations, technical services from the Department of Agriculture, and homemade sources of inputs. Results of the study suggest that farmers should apply optimal levels of organic inputs and continue water management to control weeds. For the government and non-government agencies to further promote the use of organic rice farming systems and intensive extension services is necessary. In addition, it is recommended that the government should create a policy and assistantship for organic farmers, especially small-scale farmers, in having their products certified at a lesser price or better a cost-free program. This will help farmers have a justified price for their products and will also further motivate other farmers to convert to organic farming.

Suggested Citation

  • Lambert, Allen Glennie P., 2022. "Technical Efficiency Analysis of Organic Rice Production in Leyte, Philippines: A Stochastic Frontier Approach," Review of Socio-Economic Research and Development Studies, Visayas State University, Visayas Socio-Economic Research and Data Analytics Center (ViSERDAC) and Department of Economics (DOE), College of Management and Economics (CME), vol. 6(2), pages 1-20, December.
  • Handle: RePEc:btb:journl:v:6:y:2022:i:2:p:1-20
    DOI: 10.5281/zenodo.7500297
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    Keywords

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    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models

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