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Estimating farmers’ productive and marketing inefficiency: an application to vegetable producers in Benin

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  • Alphonse Singbo

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  • Alfons Oude Lansink
  • Grigorios Emvalomatis

Abstract

This paper estimates the technical and marketing inefficiency of a sample of urban vegetable producers in Benin. Marketing inefficiency is defined as the failure of farmers to achieve better marketing output and is reflected in lower output price indices. The study proposes a Russell-type measure of inefficiency using a directional distance function that accounts simultaneously for the expansion of outputs and price indices and the contraction of variable inputs. A truncated bootstrap regression is used in the second stage to consistently analyze factors that underlie differences in inefficiency. The first-stage results suggest that vegetable producers are more inefficient with respect to marketing than production. The second-stage results indicate that technical inefficiency is affected by the production environment and private extension services. Marketing inefficiency is affected by the type of marketing arrangements. Copyright Springer Science+Business Media New York 2014

Suggested Citation

  • Alphonse Singbo & Alfons Oude Lansink & Grigorios Emvalomatis, 2014. "Estimating farmers’ productive and marketing inefficiency: an application to vegetable producers in Benin," Journal of Productivity Analysis, Springer, vol. 42(2), pages 157-169, October.
  • Handle: RePEc:kap:jproda:v:42:y:2014:i:2:p:157-169
    DOI: 10.1007/s11123-014-0391-1
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    References listed on IDEAS

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    1. repec:eee:ejores:v:276:y:2019:i:2:p:688-698 is not listed on IDEAS
    2. repec:bla:agecon:v:50:y:2019:i:2:p:237-246 is not listed on IDEAS
    3. Ayouba, Kassoum & Boussemart, Jean-Philippe & Lefer, Henri-Bertrand & Leleu, Hervé & Parvulescu, Raluca, 2019. "A measure of price advantage and its decomposition into output- and input-specific effects," European Journal of Operational Research, Elsevier, vol. 276(2), pages 688-698.
    4. Khataza, Robertson R.B. & Hailu, Atakelty & Kragt, Marit E. & Doole, Graeme, 2017. "The opportunity costs of enhancing legume‐based sustainable agricultural intensification practices in Malawi," 2017 Conference (61st), February 7-10, 2017, Brisbane, Australia 258672, Australian Agricultural and Resource Economics Society.

    More about this item

    Keywords

    Vegetables; Inefficiency; Russell-type measure; Bootstrap; Benin; C34; C61; C67; D24; D49;

    JEL classification:

    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • D49 - Microeconomics - - Market Structure, Pricing, and Design - - - Other

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