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Working Paper 104 - Technology Gap and Efficiency in Cocoa Production in West and Central Africa: Implications for Cocoa Sector Development

This paper applies the recentlydeveloped metafrontier functiontechnique to investigate productivitypotentials and efficiencies in cocoaproduction in West and Central Africa.The methodology enables the estimationof national technology gap ratios (TGRs)by using a decomposition resultinvolving both the national productionfrontiers and the (regional)metaproduction frontier. Empiricalresults are derived using acomprehensive dataset collected duringone of the larger surveys of cocoafarmers in four West and Central Africacountries, namely Cameroon, Ghana,Nigeria and Cote d’Ivoire. The data andanalysis support the view that technicalefficiency in cocoa production is globallylow, and technology gap plays animportant part in explaining the ability ofcocoa sector in one country to competewith cocoa sectors in other countries inthe West and Central Africa region. Thepaper ends by highlighting relevantstrategies for sustainable cocoadevelopment in Africa.

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Paper provided by African Development Bank in its series Working Paper Series with number 241.

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Date of creation: 23 Jan 2010
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Handle: RePEc:adb:adbwps:241
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  1. Tim J. Coelli, 1995. "Recent Developments In Frontier Modelling And Efficiency Measurement," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 39(3), pages 219-245, December.
  2. Hayami, Yujiro & Ruttan, Vernon W, 1970. "Agricultural Productivity Differences Among Countries," American Economic Review, American Economic Association, vol. 60(5), pages 895-911, December.
  3. Anderson, Richard G & Thursby, Jerry G, 1986. "Confidence Intervals for Elasticity Estimators in Translog Models," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 647-56, November.
  4. Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
  5. Coelli, T. J., 1992. "A computer program for frontier production function estimation : Frontier version 2.0," Economics Letters, Elsevier, vol. 39(1), pages 29-32, May.
  6. Zeller, Manfred & Diagne, Aliou & Mataya, Charles, 1997. "Market access by smallholder farmers in Malawi," FCND discussion papers 35, International Food Policy Research Institute (IFPRI).
  7. Nkamleu, Guy Blaise, 2004. "L’echec de la croissance de la productivite agricole en afrique francophone
    [Failure of agricultural productivity growth in African French speaking countries]
    ," MPRA Paper 15104, University Library of Munich, Germany.
  8. Nkamleu, Guy Blaise, 2003. "Productivity Growth, Technical Progress and Efficiency Change in African Agriculture," MPRA Paper 11380, University Library of Munich, Germany.
  9. Lau, Lawrence J. & Yotopoulos, Pan A., 1989. "The meta-production function approach to technological change in world agriculture," Journal of Development Economics, Elsevier, vol. 31(2), pages 241-269, October.
  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.
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