Frontier and efficiency analyses: implication of fishpen culture operation in Laguna de Bay [Philippines]
2010
Tan, R.L., Philippines Univ. Los Baños, College, Laguna (Philippines). Dept. of Agribusiness Management
The main purpose of applying Frontier and technical efficiency analyses in fish culture is to improve efficiencies of fish farmers in their operation. The effectivity of this analytical tool will depend on how much efficiency can be improved or how much inefficiency can be eliminated given the underlying culture technology applied. This paper aims to present the implication of frontier and efficiency analysis on fishpen culture operation in Laguna de Bay. The profile of fishpen culture operation in the area of study is presented as well as the major issues in the operation including pollution and water quality issues and conflict with capture fishery. The various economic benefits from the existing Laguna de Bay milkfish industry are enumerated. The concepts of frontier version 4.1 and the stochastic production/productivity function are discussed. Moreover, both the technical efficiency and inefficiency of fish farmers in relation to productivity are emphasized. The implication of the frontier and technical efficiency analysis on the fishpen culture operation in Laguna de Bay points out the need for the existing culture technology to shift from extensive to intensive culture system. The major direct benefits would be an improvement in both productivity and profitability. Howver, the quality of fish, vis-a-vis human consumption and the usual lake water quality analysis must be continuously done and monitored. The quality of fish must be assured first before producing them efficiently and profitably.
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