Factor productivity and technical efficiency of lowland rice farming in the Philippines
1995
Serrano, S.R. | Francisco, S.R. | Casiwan, C.B. | Gacilos, R.G. | Redondo, G.O. (Philippine Rice Research Inst., Munoz 3119, Nueva Ecija (Philippines))
With yield growth under the current technological regime approaching stagnancy, technical efficiency all the more becomes the dominant concern in increasing productivity of the rice farm sector. The study attempted to determine factor productivities and technical efficiency of lowland rice farmers during the 1992 wet season and 1993 dry season. Frontier production functions were estimated using two-stage COLS procedure to evaluate factor productivity and technical efficiency of lowland rice farming. Estimation results indicate very low mean relative technical efficiency at less than 0.40 across environments and seasons. Relative distribution of efficiency ratings is heavily skewed towards the low efficiency classes. Socioeconomic variables associated with managerial skill and better control of farm resources were found to significantly explain for variations in technical efficiency across environments and seasons. Technology promotion and education programs must therefore effectively address the problem if the rice farming sector is to survive the competition in an open rice market
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