Analysis of the Determinants of Technical Efficiency among Some Selected Small Scale Farmers in Kogi State

Abstract

The purpose of this study was to analyze the determinants of technical efficiency of small scale farmers in Kogi State and the effect of policy changes on technical efficiency, using the stochastic frontier methodology. Results of the analysis indicate that, the farmers have an average farm size of 1.72 hectares. It is also indicated that both family and hired labour were expansively used in farm production. The analysis shows a spacious variation in the estimated technical efficiencies within the range of 0.19 and 0.93, and a mean value of 0.64, indicating an ample opportunity for enhancement in the technical efficiency. The results of simulation of policy variables prove that the level of technical efficiency would extensively increase with rising level of farming experiences and educational level among the rural farmers.

Keywords: Technical efficiency, Small scale farmers, Stochastic Frontier, production function.