Determinants and Resource Use Efficiency of Haricot Bean Production in Halaba Special District, Southern Ethiopia

Abstract

The study aimed to analyze determinants and resource use efficiency of haricot bean production in Halaba Special district in Southern Ethiopia. The study employed multistage sampling technique to collect relevant primary data from smallholder producers. A total of 173 sample households were selected from two administrative kebeles using probability proportional to size sampling technique. Both qualitative and quantitative data were collected from primary data sources through structured questionnaire, key informant interview, and focus group discussion. Complementary secondary data were collected through literature review. Descriptive statistics, estimation of production function, and allocative efficiency index (MVP/MFC) were the analytical methods employed to achieve the objectives of the study. Accordingly, the result of the study indicated haricot bean output was positively and significantly influenced by plot size, amount of fertilizer applied, labor input in man days, level of education of the household head, farming experience, frequency of extension contact and types of haricot bean seed used. Resource utilization was found inefficient for the crop in the study area. The result of allocative efficiency index indicated, fertilizer (0.4), pesticide (0.2), labor (0.5) and oxen power (0.0) were over utilized resources. Thus, concerned bodies should work on policy relevant significant variables to improve the productivity and allocate resources efficiently.

Keywords: Allocative efficiency, Marginal factor cost, Marginal value product, Production function