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Influence of Soil Properties on Technical Efficiency of Paddy Production: Evidence from Malaysia

Influence of Soil Properties on Technical Efficiency of Paddy Production: Evidence from Malaysia

Description

This paper aims to investigate the effects of soil fertility and cation ratios on the efficiency of paddy production.
This paper aims to investigate the effects of soil fertility and cation ratios on the efficiency of paddy production. Data envelopment analysis (DEA) was utilized to estimate efficiency, and Tobit regression was used to identify significant factors of inefficiency. The data was collected from 80 respondents in selected Malaysia’s major paddy granaries over January to March 2022. The results indicated that the respondents’ mean technical efficiency with respect to the constant returns to scale (CRS) and variable returns to scale (VRS) specifications were 60 per cent and 70 per cent, respectively. The results showed that farmers in the study areas may increase yield by 40% without additional inputs. Meanwhile, the inefficiency effects model indicated that experience, soil pH, and (calcium+magnesium)/ potassium ratios significantly affected inefficiency. Thus, it is suggested that any development programmes for the paddy sector should also consider the soil fertility indicators and cation rations besides the farmer’s socio-economic factors.

Author
1. Mohd Khairul Hafifi Maidin
2. Roslina Kamaruddin
3. Shri Dewi Applanaidu
Journal
Journal Ekonomi Malaysia
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