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Efficiency of Mungbean Growers in Selected Coastal Areas of Bangladesh

QM Shaflqul lslam
Senior Scientific Officer
SS0 Agril. Econ Div., BARI, Gazipur

MM Hossaln
Scientific Officer
SO BARI, Gazipur

MS Rahman
Lecturer, Dept. Agril. Ecan., PSTU, Patuakhali

Abstract/ Executive Summary:

The study was conducted in two coastal mungbean growing districts namely; Noakhali and Patuakhali of Bangladesh during the period of 2008-09 with a view to estimates the technical efficiency of mung bean growers. The study revealed that mungbean production was found profitable. The benefit cost ratio (BCR) was 2.22 on full cost basis. The estimated results showed that the average level of technical efficiency among the sample farmers was 89. This implies that given the existing technology and level of inputs, the output could be increased by 11 percent. Technical inefficiency model, the coefficient of farmers education and experience had positive significant effect on mungbean production. Fifty nine percent farmers produced outputs to the maximum frontier output level (80-90%).

Keywords: Ffficiency, Mugbean, Coastal areas

Location: Sadar Upazila from Noakhali district and Dumki Upazila from Patuakhali

Start Date: 00-01-2009

End Date: 00-03-2009

Program Area: Socio-economic and Policy

Commodity: Mungbean

Objectives:

To find out the profitability, technical efficiency of mung bean growers and identify the constraints to mung bean production.

Methodology:

The study was conducted in two coastal districts namely Noakhali and Patuakhali during January to March 2009. Sadar Upazi/a from Noakhali district and Dumki Upazila from Patuakhali district were purposively selected for the study. A total of 100 mungbean farmers taking 50 farmers from each districts were randomly selected with the help of DAE personnel for interview. The crop season under the study was late Rabi (January-May), 2008. Field investigators under the direct supervision of the researchers collected field level cross sectional data using pre-tested interview schedule. Data were taken on input costs, price, yields and other necessary information. Collected data were edited, summarized, tabulated and analyzed to fulfill the objectives of the study. Tabular method of analysis using different statistical tools was used in presenting the results of the study. Profitability of mung bean production was examined on the basis of gross margin and benefit cost analysis. The analysis did not consider different fixed costs like rental value of land, depreciation on farm equipment, etc as gross margin was worked out in this paper. Besides, the opportunity cost of family supplied labour was taken into consideration in estimating total cost or full cost. In calculating gross margin, all operating costs were considered as variable cost. Efficiency can be measured in two ways such as technical and allocative. Here we considered only technical efficiency. Technical efficiency is the ability of a firm to achieve maximum possible output with available resources. The stochastic Cobb-Douglas production frontier model was used for estimating technical efficiency of mungbean producer in the study areas. The estimates for all parameters of the stochastic frontier (1) and inefficiency model (2) were estimated in a single stage by using the Maximum Likelihood (ML) method. The econometric computer software package FRONTIER 4.1 (Coelli, 1996) was applied to estimate the parameters of stochastic frontier models using the ML method.

Source of Information: Bangladesh J Prog. Sci. & Tech. 8(1): 051-054, January 2010

Article Link (Online Journal):

Funding Source:

Budget:

Total Budget (Tk.) :

Achievement/Findings:

The yield performance of mung bean was higher than national average in the study area. Mungbean farmers received high return on its investment. The estimated technical efficiency for mung bean varied from 82-99%, with an average efficiency 89%. This implies that the output per farm can be increased on an average 11 % without incurring any additional production cost. If modern variety of seed and production technology is available to the farmers, yield and production can be increased which may help to increase their income and nutritional status. The farmers in the study areas require fair price of fertilizers, seed and insecticides. They also desired to get quality seed, disease and insect tolerant variety for getting higher return from mung bean production

Knowledge Management: Journal