Assessment of technical efficiency and its determinants in beef cattle production in Kenya

Otieno, David Jakinda; Hubbard, Lionel; Ruto, Eric

doi:10.5897/jdae2013.0525

Cited by 19 publications

(4 citation statements)

References 37 publications

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“…The technical efficiency of beef cattle farms in Kenya demonstrated the same range as Malaysia's beef cattle farms where they had an average technical efficiency level of 0.69. Regardless of their production system, the farms had been analysed to be using an available technology sub optimally (David et al, 2014). Meanwhile, the three type of rearing system in Nigeria have their score of 0.59, 0.69 and 0.83 for the nomadic pastoralists, agropastoralists and ranchers system (Nwigwe et al, 2016).…”

Section: Literature Reviewmentioning

confidence: 99%

Technical Efficiency of Beef Cattle Farms in Peninsular Malaysia

Radzil¹,

Hamzah²,

Sidique³

et al. 2023

IJARBSS

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Beef cattle farming is a challenging business to operate locally because of its low performance. Different price of beef product around Peninsular Malaysia happens due to the various condition of beef sources in each state in Peninsular Malaysia. This research aims to investigate the technical efficiency of beef cattle farms and its determinants. Farm-level data from 334 beef cattle producers collected from August 2020 to February 2021 were analysed by Data Envelopment Analysis (DEA) for technical efficiency scoring and the determinants discovered by using Tobit Model regression. The results show only 28.78 per cent of the farms operates at a total score of 1.00 while 33.54 per cent of the farms score less than 0.50 in technical efficiency. Technically efficient farms depend on experiences, corporate networking, education, household income and natural breeding technique. The findings help the industry to upgrade the operation standard of the farm in Malaysia by promoting the usage of Artificial Insemination techniques for beef cattle breeding intensively and comprehensively, with the involvement of corporates body to invest in the industry as one of the gestures for supporting the food security agenda of the country. Besides, educated youth might be interested in joining this industry if training incentives are provided, tax reductions for agro-food producers and strong support groups with authority.

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Section: Literature Reviewmentioning

confidence: 99%

Technical Efficiency of Beef Cattle Farms in Peninsular Malaysia

Radzil¹,

Hamzah²,

Sidique³

et al. 2023

IJARBSS

View full text Add to dashboard Cite

show abstract

“…Many case studies (e.g. Alvarez-del Corral [2010], Sauer-Davidova-Gorton [2012], Kellermann [2014], Otieno Hubbard-Ruto [2014, Baráth-Fertő [2013], Martinez et al [2016], Bahta et al [2018]) have shown resource and production environments surrounding production societies are highly heterogeneous. The use of a single characteristic to cluster a sample might be challenging when heterogeneity is likely to arise from more than one factor, leading to incomplete division of the sample.…”

Section: Model Specificationmentioning

confidence: 99%

“…), and second stage estimation of separated frontier functions for each group (e.g. Battese-Rao-O'Donnell [2004], Newman-Matthews [2006], Balcombe-Rahman-Smith [2007], Moreira-Bravo-Ureta [2010], Otieno-Hubbard-Ruto [2014], Melo-Becerra-Orozco-Gallo [2017]). 7 However, the use of a priori information might be challenging in cases where heterogeneity is likely to arise from more than one factor, leading to incomplete division of the sample (Alvarezdel Corral-Tauer [2012], Sauer-Morrison Paul [2013]).…”

Section: Model Specificationmentioning

confidence: 99%

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Estimation of stochastic production functions: the state of the art

Manyeki¹,

Kotosz²

2019

Hungarian Statistical Review

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This article presents a comprehensive review of frontier studies for productivity analysis. The authors discuss the two main frontier approaches and highlight the reasons for selecting the parametric approach. The review also identifies the reason for considering unobserved heterogeneity when estimating firm performance. The classical stochastic frontier model is found to suffer from an empirical artefact in which the residuals of the production function may have positive skewness, contrary to the expected negative skewness which leads to estimated full efficiencies of all firms, as well as the possible problem of collinearity among inputs in the stochastic frontier model. By relaxing the hypotheses of random error symmetry and the independence of the components of the composite error, a sufficiently flexible re-specification of the stochastic frontier model can be achieved by decomposing the third moment of the composite error into three components that include the asymmetry of the inefficiency term, the asymmetry of the random error, and the dependence structure of the error components. Finally, instead of excluding insignificant variables from the model that can be of policy relevance, a principalcomponents-based solution can be adopted for collinearity in a stochastic frontier model.

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Technological frontier in Uruguay's beef cattle production: An analysis of technical efficiency and its main drivers

Aguirre,

García Suárez,

Sicilia

2024

Agribusiness

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Globally, livestock grazing is a major land occupier and is often criticized for its environmental impact. To address these concerns, enhancing livestock productivity is crucial to mitigate these impacts, boost farm competitiveness, and increase food production. The understanding of production variability is key to this endeavor. This paper assesses the technical efficiency of cow‐calf beef production units in Uruguay, excluding dairy and feedlot operations. Using data from the 2016 National Livestock Survey and Wang's frontier model, we estimate a translog stochastic production frontier, incorporating bovine livestock units, land area, and equivalent working units as key inputs. This model also controls soil productivity, improved grazing areas, productive orientation (beef‐cattle systems or beef cattle‐ovine mixed systems), beef production system (cow‐calf, full cycle, and fattening operation), access to electric power, and agroecological regions. Furthermore, it explores factors affecting technical inefficiency, such as ownership (individual, corporate without contract, and corporate with contract) and land tenure types (owner, tenant, or other types), besides the presence of third‐party owned cattle, technical assistance (including veterinarian and agronomic), and specific beef cattle technologies (such as continuous bull presence, artificial insemination, ovarian activity diagnosis, pregnancy diagnosis, use of scales for classifying females, temporary and early weaning, and cows and heifers grazing together). Findings indicate an average technical efficiency of 71.3%. Notably, factors such as agronomic and veterinary assistance, artificial insemination, weaning practices, third‐party‐owned cattle presence, pregnancy diagnosis, land tenure, and ownership type significantly impact technical efficiency. Our findings suggest that within the specific segment of cow‐calf operations in Uruguay, there is a potential to enhance beef production by 40.2% through improvements in farm management. [EconLit Citations: Q12, D24].

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Assessment of technical efficiency and its determinants in beef cattle production in Kenya

Cited by 19 publications

References 37 publications

Technical Efficiency of Beef Cattle Farms in Peninsular Malaysia

Technical Efficiency of Beef Cattle Farms in Peninsular Malaysia

Estimation of stochastic production functions: the state of the art

Technological frontier in Uruguay's beef cattle production: An analysis of technical efficiency and its main drivers

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