The efficiency analysis of organic and conventional olive farms: Case of Turkey

Artukoğlu, Mehmet; Olgun, A.; Adanacıoğlu, Hakan

doi:10.17221/620-agricecon

Cited by 18 publications

(11 citation statements)

References 13 publications

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“…Plenty of efficiency studies have been applied to olive-growing farms and olive oil manufactures, but the relationship between membership in agricultural cooperatives and efficiency has not yet been examined (Lambarraa et al, 2007;Amores and Contreras, 2009;Tzouvelekas et al, 1999;Karagiannis and Tzouvelekas, 2001;Tzouvelekas et al, 2001;Cukur et al, 2013;Artukoglu et al, 2010;Lachaal et al, 2004;Lachaal et al, 2005;Kashiwagi et al, 2016). Apart from the olive sector, several studies have investigated the impact of membership in an agricultural cooperative on efficiency by applying the stochastic frontier approach.…”

Section: Introductionmentioning

confidence: 99%

The Impact of Agricultural Cooperatives on Efficiency and Productivity: Evidence from Olive-growing Farms in West Bank of Palestine

Kashiwagi¹

2020

New Medit

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Collective action by farmers including the development of cooperatives is regarded as one of solutions to overcome low productivity. This study investigates the impact of agricultural cooperative on technical efficiency (TE) and total factor productivity (TFP) of olive farms in the West Bank of Palestine. Using cross-section data of olive-growing farms in Jenin governorate, we estimated a stochastic frontier production function with inefficiency components. TFP was also estimated by residual approach. We employed propensity score matching to reduce self-selection bias in becoming a member of the cooperative. Results suggest that cooperative membership has a positive impact on TE and TFP, as joining a cooperative raises the TE by 10.16 to 10.52 percentage points. We interpret access to credits, land and productive olive seedlings, and extension services provided by cooperatives are possible pathways that affect TE and TFP. Due to the existence of huge inefficiency and low land productivity of olive farms in Jenin, we imply participation in cooperatives is an effective strategy for them to catch up with productive farms in the Mediterranean region.

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Section: Introductionmentioning

confidence: 99%

The Impact of Agricultural Cooperatives on Efficiency and Productivity: Evidence from Olive-growing Farms in West Bank of Palestine

Kashiwagi¹

2020

New Medit

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“…At the same time, there is an increasing demand for organic olive oil, which can be sold for higher prices than the conventionally produced oil [10]. There are studies indicating that organic olive farming can be equal or more profitable than conventional olive farming [20][21][22]. The advantages of organic olive farming seem to be a combination of higher oil prices, higher subsidies and lower production costs [20][21][22].…”

Section: Introductionmentioning

confidence: 99%

A Comparison between Organic and Conventional Olive Farming in Messenia, Greece

2018

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Olive farming is one of the most important occupations in Messenia, Greece. The region is considered the largest olive producer in the country and it is recognized as a Protected Designation of Origin (PDO) for Kalamata olive oil, which is considered extra fine. In response to the declining trend of organic olive farming in Greece, this study assesses to what extent organic olive farming in Messenia provides a financially and environmentally competitive alternative to conventional olive farming. In this study, 39 olive farmers (23 conventional and 16 organic) participated in interviews based on questionnaires. The results showed that organic olive farming is significantly more profitable than conventional farming, primarily because of a higher price for organic olive oil. Despite this, the majority of the conventional farmers perceived a low profit from organic farming as the main constraint to organic olive farming. All farmers agreed that organic olive farming contributed to a better environment, health and quality of olive oil. Organic farmers used fewer synthetic pesticides and fertilizers and applied more environmentally-friendly ground vegetation management techniques than conventional farmers. Overall, organic farming was found to provide a competitive and sustainable alternative to conventional olive farming in Messenia.

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“…For olive farms in Turkey, Cukur, Saner, Cukur, Dayan and Adanacioglu (2013) suggested there are huge differences in technical efficiency among olive farms and most olive farms do not operate in their optimal scale. Comparing efficiency between organic and conventional olive farms in Turkey, Artukoglu, Olgun and Adanacioglu (2010) found technical efficiency of conventional olive farms is less than that of organic farms. Ozden and Dios-Palmores (2016), which examined olive oil firms in Tukey from the point of ownership structure, suggested experienced production manager, and extensive specialized training with olive industry have positive effect on efficiency.…”

Section: Introductionmentioning

confidence: 98%

Technical Efficiency of Olive-growing Farms in the Northern West Bank of Palestine

Kashiwagi¹

2017

SAR

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This study examines the firm-level technical efficiency of olive-growing farms in the West Bank of Palestine. Using a sample of 176 olive farms in the Jenin governorate collected during September 2015, we estimated the Cobb-Douglas stochastic frontier production function. The results suggest that higher levels of education of the head of farm households and farms with a higher density of olive trees are associated with higher technical efficiency. The introduction of irrigation had a marginal effect on upgrading efficiency. Enlarging the irrigated area had a negative effect, but increasing the number of years of irrigation had a positive impact on efficiency. While the impact of access to export markets on technical efficiency was negative and farms oriented towards domestic consumption of olive oil showed lower efficiency, access to markets through olive presses and middlemen contributed to improve efficiency. The results of the chosen half-normal model suggest that olive farms in Jenin have the potential to increase production by 51.4% through more efficient use of technology and production inputs. These results imply promotion of intensive farming with mature olive trees and expansion of market access could contribute to improve technical efficiency of olive farms in the West Bank even under severe geographical and geopolitical conditions.

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The efficiency analysis of organic and conventional olive farms: Case of Turkey

Cited by 18 publications

References 13 publications

The Impact of Agricultural Cooperatives on Efficiency and Productivity: Evidence from Olive-growing Farms in West Bank of Palestine

The Impact of Agricultural Cooperatives on Efficiency and Productivity: Evidence from Olive-growing Farms in West Bank of Palestine

A Comparison between Organic and Conventional Olive Farming in Messenia, Greece

Technical Efficiency of Olive-growing Farms in the Northern West Bank of Palestine

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