Determinants of technical efficiency among smallholder coffee farmers in Kigoma Region, Tanzania

Abstract

Collet' is one of the most important export •ommoditie.s' in Kigoma region. UnfOrtunately, production is still low and information on technical efficiene• has remained is scarce. This .sititly sets our to contribute towards efforts for improving coffee productivity to enhance the cash income of smallholder Arabica coffee farmers in Kigoma region, Tanzania. The present .study estimated the Technical Efficiency (TE) and inefficiency effects of inputs. The paper uses data collected from a sample of 122 farmers. Parameters of the generalized Cobb-Douglas stochastic frontier model for the production .system were estimated by a single stage Maximum Likelihood (ML) method for the technical efficiency and technical inefficiency effects using the Frontier version 4.1 c, a computer program for Stochastic Frontier Production. The results show that inorganic fertilizers. agrochemicals and labour are kcv inputs. The mean Technical Efficiency index is 68'!;, indicating that farmers are technically inefficient, with a 32V'i, scope for increasing Technical Efficient (TE).The number of coffee trees and ti farmer's experience arc the main determinants of TE. The study recommends : farmers to increase application of productivity enhancing inputs. Moreover, there should be deliberate it/ICI-WI-Won on farm expansion, and training to engage youths in coffee production .since they tend to he more technically efficient thereby improving the production system's TE