Impact of Variety Type and Irrigation on Technical Efficiency of Potato Farmers: The Case of Terai Region of Nepal

Abstract

Abstract The national average potato productivity is far below as compared to other neighbouring countries due to several production constraints. Variety and irrigation are the important factors to increase production. The aim of this study is to find the technical efficiency of potato production and to estimate the impact of variety type and irrigation on technical efficiency. A multistage random sampling procedure was employed to select 300 potato farmers from three districts of Nepal. The study used a stochastic frontier production function model to find the production elasticity coefficients of inputs, determinants of efficiency, and technical efficiency of potato farmers. Results showed that variety type and irrigation have a significant positive impact on the technical efficiency of potato production. Nepalese improved varieties adopter farmers were more efficient (73%) than Indian (66%) and local (59%) potato varieties. Likewise, Irrigated potato farming has higher efficiency (71%) than rainfed potato (61%) farming. The mean technical efficiency value of potato farmers was 69 per cent and farmers can increase it with better use of available resources. It is suggested that use of improved potato varieties and irrigation application along with proper amounts of inputs used help to improve technical efficiency of potato farmers.