Data Envelopment Analysis of Allocative and Technical Efficiencies of Yam Production in Adamawa State

Abstract

The aim of this research was to analyze the allocative and technical efficiency of yam production using data envelopment analysis (DEA). A purposive and simple random sampling technique was used and 100 yam producers were selected using structured questionnaires. A non-parametric Data envelopment analysis was employed and both the allocative and technical efficiencies of the yam producers were investigated and examined. The result revealed that the majority (81% ) of the farmers are male, (39%) fall within the age range of 36-40 years and (75%) had some form of education, 57% had technical efficiency (TE) of (0.81) and above while 43% operate at less than 0.81 efficiency level. The mean technical efficiency was 0.78 while the mean allocative efficiency was 0.98. The result further indicated that yam farmers in the study area have achieved absolute efficiency in the use of variable inputs. Thus, it could be concluded that yam production in the study area was viable in terms of technical and allocative efficiency. It is, therefore, recommended that Government in partnership with the private sector should encourage farmers to increase their technical efficiency in yam production which could be achieved through improved farmer specific efficiency factors, which include improved farmer education, access to credit and access to improved extension services.