A Copula-Based Meta-Stochastic Frontier Analysis for Comparing Traditional and HDPE Geomembranes Technology in Sea Salt Farming among Farmers in Phetchaburi, Thailand

Abstract

This study analyzed sea salt production and compared the technical efficiency level and the technology gap between traditional technology and High-Density Polyethylene Geomembranes (HDPE GMB) technology in the Phetchaburi province using a copula-based meta-stochastic frontier technique. A total sample size of 250 was chosen, comprising 195 traditional farmers and 55 HDPE GMBs farmers. Several copula families were used to analyze the dependence structure of the two error components and the best-fit copula-based meta-frontier model used Gaussian copulas. Land, labor, and fuel energy are the most significant input variables in the Gaussian copula-based meta-frontier model with a translog production function. Compared to meta-frontier production, the average technological gap between traditional technology production and HDPE GMB technology production was 0.69 and 0.77, respectively, meaning HDPE GMB technology is more technically efficient than traditional technology. The study identified that land, market price, sex, and experience were the contributing technical inefficiency factors for traditional technology production. For HDPE GMB technology production, land, sex, and experience were found to be contributing factors. The performance of HDPE GMB technology in salt farming in the Phetchaburi province suggests that public and private sector agencies should promote greater access to this technology for salt farmers.