Production efficiency of paddy cultivation in the eastern province

Abstract

This study focused on measuring the technical efficiency ofpaddy cultivation, to explore ways of increasing yield and productivity in the Ampara and Batticaloa districts. Both primary and secondary data were used in this study. Earlier studies revealed of stagnation in production and productivity of paddy since 1995 in both districts. The primary data were gathered through personal interviews among 100 farmers from each district for Yala (irrigatedpaddy) andMaha(rainfedpaddy) during 2001/2002period. In Ampara district the areas selectedfor field survey were Ninthavur and Akkaraipattu; while in Batticaloa district the areas selected were Kalawanchikudy and Vantharumoolai. The analytical framework used in this study was the Maximum Livelihood Estimates (MLE) of the Stochastic Frontier Model estimated with the 'Frontier 4.1" computer software. Results of the study indicated significant differences in productivity, resource use and technical efficiency in both Ampara and Batticaloa districts. The average yield/acre in Ampara district in Yala was 20 % higher than in the Batticaloa district, while the figure was 8 % higher in Maha season. Total cost of production was higher in Ampara district for both seasons when compared to Batticaloa district. This was mainly attributed to the higher level of input use in Ampara district. Productive efficiency analysis indicates that the average technical efficiencies of paddy production were 64% and 82% in the Ampara and Batticaloa districts respectively. Also only about 12% and 61 % farmers in Ampara and Batticaloa districts respectively had a technical efficiency of over 80% during Maha season; while during Yala season the technical efficiency figures were 30% and 76% respectively. Overall the study revealed that Batticaloa district farmers were more efficient in production and over 60% of farmers had a technical efficiency of over 80% during Yala and Maha seasons. This is attributed mainly to small farm size in Batticaloa district. The findings suggest that increasing technical efficiency is the best approach of enhancing paddy production in both the districts. As both the two districts command a larger share of the total paddy production in the country, a concentrated effort should be made to raise their level of technical efficiency in the future.