Technical Efficiency of Paddy Production in Madurai District-DEA Approach
Yogitha P *
Department of Agricultural Economics, Faculty of Agriculture, Annamalai University, Annamalai Nagar, Chidambaram, Cuddalore, Tamil Nadu, India.
Sita Devi K
Department of Agricultural Economics, Faculty of Agriculture, Annamalai University, Annamalai Nagar, Chidambaram, Cuddalore, Tamil Nadu, India.
*Author to whom correspondence should be addressed.
Abstract
Paddy (rice) farming plays a crucial role in the agricultural sector of many developing nations, especially across Asia, where it serves as the main dietary staple and supports countless farmers' livelihoods. However, paddy cultivation encounters several issues, including suboptimal productivity, ineffective resource use and unstable market dynamics. With growing population demands and limited cultivable land, enhancing the efficiency of paddy production has become essential for achieving food security and boosting the economic well-being of farming communities. A sample of 120 respondents was collected from the Madurai district. This study examines the technical efficiency of paddy production by assessing how effectively farmers convert inputs into output. Cost and returns analysis indicate that net income obtained by the farmers are Rs. 20477 per hectare in paddy cultivation. Using analytical methods like Data Envelopment Analysis (DEA), the research identifies efficiency levels across different farming units and highlights the factors influencing performance variations. The study revealed 60 % technical efficiency and 66.66 scale efficiency in paddy cultivation. The variable return to scale has a mean efficiency of 0.978. The results indicated that the existence of scale inefficiencies emphasizes the need for focused efforts to enhance resource use and productivity in paddy farming.
Keywords: Technical efficiency, scale efficiency, data envelopment analysis