Technical efficiency of carp production in Nepal: An application of stochastic frontier production function approach*

Abstract

Modern aquaculture is a relatively new activity among Nepalese farmers and a small contributor to the economy. Given the abundance of water resources and fish species, rising demand for fish, and its high profitability, aquaculture has potential for future expansion if it is given appropriate attention from the government. In Nepal, productivity in aquaculture is much lower compared to other countries in the region, which suggests that there is potential for increased fish production through technological progress and improvement in farm‐level technical efficiency. However, no formal analysis has yet been conducted to assess the productive performance of Nepalese aquaculture and its potential for future improvement. Against this background, this paper examines the technical efficiency and its determinants for a sample of fish pond farms from the Tarai region of the country using a stochastic production frontier involving a model for technical inefficiency effects. The estimated mean technical efficiency is 77%, with intensive farms being more efficient than extensive farms. The adoption of regular fish, water, and feed management activities has a strong positive effect on technical efficiency.     

Technical efficiency of carp production in Pakistan

Abstract

The main objective of this study is to examine technical efficiency and its determinants in carp pond culture in Pakistan. A stochastic production frontier involving the model for technical inefficiency effects is applied separately to the samples of semi‐intensive/intensive and extensive carp producers. The mean technical efficiencies for semi‐intensive/intensive and extensive farms were 0.673 and 0.561, respectively. By operating at full technical efficiency the semi‐intensive/intensive farms could, on average, increase their production from 3.0 to 4.5 Mt/ha and the extensive farms from 2.6 to 4.6 Mt/ha. Much of these efficiency gains would come from the improvement in fish, water and feed monitoring and management. Besides improving technical efficiency, potential also exists for raising carp productivity through increased intensification and technological progress. However, the realization of these potentials will depend on continuous government support for adequate provision of inputs, market and infrastructure, technology transfer and development and extension and credit services to carp farmers.     

Technical efficiency of cage fish farming in Peninsular Malaysia: a stochastic frontier production approach

The study estimates technical efficiency and investigates the factors affecting the technical inefficiency of cage fish farming in Peninsular Malaysia. The study employs the stochastic frontier function to estimate a production frontier and technical inefficiency model. The data were collected using standard structured questionnaires completed by sample cage fish farmers in the study area. The result reveals an estimated mean technical efficiency score of 0.79, implying that the sample fish farmers are operating 21% below the production frontier and thus, there is room for improvement. The production function involves the use of one output and four inputs, which are stocking density, feed, labour and other relevant production costs. The coefficients of all the inputs have positive signs and statistically significant impacts on the output. The output elasticity associated with stocking density is the highest (0.634), followed by feed (0.317). The null hypotheses that the technical inefficiency effects are absent from the model and that the combined exogenous variables do not influence inefficiency are strongly rejected. The individual's null hypotheses of no age effect, no experience effect, no education effect, no species effect, no extension services effect, no workshop attended effect and no diseases effect on technical inefficiency are all rejected at different levels of statistical significance.     

Technical efficiency of carp polyculture production in Jiangsu,China: a ray stochastic frontier production approach

This study aims to examine the technical efficiency of crucian carp polyculture systems in Jiangsu province, China, applying stochastic frontier analysis. Prior aquaculture polyculture studies using this method neglected the multi‐output nature of polyculture and aggregated all of the outputs into a single index. In this paper, we use a ray production function and adopt it in the stochastic front‐ier framework. Production functions defined as Cobb–Douglas and Translog specifications are both employed to compare cross‐sectional data collected for 144 farmers in 2012. The results reveal that the Translog specification captures the production behaviour and that there is an evident technical inefficiency in the polyculture setting. The mean technical efficiency is 79%. The farms that applied the new polyculture system demonstrate significantly greater efficiency on average than farms that applied the traditional polycult‐ure system. The output elasticity with respect to the polar coordinate angle θ₁ is calculated to be 0.17. This represents a 0.17% increase in the output norm with a 1% increase in the output mix with fixed proportions between crucian carp and filter‐feeding fish. The output elasticity with respect to the polar coordinate angle θ₂ is ?0.26. This represents a 0.26% decrease in the output norm due to a 1% increase in the output mix with the level of grass carp held constant. Hence, decision makers should be informed that the adopting of new species to the traditio‐nal system may be an effective way to unlock the productive potential of pond aquaculture in Jiangsu province.     

Technical efficiency analysis of milkfish (Chanos chanos) production in Taiwan—an application of the stochastic frontier production function

Milkfish has been farmed in Taiwan for over 300 years. Faced with limited land resources, a labor shortage, decreasing demand, and growth of imported fisheries products, the industry is looking at the problem of how to maintain a sustainable and efficient production. This study specifies a stochastic production frontier function to estimate potential milkfish farm output and efficiency by using 1997–1999 data from a survey of 433 aquaculture milkfish farms. Both Translog and Cobb–Douglas frontier production models are estimated using the maximum likelihood estimation method. Empirical results show that the Translog stochastic production function model fits the data better and that milkfish farming in Taiwan exhibits diminishing returns to scale. We also compare estimated maximum potential milkfish production per hectare under various pond conditions to provide managers with information about how to boost efficiency. In addition, this study estimates substitution elasticities and complementarity of input factors for milkfish farms to provide helpful information for milkfish farmers on how to reallocate input resources and help raise milkfish productivity through improvements in technical efficiency.     

A review of production frontier analysis for aquaculture management

Abstract

This paper examines recent advances in production economics with special reference to efficiency measurement using production frontiers and its implications for aquaculture management. Compared with agriculture and other industries, the use of production frontiers in aquaculture is still very limited. However, in recent years several frontier applications in aquaculture have appeared in the literature, suggesting potential applications of these techniques in aquaculture. A synopsis of stochastic frontier production function model and data envelopment analysis (DEA), the two most popular approaches to efficiency measurement, is presented, followed by a review of recent frontier studies in shrimp, carp and tilapia production. The paper concludes with a brief discussion of future development and prospects of frontier applications for aquaculture management.     

Technical efficiency of different farm sizes for tilapia farming in China

China is the world's largest tilapia producer. This study uses the stochastic frontier function in the Cobb–Douglas model to evaluate a production frontier for tilapia aquaculture and analyses the relationship between farm size and production efficiency in China. A random sample of 300 tilapia farmers was surveyed in the main tilapia‐producing areas to study their economic efficiencies. The percentage distribution of tilapia farm technical efficiency was determined, with an average efficiency of 79%, which showed that the sample tilapia farmers operate at 21% below the production frontier and hence that they still have a chance to achieve targeted yields. The technical efficiencies of two categories (≤1 ha and >1 ha) were 78.82% and 79.27% respectively. A second‐stage analysis investigated the relationship between farm size and technical efficiency and showed a positive relationship between farm size and production efficiency based on the ordinary least‐squares model. The optimal farm size was found to be 7.50 ha. This study proposes strategies such as enlarging the farming scale moderately, thereby achieving the advantage of economies of scale, and enhancing the competitiveness of the tilapia industry in China.     

Stochastic modeling of production risk and technical efficiency of Thai koi (Anabas testudineus) farming in Northern Bangladesh

Thai koi is one of the high commercially valued farm fishes which have expanded tremendously in the northern part of Bangladesh. However, despite its impressive growth in the initial years, output of the industry is highly volatile across different years and farms. This research, following the Just and Pope framework, has made use of Kumbhakar’s (2002 Kumbhakar, S.C. (2002) Specification and estimation of production risk, risk preferences, and technical efficiency. American Journal of Agricultural Economics, 84, 8–22.[Crossref], [Web of Science ®] , [Google Scholar]) extended stochastic frontier model (SFM) to estimate production risk and technical efficiency (TE) in Thai koi farming. Results show that feed is the most important input significantly influencing production. Zeolite and pesticide appear to be risk-reducing, while fingerlings, labor, feed and salt turn out to be risk-increasing inputs. The inefficiency model indicates that labor and pond area significantly reduce the technical inefficiency. Feed, fingerling and lime also act as TE-improving factors. Education of farmers improves TE, while experience, training and frequency of water change do not impact the TE. The mean TE scores are 0.73 and 0.96 for the flexible risk estimate and conventional SFM estimates, respectively. TE values appear to become exaggerated when production risk is excluded from the model. SFM recognizes that risk is involved in Thai koi farming that causes lower TE.     

Technical efficiency in tilapia farming of Bangladesh: a stochastic frontier production approach

Genetically improved farmed tilapia is increasingly getting popular in Bangladesh. It has high production potential. Its dominant production technology ranges from extensive to improved extensive particularly in the rural areas. This study estimates levels and determinants of farm-level technical efficiency of tilapia farmers of Bangladesh using stochastic frontier production function involving a model for technical inefficiency effects. Data from fifty tilapia farmers of Jessore district are used in the analysis. The mean technical efficiency level of the tilapia farmers is 78%, and thus, the farmers operate 22% below the frontier production. Inefficiency effect is significant, and age, education, income, culture length, pond age, pond depth, water colour and pond tenure, as a group, are significant determinants of technical inefficiency. By operating at full technical efficiency levels, tilapia yield can be improved from the current level of 7.36–8.96?tons per hectare. The decision to add or not to add inputs is sometimes taken arbitrarily and not based on technology requirement. There is a lack of understanding of the technology practices. Fisheries extension efforts are required for proper understanding of the technology practices, further adoption and spread. For promotion of tilapia production, quality feed and seed at affordable price needs to be ensured.     

Efficiency of culture-based fisheries production in village irrigation systems of Sri Lanka

Despite the growing popularity of culture-based fisheries (CBFs) associated with village irrigation systems (VISs) in Sri Lanka, there is less knowledge about factors that influence productivity levels. CBFs compete with rice for access to water in the VIS, so maximizing the efficiency of CBFs is essential to ensure that the limited water resources are used most effectively. To address this, primary data from 325 fish farming groups were used to estimate a stochastic translog production frontier. Technical efficiency in these irrigation systems was found to be generally low, and substantially lower than that of other aquaculture production systems in other Asian countries. This suggests that production can be increased substantially with better management using existing technology and resources. Removing subsidies, improving consultation with extension officials and improving water user rights – in particular, the introduction of a transferable community quota system – were found to be key means for improving efficiency.     

Technical efficiency of carp pond culture in South Asia: An application of a stochastic meta‐production frontier model

Abstract

A stochastic meta‐production frontier model is estimated to examine the inter‐country differences in levels of technical efficiency of semi‐intensive/intensive and extensive carp pond culture systems among the major carp producing countries in South Asia, namely India, Bangladesh, Pakistan, and Nepal. The mean technical efficiencies for semi‐intensive/intensive farms vary from 0.68 for Nepal to 0.79 for India, with an overall average of 0.75 and those for extensive farms vary from 0.48 for Bangladesh to 0.62 for Pakistan, with an overall mean of 0.57. Differences in efficiency levels are explained in terms of various farm‐specific and country‐specific factors by estimating a model for technical inefficiency effects. The adoption of recommended fish, water, and feed management practices is found to be critical for improved performance of carp producers. For each country, the study also compares the efficiency scores based on its own production frontier with those obtained from the meta‐production frontier.     

Asian carp farming systems: towards a typology and increased resource use efficiency

Resource use efficiency in Asian carp farming systems is analysed based on a survey of 2493 farms of nine countries. Multivariate classification of farms by intensity and diversity identified six farm types: four types of specialized aquaculture farms at different levels of intensity, and two types of integrated agriculture–aquaculture systems. Pond‐based, specialized semi‐extensive systems (using mainly inorganic fertilizers and feeds of off‐farm origin), and integrated semi‐intensive systems (using feeds and fertilizer of both on and off‐farm origin) are by far the most common types, accounting for 59% and 27% of all farms respectively. Specialized semi‐extensive systems also show the highest protein and nutrient (N and P) use efficiencies, and among the highest labour use efficiency. Super‐intensive cage farms are less efficient in nutrient and labour use, but provide very high returns to land and capital investment. On average, the aquaculture components of integrated agriculture– aquaculture systems are less nutrient, land, and labour efficient than specialized semi‐extensive systems. Integrated semi‐extensive systems (using organic fertilizers of on‐farm origin) are particularly inefficient across all indicators. Hence in practice, gains in overall resource use efficiency through on‐farm integration with agricultural production are constrained by the relative inefficiency of the aquaculture subsystems on integrated farms. Although such systems can likely be improved, integration as such is not a panacea to increasing resource use efficiency. Wide variation in resource use efficiency within all systems indicates potential for substantial efficiency gains through improved management regardless of the fundamental choice of system.     

确定性前沿模型及其在测定我国农户精养淡水鱼技术效率中的应用

研究概述了确定性前沿模型的产生、分类、特点、参数求解方法及其在我国的应用现状。在此基础上,以2002年和2003年我国农户精养淡水鱼成本收益资料为样本,应用前沿模型理论建立了我国农户精养淡水鱼的确定性统计前沿模型并测定了这两年中我国主要淡水鱼养殖省市的农户精养淡水鱼技术效率,得出结论为:物质资本投入对我国农户精养淡水鱼产出的影响远大于劳动力投入;我国农户精养淡水鱼生产处于规模报酬不变阶段;我国农户精养淡水鱼生产存在着较大的技术无效性和管理缺失现状,这一现状存在着明显的地区差异和时间差异。     

Profitability and technical efficiency of aquaculture systems in pampaanga,philippines

Abstract

We evaluate the profitability and technical efficiency of aquaculture in the Philippines. Farm‐level data are used to compare two production systems corresponding to the intensive monoculture of tilapia in freshwater ponds and the extensive polyculture of shrimps and fish in brackish water ponds. Both activities are very lucrative, with brackish water aquaculture achieving the higher level of profit per farm. Stochastic frontier production functions reveal that technical efficiency is low in brackish water aquaculture, with a mean of 53%, explained primarily by the operator's experience and by the frequency of his visits to the farm. In freshwater aquaculture, the farms achieve a mean efficiency level of 83%. The results suggest that the provision of extension services to brackish water fish farms might be a cost‐effective way of increasing production and productivity in that sector. By contrast, technological change will have to be the driving force of future productivity growth in freshwater aquaculture.     

Production risk,technical efficiency,and input use nexus: Lessons from Bangladesh aquaculture

The optimal use of resources in aquaculture is important, especially in developing countries, to obtain the highest possible outcome from the production process to support food security and poverty alleviation. Thus, within this study, the risk, efficiency, and input‐use variation in aquaculture farms in Bangladesh is investigated using a flexible stochastic frontier model with a risk and an inefficiency function. The results reveal that feed, labor, and capital have positive and significant impacts on production. In addition, an increased fingerling density and a larger farm increase the risk, whereas the use of feed and the capital invested have the opposite effect. Access to extension services has a positive effect and increases farm efficiency. An investigation of the farm size–productivity inverse relationship reveals that this phenomenon is not applicable to Bangladesh aquaculture. In general, efficient farmers are large‐scale farmers, who use a lower stocking density but a higher feeding intensity, resulting in a higher yield. On average, farmers use less labor and feed than what is optimal. To increase efficiency and reduce risk, it is recommended that more technical knowledge on optimal input use, extension service, and capital is made available to aquaculture farmers.     

长江中下游鲢、鳙、草鱼、青鱼种群分化的同工酶分析

为查明长江中下游鲢、鳙、草鱼、青鱼有无不同种群，用聚丙烯酰胺凝胶电泳测定了长江中游天鹅洲故道、汉阳、瑞昌江段和下游安庆江段鲢、鳙、草鱼、青鱼各４个群体间的生化遗传变异。同种鱼各群体间的遗传变异未见有显著差异。遗传距离Ｄ值均小于０．００１。由此，初步认为长江中下游的鲢、鳙、草鱼、青鱼应各属一个没有显著遗传分化的种群，我们称之为“长江种群”。因而，在长江中下游选择一处优良保护场所就有可能达到就地保护长     

罗非鱼生产技术效率与市场竞争力的关系分析

我国罗非鱼产量不断增长,但出口利润却一直在下降,市场竞争力不断下降,提升其市场竞争力的关键在于提高罗非鱼的生产技术效率。本文探讨了技术效率对市场竞争力的影响机理,同时通过国家罗非鱼产业技术体系示范县跟踪点养殖户的调研数据,利用随机前沿生产模型(SFA)对罗非鱼生产技术效率进行测算,统计分析了罗非鱼生产技术效率与其市场竞争力的关系,证实了技术效率是市场竞争力的重要影响因素,并指出提高技术效率是扭转罗非鱼市场竞争力下滑的关键。     

Estimating production costs of preadult redclaw crayfish,Cherax quadricarinatus,reared in a commercial nursery system: A stochastic bioeconomic approach

A stochastic bioeconomic model was used to estimate the production cost and risk factors affecting economic performance of juvenile redclaw crayfish, Cherax quadricarinatus, commercial nursery production, in a farm located in Baja California Sur, Mexico. At harvest, the biological submodel showed there is 95% confidence to obtain an average weight of 19.98 g, with 126,341/ha surviving organisms, representing 84% survival. Biomass was 2.5 t/ha, with a feed conversion ratio (FCR) of 0.98, reflecting the efficient adaptation of the species to culture conditions. The economic submodel showed that at Day 90, there is 95% confidence that the cost of producing a preadult will be US$0.090 or US$4.55/kg. With increasing demand and worldwide sale prices of US$9/kg, there is a potential market for 20–30 g redclaw reared in intensive lined ponds. Sensitivity analyses showed that the regression coefficients from a second‐order polynomial used for calculation of FCR associated with time (a₂ and a₁) were the most important parameters influencing the production cost. Mortality rate and parameters used to calculate individual weight also had considerable influence on production cost. The bioeconomic analysis contributes significantly to establishing the economic viability of the intensive three‐phase production system.     

Effects of feeding rates on growth and production of Nile tilapia, common carp and silver carp polycultured in fertilized ponds

Abstract In an attempt to identify appropriate feeding rates for multispecies of fish raised in fertilized earthen ponds, the present work was conducted over a 19‐week experimental period to establish the growth performance, production and body composition of Nile tilapia, common carp and silver carp fed 0.0%, 0.5%, 1.0%, 3.0%, 5.0% biomass and to apparent satiation (treatments). Twelve ponds were stocked with a similar number and weight of each fish species. Two ponds were assigned to each of the treatments, and a 25% protein pelleted fish feed was used to feed fish at the specified rate of feeding. At the end of the experiment, growth, weight gain, survival, yield and body composition of fish groups were affected by the treatments. The economic effectiveness also varied among treatments. The most conspicuous attribute of the feeding rates was its lack of influence on growth (g day^?1), weight gain (g per fish), yield (kg ha^?1) or body composition of silver carp. The results of whole‐body proximate analysis indicated that various feeding rates had either an irregular pattern or no effects on the protein and ash gain per 100 g of fish body weight (bw) gain. The most notable exceptions were significant (P < 0.05) increases in body fat and gross energy gains in Nile tilapia, common carp and silver carp accompanied by decreases in percentages of moisture (but not in silver carp) as feeding rate increased. Among the six different feeding levels, feeding to apparent satiation (feed amount was equivalent to 2.67% of fish bw day^?1) appeared to be optimal, as it significantly (P < 0.05) supported the highest fish production, income and net profit compared with all other treatments except for the 3% feeding level, for which the differences in those measurements were comparable.     

Hormonal replacement therapy in fish:human growth hormone gene function in hypophysectomized carp

Transgenic common carp,Cyprinus carpio, produced by the microinjection of fertilized eggs with a linearized chimeric plasmid pMThGH, a human growth hormone (hGH) gene with a mouse metallothionein-1 (MT) gene promoter in pBR322, were used to produce F₁ and F₂ transgenics. Following hypophysectomy of the transgenic F₂ common carp, non-transgenic common carp and non-transgenic crucian carp, growth was monitored for up to 110 days. In addition, recombinant hGH was injected subcutaenously into a group of the non-transgenic crucian carp. Growth rate analyses indicated that (1) hypophysectomy of non-transgenic common carp and crucian carp results in the cessation of growth, (2) hGH administration can stimulate the growth of hypophysectomized crucian carp and (3) hypophysectomized hGH-transgenic common carp continue to grow in the absence of their own growth hormone, suggesting that the hGH-transgene is being expressed in tissues other than the pituitary.