Technical inefficiency of Dutch vegetable farms: Specific-input analyses


Differences in technical efficiency across farms are one of the major factors explaining differences in farm survival and growth and changes in farm industry structure. This study employs Data Envelopment Analysis (DEA) to compute technical inefficiency scores for output, energy, materials, pesticides and fertiliser of a sample of Dutch indoor vegetable farms within the period 2006–2016. A bootstrap truncated regression model is used to determine statistical associations between producer-specific characteristics and technical inefficiency scores for the specified inputs. For the sample of indoor growers, the average technical inefficiency was about 14% for energy, 23% for materials, 24% for pesticides and 22% for fertilisers. The bootstrap truncated regression suggested that the degree of specialisation exerts adverse effects on the technical inefficiency of variable inputs. While age, short-term, long-term debt and subsidy were statistically significant, the coefficients were not economically significant. Building the capacity of farmers to reduce input inefficiency will enable farmers to be competitive and reduce the adverse effects of input overuse on the environment.

In Plos one
Click the Cite button above to demo the feature to enable visitors to import publication metadata into their reference management software.
Create your slides in Markdown - click the Slides button to check out the example.

Supplementary notes can be added here, including code, math, and images.

Kevin Schneider
Kevin Schneider
Scientific Officer

My research interests include machine learning, simulations, and bio-economic modelling with an agricultural and ecological focus.