Profit Efficiency and Technology Adoption of Boro Rice Production in Bangladesh

Authors

1 Department of Agribusiness & Marketing, Sher-e-Bangla Agricultural University, Bangladesh; Faculty of Economics, Thammasat University, Thailand

2 Department of Accounting & Information System, Jahangir Nagar University, Bangladesh

3 Department of Management & Finance, Sher-e-Bangla Agricultural University, Bangladesh

4 Department of Agribusiness & Marketing, Sher-e-Bangla Agricultural University, Bangladesh

5 Faculty of Economics, Thammasat University, Thailand

Abstract

This study aims to find out the profit efficiency and determinants of profit efficiency in Boro rice cultivation in Manikganj and Dhaka districts of Bangladesh. It also focuses on technology adoption and the effect of technology adoption on the profit efficiency of Boro rice cultivation in Bangladesh. Face-to-face interviews with one set of structured questions were used to get the information from 300 households that grew Boro rice. The findings showed that the profit efficiency of the farmer varied between 23% and 97%, with a mean of 76%, which implies that 24% of the profit is lost due to a combination of technical and allocative inefficiencies in Boro rice cultivation in the study area. The inefficiency model revealed that the education level of the farmer, farm size, variety of seed, and training& extension service influence the profit inefficiency significantly. The study also explained that the level of technology adoption index affects profit efficiency. The technology adoption in Boro rice cultivation is influenced by the education level of the farmer, farm size, and farm capital.

Keywords


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