Determinants of Rice Yield in Central Khyber Pakhtunkhwa, Pakistan

Abstract

Inputs’ application in production process determine the level of output in agriculture. This study therefore attempted to investigate determinants of rice yield in central Khyber Pakhtunkhwa, Pakistan. A random sample of 275 rice growers was selected from district Swabi, using a multi-stage random sampling procedure. Pre-tested interview schedule was used for collection of data from rice growers. Through Cobb-Douglas type production function (CDPF) data was analyzed. Results indicated that 1 percent increase in labor hours and urea increased yield by 0.411% and 0.231%, respectively, at 0.01 level of α (p-value = 0.000). A percent increase in number of irrigation and tractor hours increased yield by 0.110% and 0.044%, respectively, at 0.05 level of α while chemicals increased yield by only 0.029% but was statistically insignificant. Summing up all the estimated coefficients of the regressed model resulted a value of 0.8266, implying that rice growers in the study area were operating with decreasing returns to scale. Findings of this endeavor revealed that a percent increase in labor hours, urea fertilizer and irrigation has enhanced rice productivity by 0.41%, 0.23% and 0.11%, respectively. Therefore, farmers need to increase labor hours, application of urea fertilizer and irrigation for accelerating rice output. Decreasing return to scale (DRS) was found in the use of all inputs, therefore reallocation of these inputs is suggested and application of tractor hours and chemicals need to be rationalized.