Characteristics that Influence Technical Efficiency of Corn Production in Mexico

Abstract

This study examines the extent to which technical efficiency is related to certain corn producers' characteristics. With data gathered by survey, 229 farms in the Sinaloa valley, Mexico are used to estimate a stochastic frontier model in 2016. The main finding of this work is that membership in a farmers' association has a positive effect on efficiency. There is also a positive relationship between efficiency and formal education, age, land ownership, and soil analysis. The prevailing level of efficiency among maize producers is 0.84, implying there is room for improvement with the current technology.