The economic efficiency analysis of some rice mills in Egypt by using DEA and SFA

The main aim of this paper is measuring the economic efficiency of the rice mills public sector in Egypt and comparing the best company according to the economic efficiency. This aim is achieved by estimating the economic efficiency using Data Envelopment Analysis (DEA) and Stochastic Frontier Approach (SFA). This paper is based on some unpublished secondary data which is obtained from the rice mills of the public sector in Egypt from 2003 to 2014. The paper focuses on five main companies which are Domyat and Belqas, Dakahlia, Gharbia, Behiera and Kafer El-Sheikh. The most important results are that according to the dependent variable production (Y1), there is economic efficiency in rice mills Domyat and Belqas and Kafer El-Sheikh score by 1. While in rice mills Gharbia, Dakahlia and Behiera score by 40%, 49.3%, 38% (efficiency = 0.401, 0.507, and 0.622) respectively. While according to the dependent variable sales (Y2), there is economic efficiency in rice mills Domyat and Belqas, Gharbia, Dakahlia and Kafer El-Sheikh score by 1. While Behiera rice mills has economic inefficiency score by 21% (efficiency = 0.791)

The economic efficiency analysis of some rice mills in Egypt by using DEA and SFA

The main aim of this paper is measuring the economic efficiency of the rice mills public sector in Egypt and comparing the best company according to the economic efficiency. This aim is achieved by estimating the economic efficiency using Data Envelopment Analysis (DEA) and Stochastic Frontier Approach (SFA). This paper is based on some unpublished secondary data which is obtained from the rice mills of the public sector in Egypt from 2003 to 2014. The paper focuses on five main companies which are Domyat and Belqas, Dakahlia, Gharbia, Behiera and Kafer El-Sheikh. The most important results are that according to the dependent variable production (Y1), there is economic efficiency in rice mills Domyat and Belqas and Kafer El-Sheikh score by 1. While in rice mills Gharbia, Dakahlia and Behiera score by 40%, 49.3%, 38% (efficiency = 0.401, 0.507, and 0.622) respectively. While according to the dependent variable sales (Y2), there is economic efficiency in rice mills Domyat and Belqas, Gharbia, Dakahlia and Kafer El-Sheikh score by 1. While Behiera rice mills has economic inefficiency score by 21% (efficiency = 0.791)