Efficiency of Root Crop Production in the Fiji Islands

Abstract

Improvements in the efficiency of agricultural production represent an important source of growth for the Fiji Islands economy. An analysis of the nature and extent of efficiency differences between root crop farmers suggests that there are modest, but economically significant gains that can be made from improving farm level efficiency. On average, around 25% of root crop production is lost due to technical inefficiency. Although our results did not show that larger producers were more efficient than smaller semi-subsistence producers we did find that focus on a smaller range of crops and concentration on farming in terms of work time both tended to improve the efficiency of farmers that produced dalo. The implications of these results for the agricultural R&D system are discussed. The key policy finding is that given the modest gains in production that are feasible from improving technical efficiency, a major growth in root crop production and consumption is likely to be more dependent on the introduction of new technology than the better dissemination of the existing technology.