Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam
Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-...
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Trường Đại học Kinh tế Tp. Hồ Chí Minh
2017
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Truy cập trực tuyến: | http://digital.lib.ueh.edu.vn/handle/UEH/55274 http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df http://doi.org/10.24311/jabes/2016.23.4.04 |
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Đại học Kinh tế Thành phố Hồ Chí Minh |
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Coffee Credit DakLak Income diversification Labor dependence Technical efficiency |
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Coffee Credit DakLak Income diversification Labor dependence Technical efficiency Ho Quoc Thong Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
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Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-economic conditions affecting coffee production efficiency. This study examines relationships among income diversification, rural credit loan, labor dependence, and technical efficiency in coffee production through a face-to-face survey with participation of 143 coffee farming households conducted in Cu M’gar District, Dak Lak Province, Vietnam. The stochastic frontier model shows that the mean of technical efficiency scores is 0.64, and it also verifies the existence of inefficiency variation. Both Maximum Likelihood Estimate (MLE) and Feasible Generalized Least Square (FGLS) consistently indicate that a higher level of diversity in income sources negatively affects coffee production efficiency. Additionally, independence in labor resource for coffee farming may help farmers increase technical efficiency of coffee production. Credit loan has a positive and statistically significant relationship with technical efficiency of coffee production. These relationships hold especially true for smallholder coffee farms with ethnic minority household heads. The policy options of credit loan access, intensive investment in coffee production rather than diversification of coffee farmers’ income sources, and independent management strategies for labor sources are suggested as an integrated approach to improve technical efficiency in coffee production of smallholder coffee farms. |
author2 |
Tuyet Hoa Niekdam |
author_facet |
Tuyet Hoa Niekdam Ho Quoc Thong |
format |
Journal Article |
author |
Ho Quoc Thong |
author_sort |
Ho Quoc Thong |
title |
Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
title_short |
Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
title_full |
Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
title_fullStr |
Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
title_full_unstemmed |
Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam |
title_sort |
labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of cu m’gar district, dak lak province, vietnam |
publisher |
Trường Đại học Kinh tế Tp. Hồ Chí Minh |
publishDate |
2017 |
url |
http://digital.lib.ueh.edu.vn/handle/UEH/55274 http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df http://doi.org/10.24311/jabes/2016.23.4.04 |
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AT hoquocthong labordependenceincomediversificationruralcreditandtechnicalefficiencyofsmallholdercoffeefarmsacasestudyofcumgardistrictdaklakprovincevietnam |
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1810056390420463616 |
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oai:localhost:UEH-552742021-09-21T07:34:14Z Labor dependence, income diversification, rural credit, and technical efficiency ofsmall-holder coffee farms: a case study of Cu M’gar district, Dak Lak province, Vietnam Ho Quoc Thong Tuyet Hoa Niekdam Coffee Credit DakLak Income diversification Labor dependence Technical efficiency Vietnam coffee sector plays a crucial role not only in the country’s economy but also in the global coffee market, and improving coffee production efficiency may benefit coffee producers. However, small-holder coffee farming households still encounter many difficulties regarding resources and socio-economic conditions affecting coffee production efficiency. This study examines relationships among income diversification, rural credit loan, labor dependence, and technical efficiency in coffee production through a face-to-face survey with participation of 143 coffee farming households conducted in Cu M’gar District, Dak Lak Province, Vietnam. The stochastic frontier model shows that the mean of technical efficiency scores is 0.64, and it also verifies the existence of inefficiency variation. Both Maximum Likelihood Estimate (MLE) and Feasible Generalized Least Square (FGLS) consistently indicate that a higher level of diversity in income sources negatively affects coffee production efficiency. Additionally, independence in labor resource for coffee farming may help farmers increase technical efficiency of coffee production. Credit loan has a positive and statistically significant relationship with technical efficiency of coffee production. These relationships hold especially true for smallholder coffee farms with ethnic minority household heads. The policy options of credit loan access, intensive investment in coffee production rather than diversification of coffee farmers’ income sources, and independent management strategies for labor sources are suggested as an integrated approach to improve technical efficiency in coffee production of smallholder coffee farms. 2017-09-14T11:02:25Z 2017-09-14T11:02:25Z 2016 Journal Article 1859 -1124 http://digital.lib.ueh.edu.vn/handle/UEH/55274 http://jabes.ueh.edu.vn/Home/SearchArticle?article_Id=3d33b1b7-ac74-4ef0-9480-7964a96fa6df http://doi.org/10.24311/jabes/2016.23.4.04 Journal of Economic Development JED, Vol.23(4) Aigner, D. J., Lovell, C. A. K., & Schmidt, P.(1977). Formulation and estimation of stochastic frontier production functionmodels. Journal of Econometrics, 6(1), 21–37. Alvarez, A., & Arias, C.(2004). Technical efficiency and farm size: A conditional analysis. AgriculturalEconomics, 30(3), 241–250.http://doi.org/10.1111/j.1574-0862.2004.tb00192.x Battese, G. E. 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