Technology adoption and technical efficiency of smallholder farmers in Tolon district of Ghana: double bootstrap DEA approach

Abstract The study explored the impact of improved variety adoption on technical efficiency of smallholder maize farmers in Tolon District of northern Ghana. Smallholder maize farmers in the study area were sampled using random sampling technique. Double bootstrap data envelopment analysis was applied to estimate technical efficiency and its determinants. The results indicate that producers in the study area have a bias-corrected technical efficiency of 57% under variable returns to scale (VRS) assumption and 52% under constant returns to scale (CRS) assumption. Controlling for potential endogeneity of the adoption variable, the results indicate that adoption of improved varieties enhance technical efficiency of maize farmers in the study area. Technical efficiency of the farmers increased with herd size but decreased with years of formal education, household size, extension contact, frequency of weeding, and farm size. Ensuring that improved seeds are made available and affordable to smallholder farmers and promotion of livestock rearing are policy measures likely to enhance technical efficiency of smallholder farmers.