Assessing Technical Efficiency and Influential Factors in Rice Production in Iraq: An Econometric Approach (1991-2022)

Abstract

Purpose: This paper examines the technical efficiency of rice production in Iraq and the factors affecting this technical efficiency from 1991 to 2022. Methodology: This study employs Stochastic Frontier Analysis (SFA) and data from FAOSTAT and the World Bank. The SFA entails a two-stage analysis. The first stage estimates the production frontier using population, irrigation water, agricultural machinery, and net national income. The second stage analyses technical efficiency scores against factors that explain variations in technical efficiency. These factors are the percentage of the rural population with access to electricity, annual freshwater withdrawal, yield, and percentage of women with secondary schooling.Results: The results show that inland water, population, agricultural machinery, and net national income significantly affect rice production in Iraq. Annual freshwater withdrawals and women’s education levels negatively affected technical efficiency (TE) scores. However, rice yield has positive consequences on TE scores. The model employed within this study explains a significant amount of variance in efficiency, and it also became statistically significant. Using the same number of inputs, Iraq can increase production of rice by 40%  Originality: This work offers an econometric approach to Iraqi rice production efficiency in a field with few previous studies. Findings showed the critical need for targeted intervention to enhance yield and water management to increase agricultural output and boost food security in Iraq.    .