PRODUCTION EFFICIENCY, ADOPTION, AND IMPACT OF WHEAT PRODUCTION TECHNOLOGY PACKAGES ON SMALLHOLDER FARMERS' FOOD SECURITY AND INCOME IN HORO GUDURU WOLLEGA ZONE, OROMIA REGION, ETHIOPIA

Abstract

Ethiopia. However, its production is inefficient, and its technology packages adoption and contributions to households’ food security and income are low in the country. This study is aimed at examining production efficiency, adoption, and impact of wheat production technology packages on smallholder farmers’ food security and income in the study area. A multi-stage sampling procedure was used to select a representative sample and the survey data were collected from a randomly selected 302 sample households proportional to size at each sample unit. Data were analyzed by using descriptive and inferential statistics and econometric models. Parametric stochastic frontier models of Cobb- Douglas type production and cost functions revealed that the mean technical, allocative, and economic efficiencies of wheat production were 0.810, 0.881 and 0.714, respectively. The Tobit model results of determinants of efficiency differentials (technical, allocative, and economic efficiencies) revealed that education level positively and significantly and farm size negatively and significantly influenced all efficiency differentials. Soil fertility status and use of improved seed had a positive and significant effect on the technical and economic efficiency of wheat production, while farm distance negatively and significantly influenced. Family size positively and significantly affected allocative and economic efficiency, while the technical efficiency of wheat production is positively and significantly affected by the number of livestock owned. The adoption intensity of wheat technology packages was analyzed by using a two-limit Tobit model and results show that education level of household, access and purchase of improved seed, livestock owned, farm training, annual farm income and access to off/non-farm income had positive and significant effect, while distance from the nearest market had a negative and significant effect. The multinomial logit modelresults revealed that households’ decisions to adopt wheat technology package combinations are significantly influenced by sex, education level of household head, distance to nearest market farm areas and training centers, ownership of telephone devices, agricultural cooperative membership farm size, livestock, and landholding size. The multinomial endogenous switching regression model results indicate that adoption of full recommended wheat technology packages has a greater positive impact of 21.71%, 11.31% and 3.38% on households’ food consumption score, dietary diversity score and wheat production income, respectively. The findings of the study contribute for the National Wheat Flagship Program of wheat self-sufficiency for better food security, sustained livelihood outcomes and import substitution. Therefore, agricultural policymakers, development organizations, and qualified agricultural practitioners should engage in the improvement of wheat production efficiencies and full technology packages adoption through timely supplying improved seed and solving its access barriers, usage of recommended types and amounts of inputs, improving financial services and strengthening the extension workers’ role for advising and training farmers, strengthening adult literacy programs and farm input-oriented institutions