Economic Affairs
  • Year: 2017
  • Volume: 62
  • Issue: 4

Estimation of Total Factor Productivity and its Determinants of Maize in Telangana State

Department of Agricultural Economics, College of Agriculture, PJTS Agricultural University, Rajendranagar, Hyderabad, Telangana, India

*Corresponding author: deep.psb@gmail.com

Online published on 19 February, 2018.

Abstract

Total factor productivity (TFP) growth and its determinants of maize in Telangana state was estimated from 2000–01 to 2012–13 using parametric approach. The data on the quantity and price of the output of rice and various inputs were collected from the published documents of the “Cost of Cultivation of Principle Crops” scheme of Government of India. The data on the variables like government expenditure on agricultural research, extension and education was collected from the office of the Accountant General of the Government of Telangana, Hyderabad. Other required data were collected from various published documents of the Directorate of Economics and Statistics, Hyderabad. The study revealed that there was 51% improvement in the TFP of maize in Telangana state in 2012–13 when compared to the base year (2000–01) with an annual compound growth rate of 3.5%. Average rainfall in the state and percentage irrigated area under the crop were found to be the most important drivers of TFP growth of maize in the state with regression coefficients of 0.606 and 0.034 respectively. Governments’ expenditure on agricultural research, extension and education were also found to be positively influencing the TFP growth.

Keywords

Total factor productivity (TFP), Tornqvist indices, parametric approach, maize productivity, Telangana state