Technical Efficiency of Yak Milk Producers in Eastern Himalayas: A Stochastic Frontier Analysis Approach

Yak herding is a traditional livelihood practiced in the high-altitude regions of Arunachal Pradesh, India, where yak milk serves as a vital source of nutrition and income for pastoral communities. Given the challenging terrain, limited resources and changing climatic and market conditions, assessing the technical efficiency of yak milk production is essential to enhance productivity and improve livelihoods.

This study employs a Cobb-Douglas stochastic frontier production function to estimate the technical efficiency of 233 yak herders from Tawang and West Kameng districts. Primary data were collected through structured interviews and key input variables included herd size, green and dry fodder, mineral mix and labour hours.

The results revealed that inputs such as herd size, green fodder, dry fodder and concentrates significantly influenced milk yield, while labour input had an insignificant effect. The mean technical efficiency of the sample was estimated at 87.52%, with room for improvement of 12.48% through better input management. Efficiency levels varied across farm sizes and geographic circles, with large herders and those in the Thingbu circle achieving the highest efficiency scores. These findings suggest the need for targeted interventions to enhance productivity and support sustainable yak herding systems in the Eastern Himalayas.