Technology gap in sheep farms in Türkiye

Canan, Selime

doi:10.37496/rbz5220230022

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Animal production systems and agribusiness • R. Bras. Zootec. 52 • 2023 • https://doi.org/10.37496/rbz5220230022 copy

Technology gap in sheep farms in Türkiye

Authorship SCIMAGO INSTITUTIONS RANKINGS

ABSTRACT

The objective of this study was to spatially estimate the technical efficiency of sheep farms and explore the factors affecting the technical efficiency. Research data were collected randomly from 328 selected sheep farms in Ankara, Antalya, Diyarbakir, Konya, Mersin, and Sanliurfa provinces in Türkiye. The meta-frontier technical efficiencies (MTE) were estimated by using a stochastic meta-frontier production model. The meta-frontier technology ratio (MTR) was used to calculate the distance from the individual frontier to the meta-frontier. The determinants of technical efficiency were explored by using the two-limit Tobit model. Research results showed that the technical efficiency level of sheep farms varied spatially. The MTE of sheep farms in Ankara, Antalya, Diyarbakir, Konya, Mersin, and Sanliurfa were 0.45, 0.24, 0.25, 0.36, 0.42, and 0.21, respectively. The MTR was the highest in Konya, while the smallest was in Sanliurfa. Research results also showed that the variables of family size, education level of the operator, liquidity, return on asset, and information on sheep breeding positively affected the technical efficiency level of sheep farms. In contrast, total capital and farmland were negatively affected. The study suggests strengthening the economic viability of sheep farms and increasing their knowledge of sheep breeding to increase the technical efficiency level of sheep farms.

efficiency determinants; meta-frontier technical efficiencies; meta-technology ratio; sheep

Variable¹	Ankara	Antalya	Diyarbakir	Konya	Mersin	Sanliurfa	Total
Operating capital (thousand TRY)*	636.42 (520.37)	625.86 (447.08)	859.82 (724.89)	1018.94 (851.14)	610.29 (296.28)	945.69 (936.45)	782.8 (646.04)
Number of memberships***	1.44 (0.63)	1.00 (0.01)	1.13 (0.33)	1.84 (0.41)	1.12 (0.33)	1.02 (0.13)	1.26 (0.31)
Family size (person)**	2.46 (0.80)	2.61 (0.76)	5.56 (1.94)	2.75 (1.15)	2.35 (0.73)	8.82 (4.81)	4.09 (0.93)
Total capital (thousand TRY)*	4821.29 (4012.33)	2754.94 (2148.73)	2306.31 (2403.67)	13306.68 (11313.11)	1492.98 (1184.48)	2452.67 (2380.71)	4522.48 (3910.51)
Current ratio*	0.92 (0.57)	0.42 (0.08)	0.58 (0.31)	0.48 (0.85)	0.22 (0.35)	0.93 (0.12)	0.59 (0.38)
Education (year) *	9.40 (2.72)	10.12 (4.04)	7.72 (5.32)	9.96 (3.64)	9.36 (2.64)	7.36 (4.04)	9.00 (1.72)
Return on asset (%)***	8.18 (24.62)	−10.20 (16.57)	−23.58 (36.85)	9.87 (29.68)	0.47 (20.79)	−29.27 (35.20)	−7.14 (27.29)
Having certification on sheep breeding (%)**	19.23	80.56	18.18	28.57	66.15	10.53	37.20
Record keeping (%)*	26.92	41.67	14.55	42.86	40.00	52.63	36.44
Experience of operator (year)**	26.13 (16.94)	23.44 (14.95)	32.95 (14.77)	20.62 (14.12)	31.97 (11.37)	34.65 (14.36)	28.29 (14.42)
Outside farm revenue (TRY)**	4530.29 (1013.58)	-	2640.00 (1136.67)	3158.73 (1099.9)	1698.46 (956.97)	611.1 (550.3)	2106.43 (826.35)
Farm land (ha)**	13.37 (4.10)	4.72 (0.49)	3.45 (0.64)	26.18 (24.26)	1.58 (0.29)	3.90 (0.66)	8.87 (0.99)
Credit use (thousand TRY)*	171.00 (22.35)	205.06 (27.92)	93.54 (15.28)	333.95 (37.93)	109.92 (10.40)	102.02 (18.35)	169.24 (22.01)
Age (year)*	52.03 (12.36)	49.19 (10.19)	46.80 (10.67)	39.48 (11.36)	48.34 (7.17)	49.62 (10.52)	47.57 (10.38)

Variable	Ankara	Antalya	Diyarbakir	Konya	Mersin	Sanliurfa	Total
Variable cost (thousand TRY) (A)	73.24	121.27	204.45	87.25	184.28	229.23	152.04
Fixed cost (thousand TRY) (B)	123.06	151.58	249.81	75.79	174.52	315.85	181.66
Total production cost (thousand TRY) (C=A+B)	196.30	272.84	454.25	163.04	358.81	545.07	333.70
Milk production value (thousand TRY) (D)	2.60	0.39	7.03	4.84	2.19	6.09	5.05
Rate of milk production value (D%)	0.01	0.00	0.03	0.02	0.01	0.03	0.02
Meat production value (thousand TRY) (E)	142.41	3.48	1.60	158.19	26.62	0.00	43.70
Rate of meat production value (E%)	0.40	0.02	0.01	0.67	0.08	0.00	0.17
Stud breeding value (thousand TRY) (F)	16.50	48.25	0.00	26.79	39.59	0.00	20.60
Rate of stud breeding value (F%)	0.05	0.32	0.00	0.11	0.12	0.00	0.08
Other animal production value¹ (thousand TRY) (G)	3.45	55.10	123.99	16.29	129.57	121.65	91.84
Rate of other animal production value (G%)	0.01	0.37	0.55	0.07	0.39	0.67	0.36
Increase in animal value (thousand TRY) (H)	188.01	42.83	91.21	28.42	136.83	55.19	92.05
Rate of increase in animal value (H%)	0.53	0.29	0.41	0.12	0.41	0.30	0.36
Gross production value (thousand TRY) (I=C+…+H)	352.97	150.06	223.83	234.53	334.81	182.94	253.24
Amount of milk production (L/year) (J)	579.23	1960.00	10118.18	3204.62	6355.38	11278.91	5832.71
Amount of meat production (kg/year) (K)	1093.52	93.94	50.91	1349.92	430.38	0.00	853.54
Amount of stud breeding (AU/year) (L)	0.85	5.42	0.00	0.51	2.34	0.00	1.12
Milk cost (TRY/L) (M=C*D%/J)	2.50	0.36	1.41	1.05	0.37	1.61	1.14
Meat cost (TRY/kg) (N=C*E%/K)	72.43	67.43	63.64	81.46	66.28	0.00	67.47
Stud breeding cost (thousand TRY/AU) (O=C*F%/L)	10.77	16.19	0.00	36.52	18.13	0.00	23.84
Feed cost (thousand TRY) (P)	61.09	107.60	165.26	72.35	151.32	191.95	126.22
Food conversion ratio (R=P/D)	2.70	1.00	0.80	2.85	1.31	0.67	1.28
Food conversion ratio of milk production (S=R*E%)	0.02	0.00	0.03	0.06	0.01	0.02	0.03
Food conversion ratio of meat production (T=R*F%)	1.09	0.02	0.01	1.92	0.10	0.00	0.22
Food conversion ratio of stud breeding (U=R*G%)	0.13	0.32	0.00	0.33	0.15	0.00	0.10

Variable	Ankara	Antalya	Diyarbakir	Konya	Mersin	Sanliurfa	Pooled	Meta-frontier
Constant	9.574*** (1.492)	12.967*** (1.191)	12.395*** (0.974)	8.213*** (0.639)	5.844** (2.950)	10.540*** (2.397)	8.051*** (0.637)	10.338
Labor (LU/AU)	−0.071* (0.153)	0.600 (0.437)	−0.211*** (0.071)	−0.050 (0.060)	−0.290 (0.350)	−0.046 (0.092)	−0.193*** (0.047)	0.019
Fold (m²/AU)	−0.115 (0.084)	0.083 (0.051)	0.009*** (0.001)	0.216*** (0.071)	0.002 (0.012)	0.186* (0.096)	−0.008 (0.013)	0.037
Operating capital (TRY/AU)	−0.144 (0.105)	−0.217 (0.213)	−0.517*** (0.053)	0.117*** (0.043)	0.102* (0.140)	−0.197 (0.231)	0.033 (0.054)	−0.012
Grazing period (time/AU)	0.174 (0.172)	−0.197 (0.270)	0.011 (0.061)	0.032 (0.050)	0.198 (0.322)	−0.089 (0.094)	0.060** (0.027)	0.050
Concentrate feed (kg/year/AU)	−0.024 (0.015)	−0.008 (0.032)	0.003*** (0.0004)	0.007 (0.016)	0.008 (0.007)	0.004 (0.006)	0.010** (0.005)	0.006
Roughage (kg/year/AU)	0.013** (0.029)	0.060** (0.174)	0.111*** (0.008)	−0.140*** (0.048)	0.092 (0.143)	−0.093 (0.101)	−0.019 (0.032)	−0.118
Returns to scale (= ∑^k_{i = 1} β_i)	−0.167	0.320	−0.593	0.182	0.112	−0.235	−0.118
Sigma square (σ²)	0.226*** (0.047)	2.125*** (0.681)	0.359*** (0.065)	1.006*** (0.185)	0.289*** (0.086)	0.102 (0.133)	0.675*** (0.083)
Gamma (ɤ)	0.000008 (0.011)	0.999*** (0.00001)	0.999*** (0.0000003)	0.999*** (0.00003)	0.675*** (0.180)	0.271 (1.669)	0.732*** (0.063)
Log likelihoods (Log L)	−35.150	−38.224	−11.452	−45.635	−33.034	−10.350	−293.969
Likelihood ratio (LR)		9.865	13.009	30.318	2.345	0.013	19.097

Variable	Coefficient	Standard error
Operating capital (TRY)	−3.73E-08	2.43E-08
Number of memberships	−0.029143	0.032507
Family size (person)*	−0.016048	0.005131
Total capital (TRY)*	3.82E-08	8.54E-09
Current ratio**	−0.024705	0.011561
Education (year)**	−0.036193	0.014824
Return on asset*	−0.001804	0.000440
Education of sheep breeding (1-0)**	−0.043459	0.028780
Keeping records (1-0)	−0.0008439	0.027936
Experience of sheep breeding (year)	−0.000905	0.001059
Outside farm revenue (TRY)	4.31E-07	1.38E-06
Farm land (da)*	0.001442	0.000362
Using credit (TRY)	5.71E-08	5.75E-08
Age (year)	−0.002191	0.001501
Constant (c)*	0.555060	0.093611
Log likelihood	25.85857

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[1] * Corresponding author: selime.canan@omu.edu.tr