Efficiency in Sugarcane Production in Jigawa State, Nigeria: Technical Efficiency Differential

Sugarcane is a major crop grown at commercial level in Jigawa state, but farmers? productivity is low. Therefore the state government established the Millennium Village Commission (MVC) with the aim of improving the Technical efficiency of sugarcane farmers in Jigawa state. This study assessed how the MVC intervention has impacted on the participating farmers? Technical efficiency relative to non-participants. One hundred and twenty MVC and 160 non-MVC farmers, were sampled. Data was collected on farmers? socio-economic characteristics, inputs and cost structure, output and revenue based on a 5-year (2003-2007) production activities. Data was analysed using descriptive statistics, gross margin analysis and the stochastic frontier production function model at p= 0.05. The study showed that the MVC programme increased the economic benefit of the sugarcane farmers that participated, but not the farmers? technical efficiency. However, inefficiency can be reduced if rural education, participation in community based organisation and access to extension services can be facilitated among farmers.