Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine

Abstract Organic farming is one of the methods that increases the value added of agricultural products in a sustainable way. This paper examines how the adoption of organic farming has impacted the technical efficiency of Palestinian olive-growing farms in the West Bank. Using cross-sectional data o...

Full description

Bibliographic Details
Main Authors: Kenichi Kashiwagi, Hajime Kamiyama
Format: Article
Language:English
Published: SpringerOpen 2023-07-01
Series:Agricultural and Food Economics
Subjects:
Online Access:https://doi.org/10.1186/s40100-023-00266-7
_version_ 1827890670470168576
author Kenichi Kashiwagi
Hajime Kamiyama
author_facet Kenichi Kashiwagi
Hajime Kamiyama
author_sort Kenichi Kashiwagi
collection DOAJ
description Abstract Organic farming is one of the methods that increases the value added of agricultural products in a sustainable way. This paper examines how the adoption of organic farming has impacted the technical efficiency of Palestinian olive-growing farms in the West Bank. Using cross-sectional data of olive farms in the Jenin governorate, we employ an input-oriented data envelopment analysis framework to compute radial and input use efficiencies. Considering heterogeneity in technology between organic and conventional farming, a metafrontier with a directional distance function approach was applied. As self-selection bias may exist due to the decision to adopt organic farming, we apply the endogenous switching regression method to reduce bias caused by unobserved heterogeneity. Results suggest that organic farms in Jenin are not less efficient than conventional farms. Their organic farming method improves input use efficiency with respect to labor and cost relative to conventional farming. While organic farming is commonly considered to be less efficient and more costly, our findings from Jenin imply that it is, in fact, a more efficient method. We suggest that promoting organic olive farming could offer an effective strategy for small farms to add value, despite the severe geopolitical constraints of farming in the West Bank.
first_indexed 2024-03-12T21:12:58Z
format Article
id doaj.art-70eea6b4f1b546ffae27ae7c0f2d98e7
institution Directory Open Access Journal
issn 2193-7532
language English
last_indexed 2024-03-12T21:12:58Z
publishDate 2023-07-01
publisher SpringerOpen
record_format Article
series Agricultural and Food Economics
spelling doaj.art-70eea6b4f1b546ffae27ae7c0f2d98e72023-07-30T11:03:31ZengSpringerOpenAgricultural and Food Economics2193-75322023-07-0111112810.1186/s40100-023-00266-7Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of PalestineKenichi Kashiwagi0Hajime Kamiyama1Institute of Humanities and Social Sciences, Alliance for Research on the Mediterranean and North Africa, University of TsukubaFaculty of Economics, Kushiro Public University of EconomicsAbstract Organic farming is one of the methods that increases the value added of agricultural products in a sustainable way. This paper examines how the adoption of organic farming has impacted the technical efficiency of Palestinian olive-growing farms in the West Bank. Using cross-sectional data of olive farms in the Jenin governorate, we employ an input-oriented data envelopment analysis framework to compute radial and input use efficiencies. Considering heterogeneity in technology between organic and conventional farming, a metafrontier with a directional distance function approach was applied. As self-selection bias may exist due to the decision to adopt organic farming, we apply the endogenous switching regression method to reduce bias caused by unobserved heterogeneity. Results suggest that organic farms in Jenin are not less efficient than conventional farms. Their organic farming method improves input use efficiency with respect to labor and cost relative to conventional farming. While organic farming is commonly considered to be less efficient and more costly, our findings from Jenin imply that it is, in fact, a more efficient method. We suggest that promoting organic olive farming could offer an effective strategy for small farms to add value, despite the severe geopolitical constraints of farming in the West Bank.https://doi.org/10.1186/s40100-023-00266-7Organic farmingMetafrontierdata envelopment analysisEndogenous switching regressionOlive-growing farmsWest Bank
spellingShingle Kenichi Kashiwagi
Hajime Kamiyama
Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
Agricultural and Food Economics
Organic farming
Metafrontier
data envelopment analysis
Endogenous switching regression
Olive-growing farms
West Bank
title Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
title_full Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
title_fullStr Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
title_full_unstemmed Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
title_short Effect of adoption of organic farming on technical efficiency of olive-growing farms: empirical evidence from West Bank of Palestine
title_sort effect of adoption of organic farming on technical efficiency of olive growing farms empirical evidence from west bank of palestine
topic Organic farming
Metafrontier
data envelopment analysis
Endogenous switching regression
Olive-growing farms
West Bank
url https://doi.org/10.1186/s40100-023-00266-7
work_keys_str_mv AT kenichikashiwagi effectofadoptionoforganicfarmingontechnicalefficiencyofolivegrowingfarmsempiricalevidencefromwestbankofpalestine
AT hajimekamiyama effectofadoptionoforganicfarmingontechnicalefficiencyofolivegrowingfarmsempiricalevidencefromwestbankofpalestine