Evaluation and analysis of dynamics of change of efficiency of grain production in Ukraine by DEA method


  • Yana Dolgikh Sumy National Agrarian University
Keywords: pure technical efficiency, DEA method, VRS-input model, Malmquist index, agricultural enterprises, cereals and leguminous crops.

Abstract

Purpose. The purpose of the article is to evaluate and analyze the dynamics of changes in the net technical efficiency of grain and leguminous crops production in Ukraine using the DEA method.

Methodology / approach. There were used the econometric method (to check the quality of input and output parameters of the objects of study) and the DEA method (to assess the level of net technical efficiency of agricultural enterprises and to analyze the dynamics of its change). We used the input-oriented VRS model for the calculations. Input parameters of the model: 1) the area from which cereals and legumes were collected; 2) volume of mineral and organic fertilizers (in nutrients) per 1 ha; 3) the number of tractors and grain harvesting machines per 1 thousand ha. Output parameters: 1) production of grain and leguminous crops; 2) the production of grain and leguminous crops per 1 person.

Results. The peculiarities of application of the DEA method for assessing and analyzing the dynamics of changes in the efficiency of agricultural enterprises were revealed. Based on the statistical information for 2017–2018, with a help of the DEA method it was assessed the net technical efficiency of the work of agricultural enterprises in the regions of Ukraine in the production of grain and leguminous crops. An analysis of the estimated effectiveness was carried out, which revealed the presence of potential for its improvement. We calculated indicators characterizing the change in the net technical efficiency of agricultural enterprises in the regions of Ukraine during 2017–2018, namely, the growth coefficients of net technical efficiency without taking into account the shift of the effective border, the coefficients of technical progress, and the Malmquist indices. It was analyzed the dynamics of change in efficiency, which revealed trends in the development of regions.

Originality / scientific novelty. The article presents the results of the study that substantiate the possibility and expediency of application of the DEA method to evaluate and analyze the dynamics of changes in the performance of agricultural enterprises in Ukraine. The procedure of evaluation and analysis of the dynamics of changes in the efficiency of agricultural enterprises in Ukraine has been improved.

Practical value / implications. The research results can be used to rank the regions by the efficiency of agricultural production, analyze the dynamics of changes in efficiency in order to identify trends in the development of regions, assess their resource potential and develop recommendations for bringing regions to an effective level of development.

References

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Published
2019-09-20
How to Cite
Dolgikh, Y. (2019). Evaluation and analysis of dynamics of change of efficiency of grain production in Ukraine by DEA method. Agricultural and Resource Economics: International Scientific E-Journal, 5(3), 47-62. https://doi.org/10.51599/are.2019.05.03.04
Section
Articles