Efficiency Analysis of the Progress of Orange Farms in Tuyen Quang Province, Vietnam towards Sustainable Development

Thu Trang Tran Nguyen, Hai Ha Le, Thi Minh Hop Ho, Thomas Dogot, Philippe Burny, Thi Nga Bui and Philippe Lebailly
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Thu Trang Tran Nguyen: Economics & Rural Development, Gembloux Agro-Bio Tech, University of Liege, 5030 Gembloux, Belgium
Hai Ha Le: Viettel Tuyen Quang Technical Branch, Tuyen Quang 300000, Vietnam
Thi Minh Hop Ho: Economics & Rural Development, Gembloux Agro-Bio Tech, University of Liege, 5030 Gembloux, Belgium
Thomas Dogot: Economics & Rural Development, Gembloux Agro-Bio Tech, University of Liege, 5030 Gembloux, Belgium
Philippe Burny: Economics & Rural Development, Gembloux Agro-Bio Tech, University of Liege, 5030 Gembloux, Belgium
Thi Nga Bui: Faculty of Accounting and Business Management, Vietnam National University of Agriculture, Hanoi 100000, Vietnam
Philippe Lebailly: Economics & Rural Development, Gembloux Agro-Bio Tech, University of Liege, 5030 Gembloux, Belgium

Sustainability, 2020, vol. 12, issue 8, 1-15

Abstract: Nowadays, Vietnam is known as a developing country with a fast-growing economy. Agriculture is the main traditional sector which plays an important role in Vietnamese economic growth and development. Improving the efficiency of agricultural production towards sustainable development is one of the country’s national economic development goals. This study aims to measure the efficiency of the orange farms which have created jobs and improved living standards for people in Tuyen Quang province, Vietnam. A comprehensive literature review, key informant interviews, and a structured questionnaire were applied in this research for data collection. The data envelopment analysis (DEA) model was applied to evaluate the technical, allocative, cost, and scale efficiencies. The main results of this analysis show that the orange farms have high scores for technical and scale efficiencies. On the other hand, the research reveals low levels of cost and allocative efficiencies. This is in line with the fact that though the farms’ owners have extensive experience in orange cultivation and receive periodic technical training, they still have low levels of education and a lack of economic management expertise. The study results also propose optimal input allocation for the orange farmers. The research could provide crucial information to farms’ owners, the local government, and agricultural planners for formulating effective strategies to improve agricultural sustainability.

Keywords: efficiency; data envelopment analysis (DEA); Vietnam; orange production; farm management (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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