Determinants and Technical Efficiency of Chili Production in Poleang Subdistrict of Southeast Sulawesi

Abstract

The study aimed to (1) identify the factors influencing chili farming production, and (2) analyze the technical efficiency of chili farming. The study was carried in Biru village, Poleang Timur subdistrict, Bombana district, Southeast Sulawesi province. The sampling method employed a census approach, encompassing all chili farmers in the area, with a total of 30 individuals serving as respondents. Multiple linear regression analysis and the stochastic frontier production function were used to analyze the data. The findings revealed that the significant determinants influencing chili production in the survey village were the land area and fertilizer use. Conversely, seeds, pesticides, and labor were not significantly impacting production. The technical efficiency level of chili farming in the mentioned area was found to be technically efficient, with an average technical efficiency value of 81% or 0.81. This suggests that chili farming is operating efficiently, yet there remains an opportunity to enhance production by approximately 19%.