Cost efficient of mud crab polyculture in Bataan, 2016

Date

6-2016

Degree

Bachelor of Science in Agricultural Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Jesus A. Quilloy

Abstract

Mud crab culture is an emerging industry in the aquaculture sector of the country. The literature on mud crab production reveals that there is an increasing demand for the mud crab in domestic and international markets. However, the growing demand for mud crab in Bataan for the past years is persistently unmet. In fact, the production growth rate of mud crab polyculture is very low, straddling over roughly 0.5%. The relatively high production cost also serves as a constraints production of mud crabs. Hence, the main objective of the study was to analyze the cost efficiency of mud crab polyculture in Bataan. The cost efficiency of mud crab polyculture in Bataan was analyzed using the stochastic frontier cost model. The parameters were estimated using the Maximum Likelihood model. Production data used for this technique were obtained from 87 randomly selected mud crab farmers in Bataan. The study revealed that mud farmers in Bataan are cost inefficient. The inefficiency value ranges from 2% to 91% with a mean value of 31%. This mean cost efficiency value suggests that roughly 31% of the cost can reduced. Stocking density of mud crab seeds was found to significantly affect cost inefficiency. Specifically, if stocking density increase by about 6 pieces per hectare, cost inefficiency increases by 0.03 percentage points. Based on these findings, it was recommended that stocking of mud crab seeds must be decreased to an optimum amount of 485 pieces per hectare.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2016 A14 T75

Document Type

Thesis

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