Analysis of the Technical Efficiency of Smallholder Cocoa Farmers in South West Cameroon

Abstract

In this study, we assess the technical efficiency of smallholder cocoa farmers in the Meme division of South West Region, Cameroon. Through stochastic production functions and field surveys, the study further examines how the cocoa sector socioeconomically impacts the Cameroonian economy. Using a participatory research approach, data were collected from 515 household heads across four villages on the quantity of cocoa produced, number of cocoa trees per hectare, quantity of fertilizer, and labour availability and socio-economic characteristics. Our results showed the technical efficiency to range between 0.11 and 0.99, with a mean technical efficiency of 0.86. We also observed access to credit and extension services to significantly influence technical efficiency. Therefore, innovative institutional arrangements that enhance extension and farmer training, accompanied by improved access to credit are likely to efficiently boost cocoa production in this part of Cameroon and elsewhere.