Allocative Efficiency of Maize Growers in Khyber Pakhtunkhwa, Pakistan

This study was carried out across four agro-ecological zones of Khyber Pakhtunkhwa to analyze the allocative efficiency of inputs in maize production. This study employed a multistage stage sampling technique for choosing the sample size. The data was collected from 200 respondents using a well–designed interview schedule. Cobb-Douglas type production function was modelled to estimated allocative efficiencies of individual inputs used in maize production. The estimated allocative efficiencies of Urea and DAP were 3.24 and 2.04, respectively. This implies that these inputs were underutilized that might be due to poor farming skills of the sampled respondents, lack of information regarding application of such inputs and lack of availability of credit to them to use the appropriate and recommended dose of these inputs. Allocative efficiencies of tractor hours, FYM and labour were 1.16, 1.02 and 0.97, respectively, suggesting that these inputs were efficiently utilized. Facilitation of maize growers with subsidized and timely availability of inputs, provision of agriculture credit with reasonable interest rate and easy instalments and field based trainings are policy options for enhancing maize productivity.