The Effect of Farm Size on the Decision to Adopt Digital Technology: The Case of Unmanned Aerial Vehicles in Rice Production in Vietnam
Abstract
Agricultural production efficiency depends heavily on the decisions of the household head or member directly growing rice, especially the decision related to the adoption of digital technology, because this is the main tool to reduce costs, improve crop yield and environmental quality. Despite the potential, there are still some operational limitations that require comprehensive development of features and human resources to effectively apply the technology. In this paper, the adoption of digital technology in rice production has provided numerous practical benefits for households. However, the adoption rate of digital technology features, particularly unmanned aerial vehicles (UAVs), remains low in most developing countries. This study aims to determine the impact of farm size on the decision to adopt UAVs in rice production among households in the Mekong Delta, Vietnam. The research utilizes primary data collected through direct interviews with 940 households that have applied or plan to apply UAVs in their rice cultivation process. The results indicate that most households have adopted UAVs for three key activities: seeding, fertilization, and pesticide spraying. Additionally, the estimation results reveal a nonlinear, inverted U-shaped relationship between farm size and the decision to adopt UAVs in rice production. Furthermore, the study identifies other factors, aside from farm size, that influence the decision to use UAVs in rice production among Vietnamese households.
Keywords: Digital Technology; Farm Size; Households; Rice Production; Unmanned Aerial Vehicles
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