Research on World Agricultural Economy

Disaster Induced Agricultural Productivity in Coastal Regions of Bangladesh: A Stochastic Frontier Analysis Approach

Syed Mortuza Asif Ehsan

Department of Economics, North South University, Dhaka 1229, Bangladesh

Md. Jakariya

Department of Environmental Science and Management, North South University, Dhaka 1229, Bangladesh

Md. Sajadul Alam

Consiglieri Private Limited, Dhaka 1206, Bangladesh

Saman Saad

Consiglieri Private Limited, Dhaka 1206, Bangladesh

Mirza Ali Shawkat

Department of Environment, Government of Bangladesh, Dhaka 1000, Bangladesh

Dilruba Akter

Department of Environment, Government of Bangladesh, Dhaka 1000, Bangladesh

DOI: https://doi.org/10.36956/rwae.v5i4.1290

Received: 31 August 2024 | Revised: 19 October 2024 | Accepted: 23 October 2024 | Published Online: 3 December 2024

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Abstract

The production and technical efficiency of the rice sector in Bangladesh’s coastal areas are vulnerable to a wide range of natural disasters and climate change issues. These regions face recurring threats from climatic events such as salinity intrusion, inundation, rising sea levels, and cyclones, which can significantly disrupt agricultural activities. In this paper, we conduct a comparative analysis of the rice producers’ technical efficiency based on their exposure to disaster-induced impacts over the past five years. Using the Stochastic Frontier Analysis, we examine factors influencing household-level productive efficiency in three coastal districts—Patuakhali, Cox’s Bazar, and Khulna. Our findings reveal that rice-producing households affected by natural disasters between 2014 and 2018 exhibited, on average, an 8.29 percentage point higher productive efficiency compared to unaffected households. When controlling for other confounding variables, such as household characteristics and external conditions, the efficiency gain rises to 19.8%. This suggests that households exposed to adverse climatic events may have adapted their farming practices to become more resilient, thus improving their productive efficiency in the long term. Moreover, our results indicate that a larger household size enhances efficiency by 6.7%. Households where rice farming is the primary occupation also tend to be more efficient, likely because of greater specialization and focus on improving agricultural practices. Finally, the age of the producer is positively associated with efficiency, reflecting the accumulation of farming experience and knowledge over time.

Keywords: Technical Efficiency; Stochastic Frontier Analysis; Rice Production; Sustainable Agriculture; Vulnerability

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