Profit efficiency and influencing factors for the inefficiency of maize production in Bangladesh

This study examines the profit efficiency and the responsible factors for inefficiency in 350 hybrid maize growers in selected areas of Bangladesh by using the profit frontier function and inefficiency effects model. A multistage stratified random sampling procedure was used for data collection. This study proves that maize production is profitable. The average net return is 32392 BDT/acre and the benefit-cost ratio was more than 2. Farmers use more organic manure, but less chemical fertilizer than recommended doses. The outcomes also disclosed a profit efficiency score of 0.71, which indicates a 29% profit inefficiency. The average net benefit was 32392.40 BDT/acre and profit-loss 16975.99 BDT/acre. This implies that the enhancement of allocative, technical, and scale efficiencies can reach a potential…