Journal of Business Management and Economic Development
Том 3 № 03 (2025): September 2025

Efficiency of Hybrid Maize Farming at the Household Scale in Drylands

Tallo, Yohanes Fischer (Unknown)
Pudjiastuti, Agnes Quartina (Unknown)
Setiaji, Jatmiko (Unknown)



Article Info

Publish Date
26 Oct 2025

Abstract

Corn as a pillar of the household-scale farmer economy not only serves as a source of food, but also as animal feed and industrial raw material. However, the productivity of hybrid corn in the drylands of Jetak Village (4-7 tons/ha) is still much lower than in other areas (8-10 tons/ha), indicating inefficient use of inputs. This study measured technical, allocative, and economic efficiency among 96 farmers using the Cobb-Douglas production function with stratified random sampling: <0.5 ha (n=33), 0.5-1 ha (n=30), and >1 ha (n=33). NPK fertilizer consistently dominated productivity (elasticity 0.318-0.394; p<0.01) at all scales. Technical efficiency increased from 0.846 (small land) to 0.879 (large land), indicating a productivity gap of 12-15%. Economic efficiency remains suboptimal (0.619-0.688) with a potential for improvement of 31.2%. Allocative analysis shows the highest NPM/Px ratio for urea fertilizer (5.81) on large-scale land, while labor is over-utilized (NPM/Px=0.80). Contribution of the study: identification of scale-based efficiency thresholds for dryland—expansion of critical land for small farmers (NPM/Px=14.17), nitrogen intensification for medium-sized land, and labor restructuring for large land areas. Interventions should focus on NPK optimization and precision fertilization.

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Journal Info

Abbrev

jbmed

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Industrial & Manufacturing Engineering Social Sciences Other

Description

Journal of Business Management and Economic Development (JBMED) is an international academic open-access journal that has gained a foothold in Indonesia, Asia and is open to the world. It aims to promote the integration of trade, economics, and finance. The focus is to publish papers on ...