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Vol. 084: Mulwa, Richard M.: Economic and Environmental Performance of Sugarcane Production in Kenya


Non-Parametric Frontier Approaches

The sugar industry is of great economic importance to the regional economies in the areas where sugarcane is grown in Kenya, and also for the whole economy. However, this industry is faced with economic and environmental problems at the farm level, processing (factory level) and at the marketing level. This book investigates problems at the farm level. Four indicators, which were considered important, were chosen for analysis. These are profitability, economic efficiency, total factor productivity, and environmental performance (efficiency). Three regions (sugar schemes), with different institutional setups (management styles) were chosen. The analyses were carried out mainly by using non-parametric frontier (mathematical programming) approaches. Regarding profitability, the centrally planned region (Mumias) emerged superior, with no cases of negative returns, whilst the other two regions (Chemelil and West Kenya) recorded some losses. In all the schemes, we found that, it is possible to improve the efficiency levels and achieve higher outputs. The TFP levels increased marginally in Mumias, but declined in the other two regions. Finally, environmental problems are dichotomous, with Mumias having nutrient excesses, while the other two regions were mining nutrients from the soil. Different policy recommendations have been suggested in order to correct the shortfalls analyzed for the different indicators.


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Farming & Rural Systems Economics Vol. 84
ISSN 1616-9808
2007; XII +186 pp., 21 x 14,8 cm; paper;

28.00 EUR
Artikelnr.: 978-3-8236-1495-1
  • (price without VAT: 26.17 EUR)
  • (VAT: 1.83 EUR)