Is there an efficiency case for land redistribution in Philippine brackishwater aquaculture? Analysis in a ray production frontier framework

Abstract

We investigate the possible existence of an inverse relationship (IR) between farm size and productivity in Philippine brackishwater pond aquaculture. The study is motivated by the fact that fish ponds have so far been exempted from the Comprehensive Agrarian Reform Laws and suggestions in the literature of inefficient management of fish farms. The analysis of technical efficiency is based on the estimation of a multi-product ray production function estimated in a stochastic frontier framework. There is some evidence of an IR but of only limited strength. Hence, it is unlikely that agrarian reform is the key to unlocking the productivity potential of brackishwater aquaculture in the Philippines