Economic Impacts of Hybrid Rice in the Philippines

摘要

This study analyzed the differences in farm management practices, productivity, and profitability between hybrid and inbred rice cultivation. Data were gathered from five major rice - producing provinces, which include Nueva Ecija, Isabela, Iloilo, Davao del Sur and Davao del Norte, from 2002 wet season (WS) to 2004 dry season (DS). A total of 805 and 991 hybrid and inbred rice producers were surveyed using stratified random sampling. Farm budget, production and cost function analyses were employed to analyze the data. Regression results showed that hybrid rice yield is higher by 8 percent than inbred rice yield. Results also showed that hybrid rice faces higher price in the market in comparison with its inbred counterpart. This led to higher gross income from hybrid rice farming. However, the hybrid rice cost of production per hectare is significantly higher due to higher seed, fertilizer, pesticide and hired labor cost. Though hybrid rice production entails larger cost per hectare, hybrid rice cost per unit had declined significantly relative to that of inbred from significantly higher in 2002 WS to significantly lower in 2004 DS. This resulted in higher net income from hybrid rice cultivation, which was more pronounced during dry season. Outcomes of the analysis also showed considerable returns to additional farm investments when using hybrid rice. In addition, empirical results of production function estimation showed that hybrid rice production was more technically efficient on the average by 4 percent than the inbred. Stochastic cost function estimation, however, revealed that inbred rice producers are more cost efficient by 3 percent than hybrid rice cultivators. Differences in farm practices between hybrid and inbred rice cultivators were also observed. Specifically, lower seeding rates, improved seedling management and crop establishment methods were observed among hybrid rice cultivators.