Technical Efficiency of Small-scale Fishers in Leyte, Philippines: A Cobb-Douglas Stochastic Frontier Analysis

The growing demand for fishery products in the Philippines, coupled with declining fish production, highlights the need to improve efficiency in the fisheries sector to meet rising consumer demand. This study examines the technical efficiency of small-scale fishers in Leyte, Philippines, and identifies the factors influencing their productivity to provide recommendations for improving the sector. The study employed the Cobb Douglas Stochastic Frontier Production Approach to estimate the technical efficiency. The results of the stochastic frontier model indicate that fishing hours, fishing costs and travel time are positively associated with fish catch. Furthermore, the inefficiency model shows that socio-economic variables such as education, marital status, and household size significantly reduce technical inefficiency. The findings suggest that strengthening fishers’ access to education, training programs and extension services, as well as the provision of subsidies and financial assistance to support fishing operations, can enhance the productivity and technical efficiency of small-scale fishers.