Optimizing Inputs Consumption and Reducing Pollution through Environmental Efficiency Analysis

Abdeshahi, Abas; Mardani Najafabadi, Mostafa; Mirzaei, Abbas; Hamidavi Nabhani, Fatemeh

Optimizing Inputs Consumption and Reducing Pollution through Environmental Efficiency Analysis

Document Type : Original Research

Authors

Abas Abdeshahi

Mostafa Mardani Najafabadi

Abbas Mirzaei

Fatemeh Hamidavi Nabhani

Department of Agricultural Economics, Faculty of Agriculture Engineering and Rural Development, Agricultural Sciences and Natural Resources University of Khuzestan, Mollasani, Islamic Republic of Iran.

Abstract

This study employs data envelopment analysis with Material Balance Principle Model to evaluate rice farmers' eco-efficiency. Additionally, it examines optimal input allocation with and without environmental consideration. The study focuses on rice farmers in the Gotvand Region of Khuzestan Province, Iran. The primary data were collected through 153 questionnaires administered to local rice farmers in 2022. The findings revealed that the average technical efficiency of rice farmers in Gotvand was 87% under conventional efficiency measures, but dropped to 73% when environmental pollution was factored in. To achieve optimal efficiency, inefficient Decision-Making Units must reduce their carbon dioxide emissions by an average of 8%. To improve eco-efficiency, the study identifies different optimization patterns: substantial reductions are needed for nitrogen fertilizer (-41.1%), fuel (-38.5%), and machinery operation hours (-33.6%), while increases are recommended for animal manure (612%), potassium fertilizer (6.25%), and phosphate fertilizer (2.7%). Therefore, key contributors to the inefficiency among the studied producers include inadequate animal manure application, excessive nitrogen fertilizer use, diesel fuel consumption, and machine operation hours. Notably, electricity usage has a minimal impact on inefficiency, with no significant changes detected. These findings underscore the necessity of optimized input management, especially chemical fertilizer reduction, to enhance both economic and environmental sustainability in rice farming.

Keywords

Carbon dioxide

Ecoefficiency

Environmental impacts

Material balance principle

Rice production

Subjects

Agricultural Economics/Agriculture Production and Farm Management

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