ABSTRACT

The concept of the Farmer Producer Company (FPC) model has been a hot issue, especially during the 2020–21 Indian farmers’ protest. Considering the pioneering initiatives of the Coconut Development Board (CDB) in setting up CPCs, we compare the technical efficiencies of CPCs that focus on coconut and its byproducts in Rural India for two consecutive financial years (2018–19 and 2019–20). Coconut Producer Companies’ efficiency scores are estimated using Data Envelopment Analysis (DEA), a mathematical technique to assess technical efficiencies across homogeneous units. The results reveal that 35.11 percent of the sampled CPCs for FY 2018–19 are overall technical efficient, and approximately 76 percent are purely technical efficient. It is found that technical inefficiency is reported for a few CPCs due to scale inefficiency. The overall technical and pure technical efficiency have improved in FY 2019–20 compared to the previous period.