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Indian Journal of Regional Science
Year : 2015, Volume : 47, Issue : 1
First page : ( 33) Last page : ( 42)
Print ISSN : 0046-9017. Online ISSN : 2456-6519.

Efficiency and productivity changes in the Indian food processing industry: A firm level analysis

Kaur Navreet*, Kaur Kuldip**

*Research Scholar, Punjab School of Economics, Guru Nanak Dev University, Amritsar

**Professor, Punjab School of Economics, Guru Nanak Dev University, Amritsar

Online published on 20 June, 2017.

Abstract

This paper analyses eficiency and productivity changes in 51 firms of food manufacturing industry during the time period of 1988 to 2011. The firms included belong to different sectors of food processing which are mainly Sugar, Bakery Products, Beer and Alcohol, Dairy Products, Processed Food and Vegetable Oil and Products. The nonparametric Data Envelopment Analysis (DEA) approach is used to compute the Malmquist Total Factor Productivity (TFP) change, which has been further decomposed into eficiency and technical change. Analysis has been done over four time periods that is 1988 to 1993, 1993 to 1999, 1999 to 2005 and 2005 to 2011. Based on the findings, the paper gives suggestions that can be used by policy makers and food processors in making decisions regarding various technical and managerial aspects to improve the productivity and eficiency.

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