Abstract:
This research was conducted to analyze the production efficiency of self-supporting palm plantation in area of the research, production efficiency consist of technical efficiency, price/allocative efficiency, and economic efficiency. Production efficiency influenced by direct production factors and undirect production factors. Direct production factors consist of Labours, Urea fertilizer, TSP fertilizer, Dolomit fertilizer and Herbicides dosage. Undirect production factors consist of Age, Experience of planting palm, Formal education, and Land suitability. All of the production factors formulated simultaneously in Cobb-Douglass frontier production function with MLE (maximum likelihood estimation) method wich analyzed by Frontier 4.1 computer program.
The result of the researh show that technical efficiency value is 93 %, price/allocative efficiency value is 4.78 and economic efficiency value is 4.44. Age factor influenced positively to production inefficiency, it mean older age more efficient than younger age. Experience of planting palm factor influenced negatively to production inefficiency, it mean longer experience of planting palm more efficien than shorter experience of planting palm. Formal education factor influenced negatively to production inefficiency, it mean longer formal education more efficien than shorther formal education. Land suitability factor influenced negatively to production inefficiency, it mean suitable land more efficien than suitable enough land.
