Decomposition of productivity growth of the Malaysian palm oil mill sector
This study investigates total factor productivity (TFP) growth in the Malaysian palm oil mill sector over the period 2005-2010, using a Stochastic Frontier Approach (SFA) model. TFP growth was decomposed into three components, namely, technical efficiency (TE), technical progress (TP) and scale comp...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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Malaysian Palm Oil Board
2014
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| Online Access: | http://psasir.upm.edu.my/id/eprint/35165/ http://psasir.upm.edu.my/id/eprint/35165/1/Decomposition%20of%20productivity%20growth%20of%20the%20Malaysian%20palm%20oil%20mill%20sector.pdf |
| _version_ | 1848847978547118080 |
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| author | Abdullah, Norhidayu Hassan, Azman Abdullah, Ramli Ismail, Azman Che Dir, Nur Asmani |
| author_facet | Abdullah, Norhidayu Hassan, Azman Abdullah, Ramli Ismail, Azman Che Dir, Nur Asmani |
| author_sort | Abdullah, Norhidayu |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This study investigates total factor productivity (TFP) growth in the Malaysian palm oil mill sector over the period 2005-2010, using a Stochastic Frontier Approach (SFA) model. TFP growth was decomposed into three components, namely, technical efficiency (TE), technical progress (TP) and scale components (SEC). The empirical results show that productivity growth was driven mainly by TE for all palm oil mills, followed by TP. However, a change in the scale components had a negative effect on productivity growth. Overall, the study suggests that there are opportunities to improve productivity growth in the Malaysian palm oil mill sector. |
| first_indexed | 2025-11-15T09:27:12Z |
| format | Article |
| id | upm-35165 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T09:27:12Z |
| publishDate | 2014 |
| publisher | Malaysian Palm Oil Board |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-351652016-10-11T02:51:57Z http://psasir.upm.edu.my/id/eprint/35165/ Decomposition of productivity growth of the Malaysian palm oil mill sector Abdullah, Norhidayu Hassan, Azman Abdullah, Ramli Ismail, Azman Che Dir, Nur Asmani This study investigates total factor productivity (TFP) growth in the Malaysian palm oil mill sector over the period 2005-2010, using a Stochastic Frontier Approach (SFA) model. TFP growth was decomposed into three components, namely, technical efficiency (TE), technical progress (TP) and scale components (SEC). The empirical results show that productivity growth was driven mainly by TE for all palm oil mills, followed by TP. However, a change in the scale components had a negative effect on productivity growth. Overall, the study suggests that there are opportunities to improve productivity growth in the Malaysian palm oil mill sector. Malaysian Palm Oil Board 2014 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/35165/1/Decomposition%20of%20productivity%20growth%20of%20the%20Malaysian%20palm%20oil%20mill%20sector.pdf Abdullah, Norhidayu and Hassan, Azman and Abdullah, Ramli and Ismail, Azman and Che Dir, Nur Asmani (2014) Decomposition of productivity growth of the Malaysian palm oil mill sector. Oil Palm Industry Economic Journal, 14 (2). pp. 8-15. ISSN 1675-0632 http://palmoilis.mpob.gov.my/index.php/opiej#article-info |
| spellingShingle | Abdullah, Norhidayu Hassan, Azman Abdullah, Ramli Ismail, Azman Che Dir, Nur Asmani Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title | Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title_full | Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title_fullStr | Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title_full_unstemmed | Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title_short | Decomposition of productivity growth of the Malaysian palm oil mill sector |
| title_sort | decomposition of productivity growth of the malaysian palm oil mill sector |
| url | http://psasir.upm.edu.my/id/eprint/35165/ http://psasir.upm.edu.my/id/eprint/35165/ http://psasir.upm.edu.my/id/eprint/35165/1/Decomposition%20of%20productivity%20growth%20of%20the%20Malaysian%20palm%20oil%20mill%20sector.pdf |