Title: Climatic effects on sugarcane productivity in India: a stochastic production function application

Authors: Ajay Kumar; Pritee Sharma; Sunil Kumar Ambrammal

Addresses: Department of Humanities and Social Sciences, National Institute of Technology (NIT) Sikkim, Ravangla Campus, Burfang Block South Sikkim, 737139, India ' School of Humanities and Social Sciences, Indian Institute of Technology Indore, M-Block, IET, DAVV Campus, Khandwa Road, Indore, Madhya Pradesh – 452017, India ' School of Humanities and Social Sciences, Indian Institute of Technology Indore, M-Block, IET, DAVV Campus, Khandwa Road, Indore, Madhya Pradesh – 452017, India

Abstract: The present study estimates the influence of climatic and non-climatic factors on mean yield and yield variability of sugarcane crop in different weather seasons (e.g., rainy, winter and summer) in India. Sugarcane mean-yield for fourteen major sugarcane growing states from different agro-ecological zones are delimitated in panel data during 1971-2009. Regression coefficient for mean yield and yield variability production function (i.e. risk increasing or decreasing inputs) has been estimated through log-linear regression model with the help of Just and Pope (stochastic) production function specification. Empirical results based on feasible generalise least square (FGLS) estimations shows a significant effect of rainfall, maximum and minimum temperatures on sugarcane mean yield and yield variability. Whereas, average maximum temperature in summer and average minimum temperature in rainy season have a negative and statistically significant impact on sugarcane mean yield. Sugarcane mean yield positively gets affected with average maximum temperature during rainy and winter season.

Keywords: sugarcane mean yield; yield variability; stochastic production function; C-D model; state-wise panel data; India; climatic effects; sugarcane productivity; climate; feasible GLS; generalised least squares; FGLS; rainfall; temperature.

DOI: 10.1504/IJEBR.2015.070984

International Journal of Economics and Business Research, 2015 Vol.10 No.2, pp.179 - 203

Received: 24 Apr 2014
Accepted: 25 Apr 2015
Published online: 04 Aug 2015 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article