Technical and scale efficiency of intensive white-leg shrimp (Litopenaeus vannamei) farming in Vietnam: A data envelopment analysis

Intensive shrimp production is a potential pathway to increasing export quantity and meeting Vietnamese national export targets set for the 2020-2030 period. Vietnamese farmers need to efficiently manage their shrimp farming to compete in global markets. This study aims to investigate input- and output-specific technical and scale inefficiencies in Vietnamese shrimp farming practice and their determinants. The research used a survey among 200 shrimp farmers from Ca Mau, Kien Giang, and Soc Trang provinces in Vietnam, and applied a two-stage approach with a Russell-type (input-output) directional distance function for measuring input- and output-specific technical inefficiency, and a bootstrap truncated regression for exploring the determinants of inefficiencies. Results show that main drivers of technical inefficiencies in Vietnamese intensive white-leg shrimp farms are inappropriate management of energy (inefficiency of 32%), seed (inefficiency of 22%) and shrimp yield production (88%). Furthermore, male farmers experienced in shrimp farming, with proper training and applied plastic-lined ponds are generally better in managing pond areas, use of seed, feed, and labor. Technological innovations, better post larvae quality and their stocking management can help to improve shrimp farming performance.