Drivers of Fishermen's Efficiency in Indonesia’s Remote Islands

A Study on Market Access and Technology

Abstract

This study evaluates the socio-economic efficiency of fishermen in the remote Talaud Islands, Indonesia, a context that has been underexplored in existing efficiency research. Utilizing Data Envelopment Analysis (DEA) and regression analysis, this study identifies gaps in the factors driving efficiency, focusing on the roles of market access, technology, and education. The novelty of this research lies in its exploration of efficiency determinants specifically within Indonesia's outer islands, where logistical challenges significantly impact livelihoods. The findings reveal significant efficiency disparities among fishermen, driven by technological adoption and proximity to market centers, with education also positively contributing. These results underscore the need for tailored policies to improve market infrastructure and technology adoption, aiming to boost the economic resilience and productivity of fishermen in geographically isolated communities.