Türkiye's Agricultural Productivity Paradox
Explore Türkiye's agricultural productivity paradox, revealing the gap between its high-value crop production potential and actual economic outcomes. Learn how traditional practices and inefficiencies hinder smallholder farmers, leading to overuse of inputs and environmental degradation.
GROWTH GROOMING INSIGHTS
Mithat Direk
9/5/2025
In economic theory, efficiency is pursued along two complementary pathways: extracting the maximum output from a fixed set of inputs or achieving a given level of output at the lowest possible cost. Both approaches aim to optimize resource use and enhance overall productivity. In agriculture, this translates to higher yields, lower input costs, and improved profitability for farmers. Despite its fertile land, favorable climate, and diverse cropping systems, Türkiye grapples with a persistent productivity paradox. The country ranks among the world’s leading agricultural producers yet yields for staple and high-value crops often fall below global benchmarks. Resource use, fertilizers, water, labor, is frequently inefficient, reducing potential income and undermining the long-term sustainability of the sector.


This paradox is mirrored in broader economic behaviors. For example, in the real estate sector, households often replace or renovate newly purchased homes before occupancy, even when existing structures are functional. Such actions reflect a systemic inefficiency in resource allocation, where energy, time, and capital are expended without proportional gains. When a similar mindset permeates agriculture, it manifests as overuse of inputs, suboptimal crop management, or reliance on traditional practices that limit productivity. The result is a gap between physical output and economic value scenario where land and labor produce crops, but potential income remains unrealized.
Bridging this gap requires a dual focus: first, on technical improvements such as precision farming, irrigation efficiency, and crop selection; second, on economic decision-making that aligns farm management with cost-effectiveness and market signals. Only by integrating efficiency at both the physical and economic levels can Türkiye fully harness its agricultural potential and secure sustainable gains for farmers, rural communities, and the broader economy.
The Productivity Paradox in Turkish Agriculture
Turkish agriculture is dominated by smallholder farms, often managed using practices passed down through generations rather than systematically optimized for economic efficiency. This reliance on tradition, while culturally significant, sometimes constrains productivity and limits the adoption of modern, cost-effective approaches. A striking example of this dynamic is the so-called “input race,” in which farmers, motivated by social competition and the desire to match or exceed their neighbors’ practices, apply increasing amounts of fertilizers, water, or pesticides without rigorously evaluating the economic returns.
This behavior illustrates the classic economic principle of diminishing marginal returns. When inputs exceed an optimal threshold, each additional unit produces progressively smaller gains in output and can even reduce overall efficiency. In Turkey, this is evident in the widespread overuse of nitrogen fertilizers. While farmers may perceive higher yields, the economic reality is often the opposite: increased costs for inputs, accelerated soil degradation, and contamination of water resources, all without a proportionate rise in marketable crop output. The focus shifts from income maximization to an illusion of productivity, where visible yields are prioritized over net profitability.
Addressing this paradox requires a reorientation of farm management strategies toward efficiency rather than volume. Precision agriculture, soil testing, and data-driven nutrient management can help farmers identify optimal input levels, improving both environmental sustainability and economic outcomes. Coupled with extension services and training programs, these approaches can bridge the gap between traditional practices and modern efficiency, ensuring that Turkish agriculture not only produces more but does so in a financially and ecologically sustainable way. By realigning incentives and knowledge, smallholders can transform the productivity paradox into a pathway for resilient and profitable farming.
Türkiye's Position in the Global Arena: A Tale of Quality vs. Quantity
Türkiye occupies a prominent place in global agriculture. It ranks first in Europe and fourth worldwide in vegetable production (TÜİK, 2023) and is a leading producer of high-value crops such as apricots, cherries, figs, hazelnuts, and quince. This impressive portfolio underscores the country’s agro-climatic diversity and traditional expertise in horticulture. Yet, beneath these headline figures lies a persistent efficiency gap that limits economic returns for farmers.
Open-field tomato production offers a stark illustration. While greenhouse systems yield 70–80 tons per hectare, some open-field operations struggle to produce just 5–10 tons per hectare (TÜİK, 2023). By contrast, countries like the Netherlands leverage controlled-environment agriculture, precision technology, and rigorous input management to exceed 500 tons per hectare (FAO, 2022). The gap is not merely technical; it reflects a broader orientation toward economic efficiency and systematic productivity planning.
Global leaders in high-yield agriculture, Netherlands, Israel, and Spain, treat farming as a knowledge-intensive, industrial activity. Every decision, from nutrient application to water use, is evaluated for its return on investment, ensuring that inputs translate directly into economic gain. Türkiye, while celebrated for the superior taste, aroma, and quality of its produce, often prioritizes tradition and visual yield over financial efficiency. This focus on qualitative attributes, though valuable for niche markets, cannot fully offset the economic costs of lower yields and higher input use.
Bridging this quality-quantity divide requires integrating advanced agronomic practices, data-driven decision-making, and optimized resource management without compromising the distinctiveness of Turkish crops. By aligning the country’s celebrated quality with higher efficiency, Türkiye can enhance farm profitability, strengthen its global competitiveness, and sustain its agricultural leadership in both local and international markets.
Historical Efforts and the Need for a National Productivity Movement
Türkiye has a long-standing institutional interest in productivity, dating back to the establishment of the Milli Prodüktivite Merkezi (MPM) in 1954. This initiative was a pioneering effort to coordinate cross-sectoral productivity improvements, spanning agriculture, industry, and services. Yet, the dissolution of MPM in 2011, and the absorption of its functions into the Ministry of Industry and Technology, marked a shift away from a dedicated national focus on productivity. Without a centralized, cohesive approach, efforts have remained fragmented, limiting measurable impact in agriculture and other sectors.
A genuine productivity transformation requires a coordinated national movement. Success hinges on collaboration between government agencies, farmers, academic institutions, private enterprises, and NGOs. The government’s role is critical in creating an enabling environment through policy reform, technical support, and investment in knowledge systems. Subsidies, for instance, should shift from input-based support to performance-oriented incentives that reward efficiency, sustainability, and adoption of precision agriculture technologies. Extension services must be revitalized to provide independent, data-driven guidance on irrigation, nutrient management, and integrated pest control, reducing reliance on supplier-driven advice. Complementing these efforts, targeted research and development can generate climate-resilient, high-efficiency crop varieties tailored to Turkish agroecological conditions.
The ultimate objective must move beyond raw output to profitability per unit of land and water. A study in Şanlıurfa on cotton farming illustrates this principle: while yield increased with up to ten irrigations, economic returns peaked at seven, as additional water and energy costs outweighed marginal gains. Productivity, therefore, is not about producing more per se, but producing more profitably.
By combining modern agronomic knowledge, technology, and data-driven decision-making with Türkiye’s rich agricultural tradition, farmers can enhance both economic returns and global competitiveness. A national movement focused on productivity promises not only higher incomes for producers but also a sustainable, resilient agricultural sector that secures Türkiye’s position in global markets.
Conclusion
Türkiye’s agricultural productivity paradox highlights a critical disconnect between potential and realized economic outcomes. Despite its favorable agro-climatic conditions and global leadership in high-value crop production, the nation struggles with inefficiencies rooted in traditional practices, input overuse, and insufficient integration of data-driven decision-making. Smallholder farmers often prioritize visible yields or social norms over profitability, leading to excessive fertilizer, water, and pesticide use that diminishes net returns and accelerates soil degradation.
Bridging this gap requires a holistic approach that combines technical, economic, and institutional strategies. Precision agriculture, optimized irrigation, soil testing, and nutrient management can align input use with actual crop requirements, improving both productivity and sustainability. Strengthened extension services and targeted R&D can ensure farmers have access to actionable knowledge and climate-resilient, high-efficiency varieties. At the policy level, shifting subsidies from input-based support to performance-oriented incentives, coupled with a coordinated national productivity movement, can create an environment that rewards efficiency, innovation, and sustainability.
Ultimately, the goal is not merely higher production but higher profitability per unit of land and water. By integrating tradition with modern agronomic practices and economic rationality, Türkiye can transform its agricultural sector into a knowledge-intensive, competitive, and resilient system. Such a transformation promises improved farmer incomes, strengthened food security, and enhanced global competitiveness, ensuring that the country’s rich agricultural heritage translates into tangible economic and social gains.
References: TÜİK; FAO; Ministry of Agriculture and Forestry; World Bank; Özertan & Aerni; Akyüz & Yıldırım; Demir & Bayaner
Please note that the views expressed in this article are of the author and do not necessarily reflect the views or policies of any organization.
The writer is affiliated with the Department of Agricultural Economics, Selcuk University, Konya-Türkiye and can be reached at mdirek@selcuk.edu.tr
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