TECHNICAL EFFICIENCY OF SERBIAN DAIRY PROCESSING INDUSTRY
Serbian dairy processing sector is passing through signifcant structural changes in last couple decades. Concentration, vertical coordination and integration become a main characteristics. The main goal of the paper is to explore technical effciency of 91 Serbian dairy processors in sample by non-parametric method Data envelopment analysis. Data were collected from financial reports of dairy companies in 2015. All dairy companies were divided in 4 groups: micro, small, middle and big. The empirical results indicate that 16.5% of companies were technically effcient. This study shows that efficient companies exist across all size groups, and while small companies suffer from input ineffciency and insufficient size of business, the bigger companies are over invested.
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