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The main objectives of this paper are to assess the production costs and to measure the total factor productivity (TFP) of durum wheat production for a sample of cereal farmers in the North of Tunisia. Our hypothesis is that improvement of these indicators can reduce the production costs and consequently the improvement of producers’ incomes. To test this hypothesis, a survey has been carried out over a sample of 232 cereal farms in the subhumid region in the North of Tunisia cultivating durum wheat. The reconstituted costs approach was used to estimate the production costs. The obtained results show that production costs and net margins of durum wheat vary according to the farm size. About 67% of surveyed farms make a positive gross margin. The empirical results of the regression reveal that TFP is positively affected by the farm size and the crop rotations, it is negatively affected by the new varieties and the investments made by the farm while.
