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ABSTRACT The trend of production input usage on red pepper farming is increasing, therefore it is considered as inefficient. The aim of this research was to analyze the technical efficiency of red pepper farming which was conducted on 2017 in Bangli District, Bali, Indonesia. Primary data were obtained by interviewing 60 farmers using structured questionnaires, while the respondents was selected by random sampling. Secondary data were collected through literature study. Maximum Likelihood Estimator (MLE) was employed to analyze the data by estimating the stochastic production frontier model. The results of the study showed that (1) the land size, seed, KCl, NPK fertilizer, chicken dung fertilizer and labor positively effects the increase of red pepper production. Contrastly, the pesticide is potential to decrease the production; (2) red pepper farming had been conducted efficiently; (3) the level of education affects the technical efficiency of red pepper farming.