Abstract:To study the potential of rice production plays a strategic role in ensuring future national food security. This paper divides the factors affecting the potential of rice production into factor investment and technical efficiency. Based on the panel data of rural fixed observation points in Hubei province,this paper uses method of Stochastic Frontier Analysis(SFA) to study technical transformation and the way of such transformation of rice production,the usage of factors investment (especially labor factor),changes of technical efficiency and its influencing factors,and finally the tests of all corresponding models are strengthened. The result shows that firstly,the average technical efficiency(TE) of rice production is about 76%~79%,TE has no obvious change among the analytical years,and technical transformation of Hicks-neutral with negative effects makes the rice production decrease by 2.14% per year. Secondly,the output elasticity of land factor and agricultural capital factor are larger and positive,but the output elasticity of labor factor is not positive. Finally,among all factors affecting the technical efficiency,the rate of household operation income (in which income of growing rice is not included) has negative impact,while the rate of other crops area and the education level of the household head have positive impacts,and government subsidy has no significant effect.Therefore,in order to release the rice production potential,governments should vigorously promote mechanization and large-scale planting,and enhance the precision of the policy subsidy.