Assessment of profitability and risk management in vegetable production in Ogun State, Nigeria

2021 ◽  
Vol 1 (2) ◽  
pp. 029-035
Author(s):  
Akinbola Adeyose Emmanuel
Keyword(s):  
Risk Management ◽  
Fertilizer Application ◽  
Sampling Procedure ◽  
Study Data ◽  
Least Square ◽  
Farm Size ◽  
Farm Income ◽  
Vegetable Production ◽  
Gross Margin ◽  
Ogun State

The study examined the performance and risk management of vegetable production in Ogun State, Nigeria. A multistage sampling procedure was used to select 120 respondents for the study. Data were collected through a well-structured questionnaire and personal interview schedule. Descriptive statistics and inferential statistics such as Ordinary Least Square (OLS) were used for the analysis of this study. The results found out that lack of discriminating pricing system, conflict in policy making, and high cost of inputs affect the market prices and as well serve as the main production risks that were observed by the farmers in the area. The average cost incurred for the production was about ₦6,908, while the total revenue accrued was ₦41,751. The gross margin and net farm income realized per production season were ₦36,973 and ₦34,843, respectively. The value (6.0) of return on investment showed that farmers realized times six of their investment. The variables such as household size, farm size, fertilizer application and equipment were the main determinants of vegetable production in the area. Also, the main challenges faced by the farmers were the infestation of pests and diseases, inadequate funds and climate change consequences. Therefore, it is recommended that the vegetable farmers should be encouraged through technical training on innovative approach to price determination and forming of functioning market structure in the area.

scholarly journals AN ANALYSIS OF YIELDS OF KOLA-NUT PRODUCTION, PROCESSING AND MARKETING IN SAGAMU LGA, OGUN STATE, NIGERIA

2017 ◽  
Vol 11 (1) ◽  
pp. 90-105
Author(s):  
E. O. A. OLUWALANA ◽  
L. O. OKOJIE ◽  
F. O ASHAOLU ◽  
V. O. OLANIRAN
Keyword(s):  
Descriptive Analysis ◽  
Sampling Technique ◽  
Farm Size ◽  
Farm Income ◽  
Net Income ◽  
Gross Margin ◽  
Ogun State ◽  
Unit Increase ◽  
Nut Production ◽  
Selection Of

This study on Kola nut production in Ogun State was aimed at describing the socio-economic characteristics of the farmers, net farm income, marketing channels and factors influencing output of kola nut for its impact on food security. Multistage sampling technique was used in the study; the first stage involves the purposive selection of Sagamu Local Government as largest Kola nut farming with 4 communities; namely; Agbowa; Sagamu; Igodo, and Odelemo. The second stage involves simple random selection of 100 kola nut farmers, 25 per community. A structured questionnaire was administered subject to descriptive analysis, multiple regressions, and budgetary analysis. The results revealed that male 82% and female 18% were involved in kola nut production, processing and marketing. Average household size of 6 members with a minimum of 25 years farming experiences. The study revealed that 51% of the farmers sold directly to wholesalers, 37% sold to processors, and 12% sold to retailers. Also, 83%, of the producers and marketers were married 16% were widowed and only 1% divorced. Average age was 58years and average farm size of 2.71 hectares. Average farm net income was ₦208,680.40 per annum with the total revenue of ₦291,149 and a gross margin of ₦237,789.50 per annum. The average total cost incurred was calculated as ₦82,468.40 being cost of labour, transportation and items such as cutlass, hoes and files. Regression analysis used to determine the factors affecting the output of kola nut showed that farm size, age of kola nut plantation and the age of farmers were significant at 10%, 5% and 1% respectively using double log equation and the model was significant at 1%. The age of farmers (x1) was negatively significant which implies that as farmers reach old age, this may serve as hindrance due to physical inability to undertake vigorous farm activities hence reduction in output occurs by 13.3%. Farming experience (x2) was negatively correlated with output of kolanut indicating that a unit increase in experience of kolanut farmers will decrease output by 12.3%. Farm size was found to positively significant which implies that a unit increase in farm size will increase output by 83.1%.The result revealed that kola nut business is a profitable venture and male dominated. The women could be encouraged to invest in the business to increase their income and livelihood. 

scholarly journals Socioeconomic Determinants of Farmers’ Participation in Off-Farm Income Employment in Ezza South Local Government Area of Ebonyi State, Nigeria.

2020 ◽  
Vol 8 (2) ◽  
Author(s):  
Samuel Ucha ◽  
Ume Smiles ◽  
Justin Nnaji
Keyword(s):  
Local Government ◽  
Sampling Procedure ◽  
Study Data ◽  
Household Size ◽  
Local Government Area ◽  
Limiting Factors ◽  
Farm Size ◽  
Farm Income ◽  
Extension Services ◽  
Access To Credit

The socio-economic determinants of farmers’ participation in off-farm income employment in Ezza south local government area of Ebonyi state, Nigeria were studied. The specific objectives of the study were to describe the socio-economic characteristics of the farmers, identify the off-farm income employments participated by the farmers, ascertain the determinants of farmers’ participation in off-farm income employments and identify the limiting factors to the farmers’ participation in off-farm income employments in the study area. A multi-stage random sampling procedure was used to select respondents for the study. One hundred and twenty farmers (120) were randomly selected for the study.  Data collected were analyzed using percentage responses and frequency distribution, logistic regression and 4-point Likert scale. The findings revealed that the farmers that participated in off-farm income activities were aged, educated, well experienced, large farm size, females, married and large household size. The result further revealed that high proportion of the respondents engaged in civil service, trading, motor cycle riders, auto mechanics and tricycle riders. The determinants factors to the farmers’ participants in off farm employments were household size, education level, farming experience, farm size and membership of cooperative societies. Factors limiting farmers’ participation in off-farm activities were high level of Illiteracy, poor access to credit facility, old age, inadequate power supply, poor extension services and ill health of farmers identified. There is need to enhance farmers’ access to extension services, educational program, encouraged farmers to join or form cooperatives.

scholarly journals Economics of Yam Production in Gboyin Local Government Area of Ekiti State, Nigeria

2020 ◽  
pp. 99-110
Author(s):  
O. C. Ariyo ◽  
M. B. Usman ◽  
M. M. Olorukooba ◽  
O. E. Olagunju ◽  
O. B. Oni ◽  
...  
Keyword(s):  
Local Government ◽  
Formal Education ◽  
Tertiary Education ◽  
Sampling Procedure ◽  
Study Data ◽  
Local Government Area ◽  
Farm Size ◽  
Farm Income ◽  
Planting Materials ◽  
Relationship Of

The study of economics of yam production was carried out in Gboyin Local Government Area of Ekiti State, Nigeria. The specific objectives are to: describe the socio-economic characteristics of yam farmers, determine and analyse the profitability of yam production, determine the input and output relationship of yam production and identify constraints to yam production. Three- stage sampling procedure was used to obtain information from respondents. A total number of 140 respondents selected randomly from four towns (Ode- Ekiti, Agbado, Aisegba and Ilumoba) were used for the study. Data were collected with interview schedule administered to obtain information from the farmers. Descriptive statistics, budgetary, profitability and multiple regression analysis were used to analyse the data. The result of the study showed that both males and females are involved in yam production in the study area with mean age of 45 years and mean household size of 5 members. The mean faming experience and farm size was 10 years and 1.83 hectares respectively. Majority (83.57%) had formal education (primary, secondary and tertiary education) and had no access to loans. The result of budgetary analyses showed that yam production is profitable with an average net farm income of N 91, 876.50 per production season. The profitability indicators revealed that the enterprise is viable and worthwhile. The coefficient of both fertilizer and farm size were significant at (P< 0.001), labour at (P< 0.05) while the coefficient of seed was significant at (P< 0.10) probability level. These variables are very vital and crucial in yam production. Inadequate capital and planting materials, high cost and inaccessibility to inputs, and poor produce price etc are the problems of yam production in the study area. It was concluded that yam production is a profitable, viable and worthwhile enterprise which can be embarked upon by both the youths and adults of the study area.

scholarly journals ANALYSIS OF COST AND RETURNS IN RICE PRODUCTION BY USAID-MARKETS II PROJECT PARTICIPANTS AND NON-PARTICIPANTS IN EBONYI STATE, NIGERIA

2021 ◽  
Vol 21 (1) ◽  
pp. 1-7
Author(s):  
Ogechi Cordelia Nwahia
Keyword(s):  
Research Work ◽  
Primary Source ◽  
Sampling Procedure ◽  
Study Data ◽  
Rice Production ◽  
Farm Income ◽  
International Agencies ◽  
Significant Difference ◽  
Project Participants ◽  
The Government

This research work focused on analysis of cost and returns in rice production by USAID-MARKETS II project participants and non-participants in Ebonyi state, Nigeria. Multi-stage sampling procedure was employed to select 239 participants, and 252 non- participants for the study. Data were collected from primary source, and analyzed using Z statistic, Net Farm Income (NFI) and Returns Per Naira Invested (RNI). The result reveals that the Net Farm Income (NFI) obtained by USAID-MARKETS II project participants, and non-participants were N493, 067.55/ha, and N353, 408. 12/ha respectively while the return on investment obtained by them were N3.28k, and N3.05k respectively. There was a significant difference between the profits obtained by them. Therefore, this study recommended that the teaming unemployed Nigerian youth should be encourage by the government, and international agencies through provision of grant/loan to take up rice farming as a business.

scholarly journals DETERMINANTS OF AGRICULTURAL LOAN DECISION MAKING PROCESS FOR RICE (ORYZA SATIVA) FARMERS IN ABUJA, NIGERIA. APPLICATIONS OF HECKMAN TWO-STAGE MODEL AND FACTOR ANALYSIS

2021 ◽  
Vol 59 (1) ◽  
Author(s):  
Olugbenga Omotayo Alabi ◽  
Ayoola Olugbenga Oladele ◽  
Mohammed Bello Usman
Keyword(s):  
Rice Production ◽  
Farm Size ◽  
Farm Income ◽  
Decision Making Process ◽  
Stage Model ◽  
Gross Margin ◽  
Two Stage ◽  
Rice Farmers ◽  
Factors Influencing ◽  
Socio Economic Factors

This study focuses on determinants of the agricultural loan decision-making process of rice (Oryza sativa) farmers in Abuja, Nigeria, using the Heckman two-stage model and factor analysis. This study was designed specifically to achieve the following objectives: determine the socio-economic profiles or characteristics of rice farmers, analyze the costs and returns of rice production, evaluate factors influencing rice farmers’ decision to obtain an agricultural loan, evaluate socio-economic factors influencing the amount of the agricultural loan, and determine the constraints or problems facing rice farmers. A multi-stage sampling design was employed. A total sample of one hundred (100) rice farmers was included, and primary data were utilized. Data were obtained through the use of a well-structured and well-designed questionnaire. Statistical and econometric tools used in analyzing data included descriptive statistics, gross margin analysis, financial analysis, the Heckman two-stage model, and principal component analysis. The results show that 63% of rice farmers were between the age of 31–50 years. The mean age was 41.90 years. About 65% of rice farmers were male, and 54% of them were married. Also, 93% of rice farmers had formal education and were literate. The household sizes were large, with an average of six persons per household. An average of 71,550 nairas was the loan amount granted to rice farmers by financial institutions. The average farm size amounted to 1.49 hectares. Factors influencing the decision of rice farmers to obtain agricultural loan included age (P < 0.01), marital status (P < 0.05), household size (P < 0.10), educational level (P < 0.05), farm size (P < 0.05), farm and non-farm income (P < 0.10), farm experience (P < 0.05), collateral property (P < 0.05), extension services (P < 0.10), and awareness of loan or credit facilities (P < 0.05). Rice production was profitable with a net farm income of 744,300 nairas. The gross margin ratio of 0.95 means that 95 kobos covered profits, taxes, expenses, interest, and depreciation for every naira invested in rice production activities. Socio-economic factors statistically and significantly influencing the amount of agricultural loan obtained by rice farmers included (P < 0.05) sex (P < 0.01), household size (P < 0.05) and educational level (P < 0.01). The constraints facing rice farmers in obtaining the agricultural loan and production activities included lack of collateral property, lack of fertilizer input, poor-quality feeder roads, lack of credit facilities, inadequate labor input, and complicated and costly administrative procedures to obtain a loan. It is recommended that agricultural loans be made available to rice farmers in sufficient amounts and at low-interest rates. Also, farm inputs, fertilizer inputs, improved seeds, and chemicals should be made available to rice farmers

scholarly journals Tribal womens involvement with pig farming in Bangladesh: an evidence of Moulvibazar district

2018 ◽  
Vol 16 (1) ◽  
pp. 115-127
Author(s):  
R Khanum ◽  
MSA Mahadi ◽  
MS Islam
Keyword(s):  
Low Income ◽  
Farm Size ◽  
Primary Data ◽  
Farm Income ◽  
Cost Ratio ◽  
Gross Margin ◽  
Factors Affecting ◽  
Model Average ◽  
Pig Farming ◽  
Benefit Cost

The study examined the profitability and factors affecting farm income from pig farming in Moulvibazar district of Bangladesh. A multistage sampling technique was followed to select 70tribal women entrepreneurs involved with pig farming. Primary data were collected through structured questionnaire and analyzed using descriptive statistics, independent sample t-test, benefit-cost analysis, and linear regression model. Average age of pig entrepreneurs was 39.47 years which indicates that they are young and agile. About 71% of Garo entrepreneurs had experience for pig farming. The cost and return analysis showed that in one year, the gross margin was Tk. 56743.70, while the benefit-cost ratio (BCR) was 1.19 indicating that the enterprise is profitable. Regression analysis revealed that three variables namely farm size, age of the respondent and experience of pig farming are significant factors affecting farm income. Thus, it was recommended that tribal women should be encouraged to practice pig farming to overcome their low income and unemployment situation.SAARC J. Agri., 16(1): 115-127 (2018)

scholarly journals Risks and determinants of risk management strategies among rural cassava-based farmers in Imo State

2020 ◽  
Vol 17 (2) ◽  
pp. 100-115
Author(s):  
C.E. Ahaneku ◽  
S.U.O. Onyeagocha ◽  
C.C. Eze ◽  
N.M. Chidiebere-Mark ◽  
G.O. Ellah ◽  
...  
Keyword(s):  
Risk Management ◽  
Management Strategies ◽  
Sampling Technique ◽  
Farm Size ◽  
Farm Income ◽  
Imo State ◽  
Resistant Species ◽  
Risk Management Strategies ◽  
Multistage Sampling ◽  
Logit Regression Model

Cassava-based farmers are faced with a lot of risks and uncertainties and this results to low agricultural output and hinders the rural farmers from  pursuing their farming activities as an enterprise. The study assessed the risks and determinants of risk management strategies among rural cassava-based farmers in Imo State. A multistage sampling technique was used in the selection of respondents. Data were collected with the use of structured questionnaire administered to 180 respondents. Multinomial logit regression model was used to determine the factors influencing the choice of risk management strategies among rural cassava-based farmers in the study area. Results of the study showed that the farmers were of middle-age, fairly educated and have average farm size of one hectare. Majority of the farmers identified loss of crop due to disease (76.11%) and loss due to erosion (73.89%) as sources of risk farmers were exposed to. Also greater number of the respondents adopted practicing of mixed  cropping and planting of disease resistant species as risk management strategies. The result of the study also confirmed that age, gender, educational level and farm income were the major determinants of the farmers’ choice of risk management strategies. It was recommended that  government should make extension services functional and provide policies that will help boost the socio-economic welfare of farmers as this will significantly propel an increase in the choice effective risk management strategies in the area. Keywords: Risk management, risk management strategies, cassava based farmers.

scholarly journals Factors influencing the adoption of improved vegetable production practices among women farmers in Aguata-Agricultural Zone, Anambra State, Nigeria

Agrosearch ◽  
2021 ◽  
Vol 20 (2) ◽  
pp. 67-81
Author(s):  
L.E. Odoemlam ◽  
F.C. Nzeakor
Keyword(s):  
New Technologies ◽  
Women Farmers ◽  
Farm Size ◽  
Farm Income ◽  
Vegetable Production ◽  
Probit Regression ◽  
Factors Influencing ◽  
Production Practices ◽  
Adoption Level ◽  
On Farm

The study examined the level and determinants of adoption of improved vegetable production practices in the study area. A three-stage sampling procedure was used in the selection of 160 respondents. A structured questionnaire was used for data collection. Data collected were analysed using descriptive statistics and Probit regression model. Results on adoption level of the selected improved vegetable production practices indicated that improved seeds had a grand mean of 𝑥̅ = 3.17, field preparation (𝑥̅ = 3.19), planting distance (𝑥̅ = 2.99), water management (𝑥̅ = 3.43), fertilizer/organic manure application (𝑥̅ = 3.55), pesticides (𝑥̅ = 2.57), harvesting ( 𝑥̅= 5.00) and storage procedure (𝑥̅ = 4.89) based on 5-point Likert scale adoption level. On factors influencing adoption of improved vegetable production practices, the result revealed that farm size (1.00188***), credit access (4.704902**), on-farm demonstration (2.900749**) and farm labour (1.295902***) had a positive and significant influence on improved vegetable production practices by the respondents. The result further indicated that the age (0.3135258***) and the off-farm income (0.0870768) of the farmers had a negative influence on the adoption of improved vegetable production practices. Based on these findings, the study revealed that the women farmers could have full adoption of the improved production practices if the factors are adequately addressed. The study therefore recommends that before the introduction of a new technology, the ADPs should ensure that maximum audience analysis is carried out to address some of the factors influencing adoption. Besides, introduction of new technologies to farmers should go hand-in-hand with on-farm demonstration since it is by that they would develop confidence and allay their fears associated with improved practices.

scholarly journals Cost and Returns Analysis of Groundnut Production in Qua’an Pan Local Government Area of Plateau State, Nigeria

2020 ◽  
pp. 31-40
Author(s):  
A. A. Dalla ◽  
S. K. Vihi ◽  
B. Jesse ◽  
L. G. Tor
Keyword(s):  
Local Government ◽  
Land Tenure ◽  
Function Analysis ◽  
Local Government Area ◽  
Farm Size ◽  
Primary Data ◽  
Farm Income ◽  
Selling Price ◽  
Gross Margin ◽  
Plateau State

This study assessed cost and returns analysis of groundnut production in Qua’an Pan Local Government Area of Plateau State, Nigeria. The specific objectives were to determine the socio economic characteristics of groundnut producers in the study area, estimate the cost and returns of groundnut production, determine the input and output relationship in groundnut production and identify the constraints faced by groundnut farmers in the study area. Multistage sampling technique was used in selecting 150 respondents for the study. Primary data were collected through the use of structured questionnaires and interview technique and were subjected to both descriptive and inferential statistics. The results obtained from the study revealed that the mean age of the respondents was 38 years with males dominating (82%) the groundnut production enterprise in the study area. Greater (85%) percentages of respondents were married with majority (64%) of them having primary school education. The respondents had an average household size of nine (9) persons, a mean farming experience of 9.3 years and an average farm size of 3.0 hectares. The result also revealed that majority (72%) of the respondents did not belong to any cooperative/ farming association. The result indicates that majority (79%) of the groundnut farmers acquired their farmland by inheritance. Groundnut production in the study area is profitable. The average output obtained per hectare was 696 kg at the prevailing selling price of ₦280/kg. The total revenue (TR), gross margin (GM) and, net farm income (NFI) per hectare obtained were ₦194880, ₦139380 and ₦123730 respectively. The return on naira invested (RNI) by farmers in the study area was ₦1.70 indicating that for every one naira invested, ₦1.70 profit was gained. The result of the double log production function analysis shows that farm size, cost of fertilizer and cost of labour were statistically significant and influenced the profitability of groundnut production.  Major constraints to groundnut production in the study area include; high cost of inputs (64 %), high cost of labour (49 %), lack of organized market system (47%), land tenure (42%) among others. The study recommends that groundnut stakeholders and research institutes should work more on introducing new improved groundnut varieties. Government should subsidize groundnut inputs like recommended fertilizer and herbicides so as to motivate farmers to grow groundnut. Government should establish organized marketing systems where farmers will have proper and reliable linkages with buyers thereby reducing the undue exploitative tendencies of the middlemen.  Improved storage facilities should be provided so that farmers could store their produce to avoid spoilage and for sale during times of scarcity.

scholarly journals Determinants of access to credit by cocoa farmers in osun state, nigeria

2020 ◽  
Vol 9 (2) ◽  
pp. 57-61
Author(s):  
JTO Oke ◽  
AD Kehinde ◽  
AJ Akindele
Keyword(s):  
Interest Rate ◽  
Formal Education ◽  
Sampling Procedure ◽  
Study Data ◽  
Farm Size ◽  
High Interest Rate ◽  
Access To Credit ◽  
Positive Effects ◽  
Credit Association ◽  
Cocoa Farmers

This study investigated the determinants of access to credit among cocoa farmers in Osun state, Nigeria. Specifically, the study described the socio-economic characteristics of cocoa farmers in the study area, examined the factors affecting access to credit by cocoa farmers in the study area; and identified the constraints faced by cocoa farmers in credit acquisition. The study was conducted in Osun state, south-western Nigeria. A multi-stage sampling procedure was used for selecting respondents for this study. A total number of 180 farmers were selected for the study. Data were analyzed using Descriptive statistics and logit Regression. The results for the entire respondents showed average values of 46 years for age, 25 years for year of experience, 8 persons for household size, and about 88% of the respondents have formal education. Farm size (p<0.05), income (p<0.05) and years of schooling (p<0.05) show significant and positive effects on access to credit. On the other hand, gender (p<0.05), distance to credit source (p<0.1) and interest rate (p<0.01) are significant but have negative effects on access to credit by cocoa farmers in the study area. Majority (85.6%) of the cocoa farmers acknowledged lack of collateral security as a constraint in credit acquisition, while about 71.1 % acknowledged that high interest rate was a factor hindering credit acquisition. Other factors are acknowledged in the following order: Bureaucratic procedures 60.6%, lack of information about available credit sources 45%, mode of repayment 40%, no credit association 31.1% and non- membership of farmers’-based organization had 23.3%. Following the findings of the study, government, non-governmental agencies and financial institutions should provide cocoa farmers with adequate access to credit facilities and soft loans with low interest and without collateral security. In addition, cocoa farmers should be educated on the acquisition of credit. Int. J. Agril. Res. Innov. Tech. 9(2): 57-61, December 2019

Sign in / Sign up

Export Citation Format

Share Document