Profit Efficiency Analysis of Cassava Production in Enugu State, Profit Efficiency Analysis of Cassava Production in Enugu State, Nigeria Nigeria (original) (raw)
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Profit Efficiency of Cassava Production By Small Holder Farmers in Enugu State, Nigeria
2021
This study analyzed the profit efficiency of smallholder cassava farmers in Enugu state, Nigeria. The study employed multi-stage random sampling technique in selecting 240 cassava farm households who are registered in the Enugu State Fadama III project during 2019 farming season. Data were collected with the use of structured questionnaire and interview schedule. The data collected were analyzed using descriptive statistics, stochastic frontier profit function model. The results showed that majority (73.3%) of the household heads were male, with a mean age of 52 years. Most (78.5%) were married, with a mean farm size of 0.3125 ha. The years of formal schooling was 9years, personal savings was the major (83.1%) source of capital. The results further showed that profit efficiency ranged between 34.19 % and 99.98%, while mean efficiency was 73% which suggested that about 27% loss in profit was due to a combination of technical and allocative inefficiencies. Also, educational level and years of farming experience were the major significant factors which influence profit efficiency positively. There is scope for increasing profit efficiency in cassava production in the study area. Policy focus on cassava should be directed toward the identified efficiency factors.
Profit Efficiency Analysis of Cassava Production in Enugu State, Nigeria
Journal for the Advancement of Developing Economies , 2021
This study analyzed the profit efficiency of smallholder cassava farmers in Enugu state, Nigeria. The study employed a multi-stage random sampling technique in selecting 240 cassava farm households who are registered in the Enugu State Fadama III project during the 2019 farming season. Data were collected using copies of structured questionnaire and interview schedule. Collected data were analyzed using descriptive and inferential statistics (stochastic frontier profit function model). Results showed that the majority (73.3%) of the household heads were male, with a mean age of 52 years. Additionally, the majority (78.5%) of the respondents were married, mean farm size of respondents was 0.3125 ha, mean duration of formal schooling was 9 years, and personal savings was the major (83.1%) source of capital among respondents. The results further showed that profit efficiency ranged between 34.19 and 99.98%, while mean efficiency was 73% with the 27% loss in profit attributed to a combination of technical and allocative inefficiencies. Also, educational level and years of farming experience were the major significant factors which influence profit efficiency positively. Findings from this study could be relevant for policy formulation by government.
Economic Efficiency of Small Scale Farmers in Ogun State, Nigeria
Cassava holds a prominent position as a food and industrial crop in the Nigerian economy. Thus, there are government initiatives to support its mass production for domestic use and export. This study investigated the efficiencies of cassava production in Odeda Local Government of Ogun State. A random sample of 200 cassava producers was taken and subjected to budgetary and stochastic frontier analyses. Results indicated that most of the farmers were male (90%) with more than half (53%) above 50 years of age. Land holding by inheritance (78%) was prevalent. The gross margin and profit were N105, 775 and N95. 738,10 respectively. Cost ratio (1.8) and percentage profit (80%) indicated that cassava farming was profitable in the area. Total variable and labour costs were 91.6% and 68.2% of the total cost respectively. The return to scale was 1.024. Farm size (0.771) and quantity of planting stakes (0.203) significantly (p ≤ 0.01) affected cassava production. Age and farming experience con...
Stochastic Profit Efficiency of Homestead based Cassava Farmers in Southern Nigeria
The study used Cobb-Douglas stochastic profit function to estimate farm-level profit function, economic efficiency and it determinants among homestead based cassava farmers in the south-south region of Nigeria. Two-stage random sampling method was used to select 300 homestead based cassava farmers in the study area. Maximum likelihood estimates of the specified models reveal an average economic efficiency of 61.22%. The study also found that farmer's education, experience, household size, level of farming involvement, extension agent visit, soil management method adopted by farmers and farm size are significant factors affecting farmlevel economic or profit efficiency in resource use among homestead based cassava farmers. Farm-level policies aimed at promoting farmer's education, extension services and family planning among farmers as well as reduction in production constraints was recommended.
Technical Efficiency Among Cassava Farmers im Ikenne Local Government Area of Ogun State, Nigeria
Ethiopian Journal of Environmental Studies and Management, 2015
Cassava has played and continues to play a remarkable role on the agricultural stage of Nigeria. The inability of the country meeting existing demand has been traced to resource use efficiency of the farmers. The study evaluates the technical efficiency among cassava farmers in Ikenne Local Government Area of Ogun State, Nigeria. Primary data employed in the study were obtained from 155 cassava farmers selected through a 2-Stage sampling technique. Data were analyzed using descriptive statistics and stochastic frontier model. Results showed that the return to scale was 1.814. Cassava stem cuttings (0.484), quantity of fertilizer used (0.614) and the farm size (0.427) significantly (p ≤ 0.05) affected cassava production. Age and farming experience contributed to technical inefficiency while cassava stem cuttings, quantity of fertilizer used and the farm size enhanced technical efficiency. Efficiency of cassava growers ranged between 35.1 and 97.0 with a mean of 68.5. It was concluded that cassava production was highly profitable and farmers operated with maximum efficiency given the current technology. The study recommends increased area under cultivation and improved cassava varieties coupled with other inputs to boost to productivity of farmers.
Cassava and its food products are the most important staples of rural and urban households in SouthEast Nigeria. The study examined the profitability of cassava based crop farmers in Owerri Agricultural Zone of Imo State, SouthEast Nigeria. A multistage sampling technique was adopted in the selection of sixty respondents for the study, with the questionnaire as the main tool for data collection. Descriptive statistics as well as farm budgeting techniques: Net Farm Income and Profitability index were used in the analysis of data. The dominant cassava intercrops practiced by farmers in the study area were cassava/maize/yam/vegetable. The net farm income and profitability index showed a return to investment of 50k to every N1 invested. Cassava based farming is a profitable investment option and farmers are encouraged to rise above their subsistence level to produce commercially.
2014
The study examined the technical efficiency of 110 smallholder cassava farmers selected from two Local Government Areas in Kogi State, Nigeria. Descriptive statistics and stochastic frontier production function were used to analyze the primary data collected with the aid of a structured questionnaire. The maximum likelihood estimates showed that labour (0.5054), planting material (0.432) and land resource (0.1388) were the important production factors and directly related to cassava output. The parameters that increased technical efficiency are education, farming experience and extension contacts while age, membership of farmers’ group and household size reduced technical efficiency with mean technical efficiency of 0.9489 (94.89%). The estimates indicated that the farmer have not fully utilized the variable resources as the return to scale was 1.7724. The study concluded that there were still some levels of inefficiency of 0.0511 (0.5.11%) among the cassava farmer; and that the sig...
2017
This study focused on cost of production and resource use efficiency among small scale cassava farmers in Igbo Etche in Rivers State, Nigeria. A total of 102 questionnaires were returned for data analysis using descriptive statistics, stochastic cost and production function models. The results showed high cost of hired labour, land preparation, lack of high yielding varieties, as farmers’ major challenges. About 73.86% of total cost of cassava production was labour cost. The coefficients of costs of hired labour, planting and cassava cuttings were negative, significant between 1%-10%. Costs of fertilizers, pesticides and purchasing farmland were positive, statistically significant between 1-10%. All variables used in stochastic production function were statistically significant at 1%. If fertilizer input was increased by 10%, output will increase by 29.49%, while cost of hired labour, if reduced by 10%, will reduce output by 13%. The variations experienced in cost and production out...
Profitability and Resource Use Efficiency in Cassava Production: Evidence from Delta State, Nigeria
https://www.ijrrjournal.com/IJRR\_Vol.8\_Issue.6\_June2021/IJRR-Abstract024.html, 2021
Cassava has played and continues to play an outstanding role. The country's failure to meet current demand has been due to the efficiency of farmers' use of resources. The study examined resource use efficiency in cassava production. Data from 120 cassava producers were carefully chosen using random sampling procedure. Descriptive statistics and multiple regression model were applied to analyze the data. The results disclosed that the greater part of the growers were female with mean age of 45 years, educated and married. The mean household size was 6 persons with mean farming experience of 16 years. Majority of the producers belong to farming association. The result of cost and returns shows that the total production cost , total revenue realized and profit were N221,500, N398,000 and N176,500 respectively with BCR of 1.80 which implies that cassava production is profitable. The regression estimated showed that farm sizes, fertilizers, labour and planting material influence the output produced. The estimated output elasticity was 0.934, which means decreasing return to scale. The result indicated that farm size, fertilizers, labour and planting materials were inefficiently used, thereby dropping below the best economic level. The low ratios of MVP / MFC of the entire variables were shown to be less than unitary. Approximately 56.19%, 99.98%, 97.67%, 99.99% and 11.28% increase in MVP are necessary to optimize the allocation of farm size, fertilizer, labour, planting material and agrochemical. Major problems include inaccessibility to financial services, high labour cost, poor market prices and insufficient extension services. Agricultural policies should be aimed at supplying agricultural inputs, such as fertilizer and effective extension programs to guarantee the productive usage of resources. It is also suggested that extension facilities be intensified to provide farmers with information on new innovations and methods of farming while steps should be taken to lessen the militating effect of the constraints.
Applied Economics and Finance, 2015
The stochastic production frontier was employed in the analysis of the technical efficiency of small scale cassava farmers in Cross River State. A multi-stage random sampling technique was adopted in selecting two hundred (200) cassava farmers from Ikom and Ogoja Agricultural zones in the State. Structured questionnaires were used in collecting data for the study. A stochastic production function, using the Maximum Likelihood Estimating (MLE) technique, was used in estimating the farmer's technical efficiency and their determinants in the study area. The mean technical efficiency of the cassava farmer's was 89%. The result of the generalized Likelihood Ratio (LR) tests confirm that the cassava farmers were technically inefficient, implying that there is room to improve technical efficiency with the farmers' current resource base and available technology. Age and sex of the farmers had negative but significant effect on their technical efficiency, while education, family size, farming experience and farm size had significant and positive influence on farmer's technical efficiency. Therefore, policies that would encourage experienced and educated farmers, especially women to continue in cassava farming are recommended.