GROSS MARGIN ANALYSIS OF BENEFICIARIES AND NON-BENEFICIARIES OF AGRICULTURAL CREDIT AMONG POULTRY FARMERS IN OSUN STATE NIGERIA
GROSS MARGIN ANALYSIS OF BENEFICIARIES AND NON-BENEFICIARIES OF AGRICULTURAL CREDIT AMONG POULTRY FARMERS IN OSUN STATE NIGERIA
Adeoti S. O. and Soyele O. D.
Department of Agricultural Economics, Obafemi Awolowo University Ile-Ife, Osun-state
Corresponding author: samfemj2011@yahoo.com
| A R T I C L E I N F O
Article Type: Short communication Received: 26, Sep. 2019. Accepted: 29, Oct. 2019. Published: 29, Oct. 2019.
|
A B S T R A C T
This study compared the profitability of beneficiaries and non-beneficiaries of agricultural credit among poultry farmers and also investigated the factors influencing the output of poultry production in Osun state. Multi-stage sampling technique was used to select 96 respondents in the state and well-constructed, a pretested questionnaire was used to collect data from the poultry farmers. The data collected were analyzed using descriptive statistics, budgetary techniques, multiple regression analysis and student t-test. The average age of poultry farmers in the study area is 53 years; poultry production is dominated by males with a percentage of 53.1%, 93.1% of the respondents had formal education, 31.25% of the poultry farmers are users of credit. The gross profit margin for beneficiaries of credit among poultry farmers was ₦742,222 while that of non-beneficiaries of credit was ₦365,434. The student t-test revealed that there is a significant difference between the profitability of beneficiaries and non-beneficiaries of credit at 5% significant level of probability. The study, therefore, recommends that poultry farmers should use cheap labour and government should provide credit at low cost through formal financial institutions and agencies that would check farmer’s activities as they keep up with loan payment and effective use of credit to ensure productivity and sustainable poultry enterprise. |
| Keywords:
Margin analysis, agricultural credit, poultry farmers |
REFERENCE
Abedullah, Mahmood .N., Khalid .M., and Kouser .S. (2009). The Role of Agricultural Credit in the Growth of Livestock Sector: A Case Study of Faisalabad. Pakistan Vet. J., 29(2): 81-84
Aboki, E., A.A.U., Jongur and J.I. Onu, (2013) productivity and technical efficiency of poultry Production in kurmi local government area of Taraba state Nigeria. Department agricultural Economics Taraba state university, Jalingo Nigeria. Journal of agricultural sustainability
4(1) 2013 52-66
Adebayo,O.O., and Adeola. R. G. (2008). Sources and Uses of Agricultural Credit by small scale farmers in Surulere Local Government Area of Oyo State. Anthropologist, 10 (4): 313-4.
Adebayo, O.O., and Adeola. R.G. (2005) Socio-economic factors affecting poultry farmers in Ejigbo local government area of Osun State. journal of human ecology, 18(1)2006 39-41
Adebusola, (2008), Osun state demographical survey Osun state Nigeria.
Adedeji, O.S, Amao, S.R., Alabi, T.J , Opebiyi, O.B. (2014) Assessment of Poultry Production
system in Ilesha West Local Government Area of Osun State Nigeria. Scholars Journal of Agriculture and Veterinary Sciences 2014; 1(1):20-27
Adene D.F and A.E Oguntade, (2006). The structure and Important of commercial and village
poultry Industry in Nigeria. FAO rome study Pp 4-27
Adeogun, S.B. (2007): Agricultural Credit in Nigeria, Current Practices. An unpublished Lecture
Delivered in Babcock University, on 22nd May, 2007, Agricultural and Multipurpose Credit Agency (OSAMCA), Ogun State, Nigeria
Adepoju, A.A (2008), Technical efficiency of egg production in Osun state. International journal
of agricultural economics and rural development 1(1) IJAERD Pp 7-13
Akodiete, G.O. et al (1999): Performance and Cost Analysis of Broiler Chicken Feed, Poultry Offal Meal (POM) as replaces for Fish Meal in Broiler Diet. Nigeria Society for Animal
Production (NSAP), Book Proceedings, 26th Annual Conference 21 – 25th March, 1999;
Ilorin, Pg 102 – 104
Asogwa B.C., O. Abu and G.E., Ochoche, (2014), analysis of peasant farmer access to agricultural
Credit in Benue state Nigeria. British Journal of economics, management and trade 4(10);
1525-1543 2014
Camilla Toulmin and Bara Gueye (2003), Transformations in West Africa agriculture and the roles
Of family farms. international institute for environment and development, dry lands programme issued paper 123 Pp 4-6
Clark, C. Katie P.H. Pieire Biscaye, Mary Kay G., C. Leigh Anderson, (2015) Evidence on the
Impact of rural finance and agricultural finance on clients Sub- Saharan Africa. Pp7
Connolly, A. J. (2014). A Glimpse into the Future: A Lens through Which to Consider Africa’s
Rising. International Food and Agribusiness Management Review 17(Special Issue B): 9–
18.
Damodar N. Gujarati and Dawn C. (2006), essentials of econometrics fourth edition McGraw-
Hill/Irwin, a business unit of The McGraw-Hill Companies, Inc., 1221 Avenue of the
Americas, New York, NY, 10020.Pp 17-36
Effiong, J.A.L., Konye, M.C. and Ayawani D.T., (2017) comparative analysis of the effect of
Agricultural credit in small scale poultry enterprise in Owerri agricultural zone south eastern Nigeria, international journal of agriculture and earth science 3(4) Pp 27-30
Effiong J.A.L., Konye, M.C., Eze E.U., and Njoku G.U,(2013). Impact of credit on small scale
Poultry farming in owerri west agricultural zone of Imo state. proceedings of 47th annual
Conference of agricultural society of Nigeria 2012 pp 25-30
Ehuis.S and Tsigas.M (2009), the role of agriculture in Nigeria’s Economic growth: a general
equilibrium analysis. paper prepared for presentation at the 27th conference of International
association of agricultural economists (IAAE), Pp 1-2
Ensminger, M.E., (1992) poultry science third edition Danville, IL. Interstate publishers, 1992
Eze C.C., Lemchi J.I., Ugochukwu A.I., Eze V.C., Awulonu C.A.O., and Okon A.X.,(2010).
Agricultural financial policies and rural development in Nigeria. Paper delivered at the 84th
Annual conferences of agricultural economic society Edinburgh Pp 430–436
FAO,(2010). Agribusiness Handbook: Poultry meat and Eggs. Investment centre Division. FAO.
Rome, Italy.
FAO,(2011), Mapping supply and demand for animal-source foods to 2030. Animal production and Health working paper No. 2. http://www.fao.org/docrep/014/i2425e/i2425e00.pdf [accessed
July 12, 2015].
FAO.(2013) poultry development review (CPF) Federal Republic of Nigeria.
ftp://ftp.fao.org/TC/CPF/Countries/Nigeria/CPF_Nigeria_2013_2017.pdf [accessed July 2, 2014].
FAO, (2013), four case studies on credit guarantee funds for agriculture, Rome.
Flock D.K. (1994): environmental Casing (Sustainable Agriculture Production): What can Poultry
Farmer Contribute to it. Loli Man Information, May/August. Pg 7 – 10
Habib Stephen Temitope (2010), the impact of access to credit on the income of poultry farmers in Ogun state Nigeria. Graduate institute of international development and applied economics
(GIIDAE) University of reading, United Kingdom Pp 6-27
Heinke Heise , Alexandra Crisan , and Ludwig Theuvsen, (2015) The Poultry Market in Nigeria:
Market Structures and Potential for Investment in the Market, International Food and Agribusiness Management Review Volume 18 Special Issue A, 2015 Pp 1-5
Ihegboro, Ifeoma (2014), the impact of agricultural credit on agricultural productivity in Nigeria Pp 25-30
Kohansal. M.R, Ghorbani.M and H. Mansoori, (2008), Effect of credit accessibility of farmers on
Agricultural investment and investigation of policy option in Khorasan-Razavi Province
Journals of applied sciences 8(23) Asian network scientific information
Mallum. A (2016) A, review of agricultural finance policy development in Nigeria, Annals of Borno Volume XXVI, June 2016 Pp 167-170
Mgbakor Miriam N., Uzendu Patrick O. and Ndubisi Divine O (2014) Sources of agricultural credit To Small-scale farmers in Ezeagu Local Government Area of Enugu state, Nigeria journal of Agriculture and Veterinary science 7(8) Pp 1-8
Mondiale, B. (2008). Agriculture for development, World development report, World Bank
Washington DC.
Mpuga, P. (2010). Demand for credit in rural Uganda; who cares for the peasant paper presented at The conference on growth, poverty reduction and Human development in Africa. Center for
Study of Africa economies St.Catherine College. Oxford U.K 21-22 March 2004.
Nabi, M. N., Gao, Q., Rahman, M. T., Pervez, A.K.M.K., Shah, A.A. Microfinance Institutions of Bangladesh: The Effects of Credit Risk Management on Credit Performance, Journal of Economics and Sustainable Development, 2018, 9(22): 104-114.
Obi, C.I.(2003). Game production: An alternative beef cattle production in Southern Nigeria.
Academic Forum 4:36-40.
Odimegwe F.E., O.W Babatunde, Ogbonso Festus and Ambode Sunday (2015), assessement of
Profitability of poultry egg farming in Ogun state, Nigeria 2015, Africa journal of poultry Farming 3(4) Pp 92–96
Ojo, S.O. (2003). Productivity and Technical Efficiency of Poultry Egg Production in Nigeria
International Journal of Poultry Science 2(6): 459-464.
Olagunju, F.I. (2010), Impact of credit on poultry productivity in Southwestern Nigeria.World Rural Observations 2010. 2(4)
Oram, Julian. (2012). A New Direction for Agriculture, Green peace,
http://ww.greenpeace.org/international/Global/international/publications/RioPlus20/New Direction-for-Agriculture.pdf [accessed August 26, 2014].
Oshaji, I.O., Henri-Ukoha, A., Essien, U.A., Ibeagwa, O.B., Uhuegbulem, I.J. and Ejike, O.U (2016) Productivity of enterprise owned by women loan-beneficiaries and non-loan beneficiaries in Imo state Nigeria; a comparative analysis, international journal of small business and
Entrepreneur research 4(1) Pp 123-12
Poultry site.com, (2016) factors to be considered when setting up poultry enterprise.
Priyanka Yadav and Anil K. Sharma,(2015), agricultural credit in developing economies,
International journal of economics and finance 7(12) Pp 219-240
Rosier Shier, (2004), Paired “t- test” statistics mathematics learning support center
Sakyi P. (2008). The effect of importation of poultry product on the local production of poultry meat Nkrumah University of science and technology Kumah Ghana.
Ugwu, S.O.C., Onyimonyi, A.E., and Ozonoh, C.I. (2008): Comparative Performance and Haematological Indices of Finishing Broilers Fed Palm Kernel Cake, Bambara Offal and Rice Husk as Partial Replacement for Maize. Department of Animal Science, University of Nigeria, Nsukka, Nigeria. International Journal of Poultry Science 7 (3): 299-303, 2008 ISSN 1682-8356. © Asian Network for Scientific Information, 2008
Uddin, M.E., Pervez, A.K.M.K. Gao, Q. Rahman, M.H., Islam, M.S. (2017) Effects of Community-Based Paid Extension on Reducing Vulnerability of Smallholder Dairy Farmers of Southwest Bangladesh, International Journal of Agricultural Management and Development (IJAMAD), 7(3): 293-304
This work is licensed under a Creative Commons Attribution 4.0 International License.