Economic Analysis Of Plantain Production In Ogwuta L.G.A

ABSTRACT

The study investigated the profitability and efficiency of plantain production in Oguta Local Government Area of Imo State, Nigeria. A multi-stage sampling technique was used to select 110 plantain farming household for this study. Data collected with the aid of structured questionnaire was analyzed using descriptive statistics, net farm income, Stochastic frontier production function. The result shows that the respondents had an average farm size of 1.48 hectares and a net farm income (NFI) of N592,030.33/ha. The return per naira invested was N14.84 for the plantain farmers implying that for every one naira invested in plantain production is realized. Profitability has positive implications for investment opportunities for individual and corporate organizations and thus, improved household incomes. Adjustment in the production such as farm size, increase and efficient utilization of fertilizers and herbicides and their cost of acquisition could lead to increased production of plantain. Farming experience, membership of cooperative societies, accessibility to credit, extension visits and education were significant variables that influenced efficiency.

 CHAPTER ONE

1.0   INTRODUCTION

1.1 Background Information

Agriculture is the main stay of Nigeria economy. It involves small scale farmers and small holders who are seen to be responsible for a large share of the world’s food production (HLPE 2013, IFAD and UNEP 2013). The role of agriculture remains significant in the Nigeria economy despite the strategic importance of the oil sector. Despite the importance of petroleum as a major contributor to Gross Domestic Product (GDP), the role of agriculture remains most significant in Nigeria economy since independence.

Agriculture provides large number of jobs, produces foods, raw materials and contribute to food security, poverty reduction; it contributes to the development of trade and the economy as a whole (Ega, 2015). Plantain represents the world’s largest fruit crop with an annual production of 28,000,000 metric tonnes (FAO STAT, 2013). They rank as the sixth most important global food commodity after rice, wheat and maize in terms of gross value of production (FAO STAT, 2013).

Plantains (musaparadisiace) is a plant that belongs to the family of (musaceae) closely related to the common banana (musasapientum).

Plantain is believed to have originated in South East Asia. Two groups of plantain are thought to have a common origin: the horn plantain and the French plantain. Both types grow in India, Africa, Egypt and tropical America. The French plantain also occur in Indonesia in the Island of the Pacific (Okigbo, 2014). In Nigeria, plantain is often grown as a back yard crop or inter-crop with food crops such as yam, cassava, vegetables and crops like cocoa, kolanut, rubbers, coffee e.t.c. as shade or cover for young seedlings of such tree crops.

Plantain plays a vital role in the feeding system of both human being and farm animals. It has a very high nutritional value in the source of dietary carbohydrate, vitamins and minerals. Plantains are extremely rich in vitamin A (Aina et al., 2012).

In spite of the consumption of plantain as a staple food, it is also used in the food industries for the manufacture of chips, flakes, cakes etc thereby creating important opportunities to the population directly or indirectly and invariably income for small holder farmers. At the household level, plantains are consumed raw with water, soaked garri, fried as dodo, boiled, roasted and can be dried and grounded into flour for future uses (Aina et al., 2012).

Today, plantain is grown in nearly 130 countries with world production of 100 million tonnes (FAO 2007). Production of plantain in Nigeria between 1984 to 2007 indicates a downward trend in terms of yield per hectare while price per tonne has steadily increase within the period (FAO STAT, 2011). However, only eight African countries were named among the top ten producers of plantain with Nigeria ranking as the 5^th highest producer of the crop (FAO, 2017).

The profitability of any enterprise is measured in relation to the size of the business. It is affected thus, by both revenue and cost. Different forms of business produce goods and services for sale in order to earn income. If the income earned does not exceed cost of production in turn, the firm cannot stay in business for a long time. Therefore the aim of any enterprise is to minimize cost and maximum output in order to maximize net revenue (Bamidele et al., 2015).

1.2 Problem Statement

Plantain production is becoming a significant economic activity for income generation for both large scale and small holder farmers in the country, Olumba C. (2014). The poor plantain output problem in Nigeria therefore centres on the efficiency with which farmers use resources on their plantain farms. It also borders on how the various factors that affect plantain production can be examined so as to improve plantain production in Nigeria. This quest therefore raises research questions like:

1. what are the socio economic characteristics of plantain producers?
2. how profitable is plantain production?

• What are the relationship between the inputs and outputs?

1. what are the problems with plantain production?

1.3  Objectives of the Study

The broad objective of this study is to examine the economics of plantain production in Oguta Local Government Area (LGA) of Imo State. The specific objectives are to:

1. describe the socio economic characteristics of plantain producers in a study area;
2. estimate the costs and returns of plantain production in the study area;

• estimate the relationship between inputs and outputs;

1. ascertain the problems with plantain production in the study area.

1.4  Hypotheses

The null hypotheses tested for the study;

H₀:    There is no significant relationship between the socio-economic           characteristics of plantain producers and their net returns.

 1.5 Justification of the Study

This study is necessary because the findings enables plantain producers/farmers and any person aspiring to venture into plantain production to have a bird-eye view of the business. The study provides information that would equip plantain producers and potential plantain producers with the idea of what it takes to have a profitable plantain production enterprise. Also, the study serves as an addition to the existing knowledge and as a useful secondary information source for government, policy makers and future researchers in the country to help agricultural planning. Students and other researchers carrying out study on plantain production will benefit adequately from the findings and recommendations made.

Pages:  80

Category: Project

Format:  Word & PDF         

Chapters: 1-5                                 

Material contains Table of Content, Abstract and References.