ECONOMIC ANALYSIS OF CABBAGE PRODUCTION IN PLATEAU STATE, NIGERIA
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Author
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Department of Agricultural Science
ABSTRACT
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This study was carried out with the main aim of evaluating economic efficiency and profitability of cabbage production among farmers in Plateau State. A total of 230 cabbage farmers were randomly selected from three Local Government Areas (Jos North, Jos South and Riyom) in the State for the survey using a well-structured questionnaire.The three Local Government Areas were purposively chosen for the survey because the weather in the area was conducive for the production of cabbage in the State.A random selection of two villages from each of the selected Local Government Areas was done.The villages selected were: Naraguta and Yelwa from Jos North, Zawan and Kuru from Jos South; and Riyom and Ta hoss from Riyom. A sample size of 10% was chosen from a sample frame of 2330 cabbage farmers. Descriptive statistics, gross margin analysis model and the stochastic production frontier model were used to analyse the data collected from the farmers.Results show that technical efficiency of the farmers was concentrated at the efficiency class of 81 – 100 where 56% of the farmers fall into this category. The mean technical efficiency was 70%, and the most technically inefficient farmer shows cost saving of 30.07%. The predicted allocative efficiencies differ substantially among the farmers ranging from 0.17 – 0.91 with the mean allocative efficiency of 56%. The most allocative inefficient farmer had cost saving of 81.32%. The average economic efficiency of the farmers was 42%.The variable cost for cabbage production in the study area was N56,100 per hectare. Among the variable costs, fertilizer recorded the highest cost of N13,500 representing 24% of the total cost of production, followed by planting materials with a cost of N12,500 representing 22% of the cost of production. From the results, the gross farm income realized by a farmer wasN175,000 per hectare. The gross margin per hectare was N118,900. This shows that cabbage production in the study area is profitable to the tune of N118,900 per hectare. The return to naira invested was 2.12, signifying a profit of N2.12K to every N1 invested. The three most important constraints farmers faced in cabbage production were: inadequate fertilizers, inadequate credit facilities and insecurity. The study recommended the training of farmers by donor agencies in the country on the use of organic fertilizers as a substitute to inorganic fertilizers; to be facilitatedby the State‘s Agricultural Development Authorities.
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