Vol 3 - Cont. J. Agric Econs

Continental J.
Agricultural Economics 3: 1 - 15, 2009

© Wilolud Online Journals, 2009.
ANALYSIS OF SOCIO –ECONOMIC CONSTRAINTS MILITATING AGAINST THE

PROFITABILITY POTENTIALS OF SNAIL (Archachatina marginata) PRODUCTION BY SMALL-
SCALE SNAIL FARMERS IN CROSS RIVER STATE, NIGERIA
Adinya, I.B. 1, Ibom,L.A. 2 Ibekwe, H.A. 2, Ayabie S.A2, Ukam, V. E2, Meremikwu V.N.2 and Gboshie,P2
1
Department of Agricultural Economics and Extension, 2Department of Animal Science, Cross River
University of Technology (CRUTECH) Obubra Campus
ABSTRACT
This study examined constraints militating against the profitability potentials of snail
((Archachatina marginata) production by small-scale snail farmers in Cross River
State, Nigeria. Data were obtained from a random sample of 120 respondents in the
study area by means of structured and semi-structured questionnaire. The first stage
involved random selection of three (Ogoja, Ikom and Odukpani) local government
areas from eighteen local government areas in Cross River State, Nigeria. This was
followed by random selection of three villages (Igoli in Ogoja Local Government
Area, Alesi in Ikom Local Government Area and Adiabo in Odukpani Local
Government Area) in Cross River State. The respondents were randomly selected
from each of the villages, 40 respondents were selected each from three villages,
making a total number of 120 respondents. Data collected were analyzed using
descriptive statistics and costs-returns analysis. The results indicated that Cobb-
Douglas production function had the best fit in explaining the relationship between
output of snail and inputs used, the coefficient of multiple determinant (R2=0.60
indicates that sixty percent of the variability in output of snail is explained by the
independent variables). Results from the analysis revealed that the marginal value
products of farm size, labour, farm management practices and operating costs were
N1080, N20.6, N972.8, N 14.84 respectively, there existed allocative in-efficiency,
there is a high potential for snail farmers to increase their yields and income. Further
analysis of results revealed that net returns on snail is N2,935,000.00 with return on
every naira invested of N 0.14 is also positive indicating a profit from the business,
with attractive net return on investment. This study shows that snail farmers are faced
with several problems in their production activities. These problems or constraints
affect the efficiency of snail production in the study area. Notable among them are
high cost of feed supplement , lack of capital, inaccessibility of formal credit source
because lack of collaterals, lack of extension agents, lack of medication/vaccines,
poor production infrastructures and lack of good farm management practices
occupied 15%, 14.17%,11.67%,10%,9.17%,9.17% and 8.33% respectively. The
constraints associated with the business as highlighted in this paper if tackled could
pave a way to increase profit and this will alleviate poverty in Cross River State .
Hence, for efficient production of snail in the study area, these constraints must be
drastically reduced to the barest minimum. This can be done through efficient policy
formulation and implementation, proper supervision of snail production programme,
effective extension services and proper agricultural financing. Snail farmers in the
study area should be train by extension agents on how to control some of constraints
that militate against the profitability potential of snail production. Beside that snail
farmers should form cooperative group(s) in order to obtain loans from bank(s) to
increase their capital base for higher output.
KEY WORDS: Constraints, Profitability, Potential, Snail farming
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Adinya, I.B et al: Continental J. Agricultural Economics 3: 1 - 15, 2009
INTRODUCTION
In Nigeria, successive government had embarked on policies and programme aimed at boosting
sustainable macro-livestock and micro/mini-livestock production (Effiong and Onyenweaku, 2006).
According to Akinnusi (1998) micro/mini-livestock production refers to species of animals that are
associated with small body size, moderate nutrition and management. The small size of these
micro/mini-livestock animals is undoubtedly one of their most significant assets since it make it possible
to produce and manage on small areas and in cluster(Thys, 2001). Ekanem and Umoh, (1997) revealed
that due to their small body size, micro/mini-livestock animal(snail) can be easily handled, transported
and managed by children and women with minimum training , thus keeping down production cost. Take
off investment (capital for snail production is low due moderate nutrition; manage on small area of farm
size and equipment costs). In most cases, housing and equipment requirements can be adequately satisfied
by improvisations from local farm products and scraps. It makes production affordable for people with
small compound or poor ones. It is possible to feed these micro/mini-livestock animals with household
wastes (Ayodele & Asimalowo, 1999). Furthermore, snail growth potentials make it possible to have very
good output (Lameed, 2006).
Table 1: Socio-economic characteristics of respondents in Cross River State

Age group(years) Freque Frequen Frequen Total Percent Me Standard Coeffici
ncy of cy of cy of freque age an deviation( ent of
respond respond respond ncy SD) variatio
ents in ents in ents in n
Igoli in Alesi in Adiabo
Ogoja Ikom in
L.G.A. L.G.A. Odukpa
ni
L.G.A.
21-30 10 6 4 20 16.67 30 13.98
31-40 12 14 15 41 34.17 30 13.98
41-50 13 16 14 43 35.83 30 13.98
51- above 5 4 7 16 13.33 30 13.98 46.6
Total 40 40 40 120 100
Gender
Male 35 38 37 110 91.67 60 70.71
Female 5 2 3 10 8.33 60 70.71 117.85

Total 40 40 40 120 100
Marital status
Married 33 28 27 88 73.33 40 41.50 103.75
Widowed 3 7 5 15 12.50 40 41.50
Single 4 5 8 17 14.17 40 41.50
Total 40 40 40 120 100
Educational
attainment
OND/HND/BSC/M 1 2 1 4 3.33 30 33.40 111.33
SC/Ph.D
JSSC/SSSC 8 5 4 17 14.17 30 33.40
FSLC 22 27 30 79 65.83 30 33.40
No education 9 6 5 20 16.67 30 33.40
Total 40 40 40 120 100
Source: Field survey, 2009
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Snail originated from south of the Saharan in East Africa (Thompson and Cheney, 1996; Belot et al,1991;
Akinnusi,1998;Ebenso2002; Adinya,2006). There are various species of snail namely: Golden
snail(Pomacea sp), African giant edible tropical land snail (Limicolaria aurora), Achatina fulica, Achatina
achatina, Archachatina marginata, Limicolaria flammae, Lymnaea natalensis, Bulinus forskalii,Bulinus
globosus Biomphalaria pfeifferi and Freshwater snail (Lymnaea acuminata) ( Thompson and Cheney,1996;
Belot et al, l,1991; Akinnusi,1998;Ebenso2002; Adinya,2006).
Snail (Archachatina marginata) provides an excellent source of protein in the diet of rural and urban poor
households in southern, eastern and western Nigeria. In northern Nigeria majority of the Hausas do not eat
snail or its product since they believed it originated from ghostly element; hence, snail consumption is
abomination or taboo to them. Amusan and Omidiji (1999) revealed that snail consumption is permitted
in southern, eastern and western Nigeria on meatless days (Easter festival ) by certain religious
body(Christians) because to them , snail is neither fish or flesh. Of all the animal protein foods produced
and consumed in Nigeria, snail is of importance as it has remained a source of protein in the diet of rural
and urban poor households in southern, eastern and western Nigeria which is rich in essential-amino acids
(Nwandu, 1999). According to Ekanem and Umoh(1997) snail show great advantages and potential in
the areas of nutrition , growth and reproductive biology. African giant edible tropical land snail
(Limicolaria aurora) has nutritive value of 18.3% protein, 1.3% fat and 1.6% phosphorus (mg/100g)(Ajayi
and Tewe,1984). Datuin (1993) revealed that snail have very high rate of reproduction. The golden snail
(Pomacea sp) may lay up to 1000 eggs per month.
Table2: Costs-returns of some farm management practices cost on output of snail in Cross River State
Cost/Return component Quantity Unit Price (N) Total value(N)
Total Revenue(TR)
Quantity of snail produced(kilogram) 78,998.34 300 23,699500.50
Variable Cost(TVC)
Cost of feed supplement 58,675.00
Cost of labour in man-days(hired labour) 720 500 360,000.00
Cost of construction of snail cage 17,550.00
Cost medication /vaccines 8,600.00
Cost of other operating expenses (transportation) 10,600.00
Cost of plastic container used for supply of clean drinking water 360 40 14,400.00
Cot of wheel barrow 120 6,000 720,000.00
Cost of shovels 120 1,800 216,000.00
Cost of rakes 120 450 54,000.00
Cost of head pan 120 1500 180,000.00
Fixed Cost (TFC)
Cost of hiring land 206 hectares 1,500 per hectare 309,000.00
Buildings 120 135,000.00 16,200,000.00
Fencings 98 12,500.00 1225,000.00
Interest on loan of(N450,000) at 8.5% N450,000 8.5 8,250.00
Depreciation of farm equipment(straight line
method) ; 18,626,950.00
Total cost (TC) =(TVC +TFC) 20764500.50
Net return (TR-TC)
2,935,000.00
In Cross River State, the production and marketing of snail products is a thriving business that provides
employment to hundred of people. It provides an important source of livelihood for middlemen. Given the
importance of snail in the Cross River State economy, one would have expected that the state would have
3
been the largest exporter of snail products to other countries. Furthermore, Cross River State is supposed
be the largest producer of snail in world because the state is endowed with human and natural resources and
beside that the environmental conditions in state favours snail production. In local markets in Cross River
State , there is great gap between production and consumption of snail. Unfortunately, snail production in
the state has been inadequate to bridge the demand –supply gap. The Food and Agriculture Organization
and World Health Organization (WHO) of the United Nations recommend a minimum of 65 grams of
protein per day including 35grams from animal source for an average human adult. However, according to
the Nigerian Livestock Perspective Plan for 1991-2005, the daily per capital in animal protein intake in
Nigeria is only about 16.36grams which is below the recommended minimum(Otchere,1995;Adinya, et
al, 2007). There is problem of protein malnutrition as a result of non-optimal use of resource (snail farmers
are inefficient in resource utilization in snail production) and slow in adopting improved technology.
Problems cited by farmers as constraints to the production of snail in the study area are insufficient credit,
poor wage rate discourages labourers from working hard, non-adoption of recommended practices, lack of
processing tools for snail products, lack of educational training, poor storage facilities and stagnant
production technology among Nigerian’s farming community majority of whom are the small-scale
producers (Adinya, 2006).
Table 3: Profitability analysis of snail produced in Cross River State

Profitability indicator Snail(Naira)
*Net Return(NR)=(TR-TC) 2,935,000.00
Total cost(TC) 20,764,500.50
Return on investment 0.14
(Ri) =NR(Net Revenue)
TC (Total Production Cost)
To increase productivity in the state, sound macro and micro-economic farm policies are needed. These
require knowledge of aggregate farm level resource availability and the differences in productivities of
these resources in different areas(Adinya et al, 2008a).. In addition to that, snail farmers must learn to use
improved technologies and improve in efficiency of resource use in snail production (Adinya, 2006).
Ekanem and Umoh, (1997) revealed that investment risk is very low, returns high and operation flexible
these are some of the reasons why Agricultural Credit Guarantee Scheme Fund easily gives credit to
snail farmers with out collateral(Adinya et al, 2008a). Adinya (2006) revealed that snail production is
associated with rapid returns per unit investment. He further noted that the two most important factors
responsible for the phenomenal increase in snail production has been profitability and quick returns on
invested capital which encourages commercial banks to provide needed funds more readily for snail
production than other agricultural businesses. Ready markets exist for snail from both domestic
consumption and export (Ekanem and Umoh, 1997). Paris alone consumes over 100 million snail’s product
every year (Akinnusi, 1996; Ekanem and Umoh, (1997).
Theoretical framework: Farm Budget Model: The farm budget as a tool of analysis is one of the oldest and
simplest, used in farm management and production studies. It has been used in number of economic
studies for analyzing the profitability of farm production practice. This method of analysis was used to
achieve objective (i) of the study. Different methods of budgeting exist. However, these methods can be
subdivided into two major categories: (a) total or complete budgeting and (b) partial budgeting. A total
budgeting is used when contemplating a complete re-organization of the entire farm business, while partial
farm budget is used when the action intend to be implemented does not affect the whole farm, for example,
introducing a new business or purchasing new equipment for the farm. The choice of any type of
budgeting tool depends on the circumstance under which the farm business is taking place, goal
achievement objective and convenience. This study used partial budget as an analytical tool. Basically, it
4
involves operations leading to estimates of net revenue and total cost for the same production period. The
differences between two parameters are measure of profit or loss or net farm income for that period
(Oluwole, 1970; Osifo and Anthonio, 1970; Olayemi and Oni, 1971; Adinya et al, 2008d).The purpose of
the model is to identify the costs, returns, profitability or loss per hectare. The total revenue represents the
value of the output from the farm (i.e. physical quantity of snail multiplied by the unit price). The total cost
on the other hand, is made up of the variables and fixed components. Variables costs also called specific
costs vary directly with the level of production and include expenditure on labour and transportation cost
etc. Fixed cost known as overhead costs do not vary with the level of output and consists of cash expenses (
on repairs and maintenance, interest on loan) etc and non-cash adjustment like depreciation of farm tools,
and equipment . The computed returns and costs would be used to derive various measures of profitability
including net return and return on capital invested in snail enterprise.
Table 4: Constraints against the efficiency of snail production in Cross River State
Constraints Frequency Frequency Frequency of Total Percentage
of of respondents frequency
respondents respondents in Adiabo in
in Igoli in in Alesi in Odukpani
Ogoja Ikom L.G.A.
L.G.A. L.G.A.
High cost of feed 7 5 6 18 15
supplement
Lack of extension 4 3 5 12 10
agents
lack of good farm 5 2 3 10 8.33
management
practices
Lack of price 2 5 4 11 9.17
information
Lack of capital 10 4 3 17 14.17
Inaccessibility of 3 6 5 14 11.67
formal credit source
because lack of
collaterals
lack of 3 5 3 11 9.17
medication/vaccines
Inaccessibility of 3 3 2 8 6.66
formal credit source
because of short
repayment period
poor production 2 4 5 11 9.17
infrastructures
Lack of storage 1 3 4 8 6.66
facilities
Total 40 40 40 120 100
The central objective of farm business management is to increase the efficiency with which farm resources
are used in the production of snail such that maximum farm profit is realized (Ogunfowora, 1986).
5
According to Matanmi(1986) the immediate goal of farm management is profit. Efficiency could be
measured from a production function or profit function approach. Efficiency of production is a very
important factor for productivity especially in areas where resources are meager as in Nigeria (Adinya et al,
2008b). Efficiency of production is achieved through optimal resource allocation such that more output is
achieved with the same resource level or the same level of output is achieved using fewer resources.
Production function gives the possible output that can be produced from given quantities of a set of inputs
(resources) and their quantities can be varied to obtain optimal output. In carry out econometric analysis,
production function provides the basis of decision making for snail farmers.
Economic theory identifies three important production efficiencies (Farrel, 1984). These include allocative,
technical and economic efficiencies. Allocative efficiency is the ability of the farmer to use the inputs in
Table 5: Multiple Regression Equations for Snail (Archachatina marginata) Production in

Cross River State , Nigeria
Productio Constant X1 X2 X3 X4 X5 R2 AdJ F-

n Farm Labour Farm Operating Farming R2 Value
function size management costs experience
forms practices(mea naira/hectar (years)
sured on 5 e)
point scale)
Linear -2.659 0.281 1.139 2.076* 205 3.521*
(1.498) (0.374) (0.026) (0.042) (0.102) (0.000) 0.60 0.56 16.43
Semi-log -5.754 0.991 0.111* 0.330* -1.440 1.275*

(5.058) (1.306) (1.306) (0.940) (0.690) (0.906) 0.55 0.50 13.39
Cobb- -1.313 0.164 0.276* 9.146 0.194 0.372
Douglas (0.710) (0.183) (0.290) (0.132) (0.97) (0.127) 0.60 0.57 17.16
Source: Field survey, 2009 Note: * = Values significant at 1% Figure in parentheses are standard
errors.
optimal proportions given their respective prices and the production technology. Technical efficiency is the
measure of the farms success in producing maximum output from a given set of resources (inputs) i.e.
ability to operate on the production frontier (Farrel, 1984).
Economic efficiency is the product of the technical efficiency and allocative efficiency. There is evidence
that snail farmers in developing country like Nigeria fail to exploit fully the potential of resources and make
allocative errors; which results to low yields. Several studies have shown that resources are not efficiently
utilized by snail farmers in Nigeria (Akinnusi, 1995; Ayodele and Asimalowo, 1999; Amusan and
Omidiji,1999; Lameed, 2006). Therefore, having established the obvious fact that resources are not
efficiently utilized in snail production in other states in Western Nigeria but none in Cross River State
where snail is highly consumed because snail meat consumption is not abomination or taboo, it is the aim
of this study to examine critically the problems of resource use in snail production. Ultimately, it is hoped
that the study will help to bridge the gap between resources availability and efficient utilization in snail
production in Cross River State. This study seeks to examine the production efficiency in snail
(Archachatina marginata) in Cross River State, Nigeria; therefore this paper tried to provide some useful
information in policies towards increasing snail production in Nigeria.
6
In Cross River State, little is known about the profitability of this business engaged by snail farmers. It is
against this background that this study attempt to explore, answers to the following fundamental questions;
do snail farmers engaged in this business make profit? And what are the constraints they face in snail
production. To examine the aforementioned questions the objectives of the study were set as to:
(i) Analyze the costs-returns of snail production in the study area.
(ii) Determine resource use efficiency (production efficiency /allocative efficiency)
in snail production in the study area.
(iii) Identify the constraints faced by snail farmers in the study area.
make recommendation
METHODOLOGY
The research study was conducted from 9th January, 2008 to 9th January, 2009 in Cross River State , Nigeria
The state occupies an area of about 22,342.176 square kilometers (Quarterly News Letter of the Ministry of
Local Government Affairs, Cross River State , 2006). It is located at Latitude 5o 25’N and longitude 25o
00’E (Figure 1).
Table 6: Estimated Elasticities of Production Function (EP), Average Product (AP) Marginal Product (AP),
Marginal Value Product (MVP) and Allocative efficiency (AEL) for Snail (Archachatina marginata)
Production in Cross River State , Nigeria
Variables EP AP MPP MVP P AEL Inference

X1 0.007 154.286 1.08 1080 1000 1.08 Under
(farm size) utilized
X2 (Total labour) 0.06 17.167 1.03 20.6 20 1.03 Under
utilized
X3 Farm management 0.04 152 6.08 972.8 160 6.08 Under

practices(measured on 5 utilized
point scale)
X4 (Operating costs) 0.08 132.5 1.06 14.84 14 1.06 Under

utilized
The soils of Cross River State are ultisol and alfisol but predominantly ultisol (FAO/UNESCO, 1974).
Cross River State is producing milk, honey and snail for the nation and it has the largest rainforest covering
about 7,290 square kilometers described as one of Africa’s largest remaining virgin forest harbouring as
many as five million species of insects(bees, butterfly, mosquitoes, locust, etc), plants and animals (macro-
livestock and micro/mini-livestock like snail (MOFINES,2004). There are various species of snail in Cross
River State namely: Golden snail (Pomacea sp), African giant edible tropical land snail (Limicolaria
aurora), Achatina fulica, Achatina achatina, Archachatina marginata, Limicolaria flammae, Lymnaea
natalensis, Bulinus forskalii,Bulinus globosus Biomphalaria pfeifferi and Freshwater snail (Lymnaea
acuminata) (Ebenso,2002; Adinya,2006).
Cross River State is located within the evergreen rainforest zone that promotes the growth of snail. The
rainfall has a bimodal pattern of distribution giving rise two growing seasons, from late March to the end
July. This followed by a short dry spell which starts by August and ends in December. According to Cross
7
River Agricultural Development Program (CRADP 1992b) there are two distinct climate seasons in the
area, rainy season from March to October and dry season from November to February. The annual rainfall
varies from 2,000mm to 3, 424mm. The average temperature is around 25 (CRADP, 1992a; CRADP,
1992b). The annual temperature was 25 o C -27o C but temperature has increased to 27.760c because of
climatic change (Adinya and Awoke, 2007; LEISA Magazine, 2008). Intergovernmental Panel on Climatic
Change (IPCC) reported that 0.76 o C increase in the world’s average temperature in the last century,
expecting temperature to rise by 2 o C by 2050(LEISA Magazine, 2008). This is leading to rising sea
levels, the disappearance of glaciers, and to drastic changes in rainfall patterns, affecting the production
potential of rural areas (LEISA Magazine, 2008).
Cross River State is characterized by presence of numerous ecological and zoo-geographically important
high gradient streams, rapids and waterfalls. About 2,888,966 people inhabit the area of which the Efiks,
Ejaghams and Bekwarras, are the major ethnic groups (The 2006 Population Census Spread state by state,
In: MOFINEWS January-February, 2007). Fishing and subsistence agriculture are the main occupations of
the people. Crops and animals are grown in the locality. Population depends largely on natural water
sources for all their water-related activities as piped water supply is limited and grossly inadequate. Health
services in the area require a lot of improvement. Level of hygiene in the rural communities is generally
poor (Arene et al, 1991). Both primary and secondary sources of data were used. The secondary sources of
data include Review of Annual Reports, books, census data, journals and statistical documents whereas the
primary source of data was mainly from field survey. Data were obtained through administration of
structured and semi-structured questionnaire to 120 randomly selected respondents for the study. This
served as population for the study. The first stage involved random selection of three (Ogoja, Ikom and
Odukpani) local government areas from eighteen local government areas in Cross River State. This was
followed by random selection of three villages (Igoli in Ogoja Local Government Area in the Northern
senatorial district, Alesi in Ikom Local Government Area in the Central senatorial district and Adiabo in
Odukpani Local Government Area in the Southern senatorial district) in Cross River State. The respondents
were randomly selected from each of the villages, 40 respondents were selected each from three villages,
making a total number of 120 respondents all together. The types of data collected for the study include
information on cost of production and return from the sales of product. Also data were collected on
constraints faced by snail farmers in the study area.
METHOD OF DATA ANALYSIS

Different types of analytical tools are often employed by researchers in Production Economics studies.
Their application depends on researchers’ choice, determined by the nature of data resources, time,
facilities, available and the use to which the results of the findings are to be used/ applied. This study
employed the following analytical tools in order to achieve the already stated objectives of the study:
(i) The descriptive statistics such as frequencies distribution and percentages were used.
(ii) Costs and returns Analysis: Costs-returns analysis as described by Olukosi and Erhabor (1988); Awoke
and Okorji, 2003;Adinya et al, 2008c) were used to estimate net returns, total cost of production and
profitability of the business including net return and return on capital invested in snail business. A general
model of the costs and returns analysis presented in the equation below was used in the analysis.
NR=TR-TC.......equation (1)
TR=Q x P…….equation (2)
RI=NR...…….. equation (3)
TC
where NR=Net Return on snail produced (naira)

TR=Total Revenue from snail (naira)
TC= Total Cost of snail (naira)
Q= Quantity of snail produced in (kg)
P= Price of snail per kilogram
8
Ri=Return on capital invested in snail (naira)
(iii)The inferential statistics is the regression analysis. Regression analysis is important and useful for
describing the relationship between the exogenous and endogenous variables. It estimates the statistical
significance of the exogenous variables as well as the overall effect of all these variables on the endogenous
variables. The data obtained were analyzed using the Ordinary Least Square (OLS) multiple regression
technique to determine the relationship between snail output and the selected variables. The linear, double-
log and semi-log function forms were used to determine which of the forms would best fit the relationship
between snail output and the explanatory variables.
The implicit form of regression model for this analysis was given as:
Y = F (X1, X2, X3, X4 X5 e)
Where: Y = Value of total output of snail in (naira / hectare)
X1 = Area of plots (farm size) devoted to snail production in (hectare)
X2= Total labour in (man-days/hectare)
X3=Farm management practices(measured on 5 point scale of diet containing 28% crude
protein, yellow maize, groundnut cake, oil ,bone meal ,oyster shell, AD-Vitamin, )or feed supplement=1,
provision of clean drinking water=2, medication /vaccines=3, construction of snail pen/cage
with mosquito netting on the lid to cover loamy soil up to 3-5cm spread on the floor of the snail pen = 4,
weeding of grasses around the snail farm=5 )
X4 = Operating costs (naira/hectare)
X5 = Farming experience (years)
E = Error (or disturbance term is included to capture the
effects of exogenous and endogenous variables not included in the model). The functional forms was tried
to ascertain the one that gives the best fit. There are Ordinary Linear Function, Cobb-Douglass (double-
log), and semi-log production function forms. Whichever model that has the highest R2 and shows many
statistical significant variables was adopted following (Kmenta, 1971; Koutsoyiannis, 1977 and Awoke,
2001; Adinya et al, 2008b).
The functional forms fitted are specified below:

(a)Linear production function: Y= a + b1X1+ b2X2 + b3X3 + b4X4+ b5X5+ e…equation (1)
X1-X5= are defined in the implicit form
b1-b5=Regression coefficients of variables X1-X5
a = Constant term
e = Error term
(b) Cobb-Douglas Production Function (double log)

Log Y=Log a +b1LogX1+b2LogX2 + b3LogX3 +b4LogX4+b5LogX5 +e…equation (2)
(c) Semi-Log Production Function:

Y =Log a+b1LogX1+b2LogX2 + b3LogX3 +b4LogX4+b5LogX5 +e… equation (3)
Each resource was measured using the formula:

The average physical product (APP) was derived by dividing total output by total input i.e.
APP= Y
X
The marginal physical product (MPP) was derived by dividing total output by total inputs
MPP= DY
DX
MPP x Price of snail product= marginal value product (MVP)

9
The allocative efficiency (AEL) of resource was determined by ascertaining whether or not the ratio of the
marginal value product to the inputs price was equal to one
AEL= MVP=1
P
where MVP= Marginal Value Product
P= Unit Price of Input
The marginal Products (MP) were derived by multiplying the average product (AP) by the elasticity of
production (EP), given that: MP= AP x EP
EP= MP
AP
RESULTS AND DISCUSSION

The socio economic characteristics of respondents presented in Table1 shows that respondents were all
(100%) adults from above 21years, however, 35.83 percent of the respondents were age between 41-50
years. This is closely followed by age between 31-40 years, which constitutes 34.17 percent. However,
13.33percent of them were aged between 21-30 years. Only 16.67percent of the respondents were aged
between 51years and above. The implication of the result is that most of the respondents were within the
economically active age. These findings are synonymous with Asa (2003) that people in age groups of 41-
60 are more economically active and independent than those in the age group of less than 21 years and
above 60 years. The standard deviation of 70.71 from the mean 60 was obtained. Statistically, the
coefficient of variation (CV) of 117.85 was also obtained. Data in Table 1 also reveals that 73.33 percent of
the respondents were married while 14.17 percent were single. Only 12.50 percent of the respondents were
widowed. The table also shows that the participation of married men and women in snail production is
higher than single men and women. In addition, it was observed that the standard deviation of the factor
from the mean of 40 was 41.50. Statistically, this factor was observed to have a coefficient of variation
(CV) of103.75. Further analysis of Table 1 revealed that 65.83 percent of the respondents had First School
Leaving Certificate (FSLC), 14.17 percent of the respondents attended Junior Secondary School
Certificate (JSSC)/Senior Secondary School Certificate (SSSC). However, 3.33 percent of the respondents
revealed that they attended high education; while 16.67 percent of the respondents had no formal
education. Table 1 also disclosed that some of the respondents (16.67%) saw lack of educational training
as a factor militating against production of snail in the study area. The standard deviation of 33.40 from the
mean of 30 was obtained. The result implies that education was one of the most serious constraints against
the efficiency of snail production in the study area. Of course this goes to confirm the earlier deduction by
(Stewart,1975); he maintained that education acquired by farmers has a positive influence on farmers’
labour and income. Robin (1974) observed that, the large differential between the wages received by an
unskilled farmer and the salary enjoyed by skilled high level manpower in agricultural production and
marketing is attributed to skill differentials acquired through education. Adekunle (1978) stated that,
technical and commercial education broaden the farmers/marketers intelligence and lay the basis for
vocational training. In addition, it enables the farmers/marketers to perform the farm activities/ tasks
intelligently and with a full appreciation of their contribution to the final product.
Table 2 revealed that the per hectare cost of snail was N 20,764,500.50. Human labour accounted for N
360,000.00 of the total cost of production process (N 20,764,500.50).
A total of 720 man-days were used in snail production. While the total revenue was
N 23,699500.50. The net return on snail is N2, 935, 000.00.
The result in Table 3 indicated that the net returns on snail is N2,935,000.00 with return on every naira
invested of N 0.14 is also positive indicating a profit from the business. The result of the study corroborate/
agree with the earlier contentious of Datuin,(1993) and Lameed, (2006) which stressed that snail farming
is a profitable business.
10
The study revealed that several constraints militating against the efficient of snail production in Cross River
State . These constraints are presented on Table 4. Notable among constraints are high cost of feed
supplement , lack of capital, inaccessibility of formal credit source because lack of collaterals, lack of
extension agents, lack of medication/vaccines, poor production infrastructures and lack of good farm
management practices occupied 15%, 14.17%,11.67%,10%,9.17%,9.17% and 8.33% respectively.
The result of the study agrees with the findings of Ekanem and Umoh, (1997); Akinnusi, (1998); Lameed,
(2006) revealed that some constraints militating against the efficient production of snail. He noted that
from the list of seventeen constraints, ten were identified by snail farmers as factors limiting their
level of production. The identified factors were based on level of severity and less number of specialized
extension agents in snail farming was the highest(90.3%).
Table 5: Judging from the value of the R2 in the analysis above for the three production function forms,
one can conclude that Cobb-Douglas equation is a good one compared to all other functional forms (linear
and semi-log production functions). Cobb-Douglass production function is the lead equation because it has
the highest R2 value (0.60) and meeting other econometric criteria. The F-value for the functions are also
significant at 1 percent indicating that there is a significant linear relationship between the independent
variables taken together and the yield of snail produced in Cross River State, Nigeria.
The regression analysis, however, revealed that farm size, labour, farm management practices, operating
costs and farming experience has positive influence on output of snail production and are significant at 1
percent level of significance. Lameed (2006) reported similar results for operational cost and farming
experience , he further stated that many snail farmers(46.7%) had been involved in snail production for
the past two years and farming experience has positive influence on output of snail production ; while
Nweke, and Winch, (1979); Adesimi, , (1982), Datin (1993); Ekanem and Umoh,1997, Ogar et al,(2002)
reported similar results for labour.
Table 6 revealed the marginal value products of farm size, labour, farm management practices and
operating costs were N1080, N20.6, N972.8 and N 14.84 respectively, there existed allocative in-
efficiency, there is a high potential for snail farmers to increase their yields and income. This findings
agrees with the findings of Vietmeyer, (1991); Akinnusi, (1995); Aduku, (1996); Ayodele and Asimalowo,
(1999); Amusan and Omidiji, (1999); Francis and Anim, 2(001); Lameed, (2006) that snail farmers are in-
efficient in snail production because not all of them possess the skills necessary to know how to improve
productivity and this implies that actually farmers are operating below their full potential due to lack of
skills, the cost per unit output was proportionately higher.
CONCLUSION AND RECOMMENDATIONS

This study has revealed that snail production was profitable, with attractive net return on investment but
snail farmers are not allocative efficient. This study shows that snail farmers are faced with several
problems in their production activities. These problems or constraints affect the efficiency of snail
production in the study area. Notable among constraints are high cost of feed supplement , lack of capital,
inaccessibility of formal credit source because lack of collaterals, lack of extension agents, lack of
medication/vaccines, poor production infrastructures and lack of good farm management practices
occupied 15%, 14.17%,11.67%,10%,9.17%,9.17% and 8.33% respectively. Hence, for efficient
production of snail in the study area, these constraints must be drastically reduced to the barest minimum.
This can be done through effective and efficient micro and macro-economic policy formulation and
implementation, proper supervision of snail production programme, effective extension services and proper
agricultural financing. The constraints associated with the business as highlighted in this paper if tackled
could pave a way to increase profit and this will alleviate poverty in Cross River State . However, based on
the findings of the study it is recommended that snail farmers in the study area should form cooperative
group(s) in order to obtain loans from bank(s) to increase their capital base for higher output. In addition to
that, snail farmers should increase their yield and income by expansion of their farms, improving efficiency
11
and adopting new technologies. Beside that, extension agents should train snail farmers on the adoption of
new technologies in snail production.
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Received for Publication: 24/01/2009

Accepted for Publication: 15/03/2009
Corresponding Author
Adinya, I.B.
Department of Agricultural Economics and Extension, Cross River University of Technology (CRUTECH)
Obubra Campus
E-mail address: bon 4 all_2006 yah.com
15
Continental J. Agricultural Economics 3: 16 – 22, 2009
PROFITABILITY AND PRODUCTION FUNCTION OF SMALL SCALE IRRIGATED TOMATO

PRODUCTION IN NIGER STATE, NIGERIA
Ojo M.A, Ibrahim O.A and Mohammed U. S.

Department of Agricultural Economics and Extension Technology, Federal University of Technology,
Minna, Niger State, Nigeria
ABSTRACT
This study investigated profitability and production function of irrigated tomato
production among small scale farmers in Niger State. Data used for the study were
obtained using structured questionnaires administered to 100 randomly selected
irrigated tomato farmers from Kontagora and Wushishi Local Government Areas of
the state. Descriptive statistics, gross margin, production function analysis and
resource-use efficiencies were used for analysis of the data obtained. The result
showed that irrigated tomato production is profitable in the area with net farm income
of N85306.92 per hectare. Estimated multiple regression analysis revealed that semi-
log regression chosen as the lead equation. The R2 value was 0.757. Farm size (X1),
quantity of seed (X4) and agrochemical (X5) are the significant factors influencing
output level of irrigated tomato at 1 % level of probability. Labour is also a significant
factor at 5 % level of probability. Estimated efficiency-ratio (r) showed that the
resources were not efficiently utilized. Estimated elasticity of factor inputs and return
to scale showed that there is increasing return to scale. It was therefore recommended
that loans and credit facilities should be provided for irrigated tomato farmers in the
area. Similarly, dams should be constructed and irrigation equipments be provided for
the farmers in the area to supply water for irrigation of farmland. Also, extension
agents should be provided to disseminate research findings to irrigated tomato
farmers on modern technology.
KEYWORDS: Profitability, production function, irrigated tomato
INTRODUCTION
Tomato (Lycopersicon esculentum) is one of most cultivated vegetable in most regions of the world,
ranking second in importance to potatoes (solanum tuberusum) in many countries. Although tomato origin
and early history of its domestication are obscure, the weight of evidence suggested that tropical America
and Mexico were probable centre of origin. African tomato varieties introduced to Africa and Nigeria in
particular at the end of the 19th century.
Production of tomatoes is increasing in most regions of the world, brought about by increased hectarage
subsequently increased yields. In 2004, tomato assumed the position of one of the most important fruits in
terms of worlds’ vegetable produced. Furthermore, in Nigeria, about 88900 metric tones were produced in
2004 (FAO, 2005). Tomato (Lycopersicon lycopersicum) is perhaps the most important popular vegetable
crop grown all over the country. Both the wet and dry season cropping system contributes immensely to the
national requirement. But the bulk production is from the dry season cropping system grown yearly under
irrigation in southern states.
In Nigerian cities and their suburbs, tomato is used in foods almost every day in fresh, dry or processed
form. In industry, tomato is processed into paste, puree, sauce, ketchup of tomato juice. Tomato production
in Nigeria is seasonal and consequently, its supply for home and industrial use is seasonal with a peak
during harmattan season. The seasonality of supply affects price. For example, 1 kg of fresh tomatoes in
Jan/Feb. at Sokoto cost less than N10.00; the same quantity sells for about N57.00 in June (SADP, 1995).
Tomato is an important source of vitamins A and C in human nutrition. Plant carotenoids, which represent
the major pigment in tomato fruit are the primary dietary source of vitamin A. A medium sized tomato (5.3
16
Ojo M.A et al: Continental J. Agricultural Economics 3: 16 – 22, 2009
oz) contains 35 calories, is rich in vitamin C, vitamin A, potassium, and fiber (Hector et al., 2002). The
fruit of tomatoes are eaten raw or cooked. Large quantities of tomatoes are used to produce soup, juice,
sauce, ketchup, puree, paste and powder. They are extensively used in the canning industry. Green
tomatoes are used for pickes and preserves.
Usually, production or harvesting, storage, weather or major crop diseases can seriously disrupt tomato
production and marketing or consumption pattern. Therefore, there is need to examine the profitability and
production function of irrigated tomato production in Niger State in order to answer some important
questions like how profitable is irrigated tomato production?, what are the determinants of cowpea
production in the study area? how efficiently are the farmers utilizing their resources in order to maximize
their output and keep pace with the demand of the ever increasing population?.The specific objectives of
this study are to: (a) identifying the socio-economic characteristics of the irrigated tomato farmers; (b)
estimate the profitability of irrigated tomato production in the study area; (c) determine factors affecting
irrigated tomato production; (d) determine the efficiency of resource-use in irrigated tomato production in
the study area.
METHODOLOGY
Study Area: The study was conducted in Niger State of Nigeria. The state is located within latitudes 8o –
10o north and longitudes 3o – 8o east of the prime meridian with land area of 76,363 square kilometers and a
population of 4,082,558 people (Wikipedia, 2008). The state is agrarian and well suited for production of
arable crops such as cowpea, yam, cassava and maize because of favourable climatic conditions. The
annual rainfall is between 1100mm – 1600mm with average monthly temperature ranges from 23oC and
37oC (NSADP, 1994). The vegetation consist mainly of short consist mainly of short grasses, shrubs and
scattered trees.
Sampling Techniques: The data mainly from primary sources were collected from two Local Government
Areas (LGAs) which were purposively selected because of prevalence of the crop in the area using
multistage sampling technique. The LGAs include Kontagora and Wushishi LGAs. The second stage
involved a simple random selection of 50 farmers from each of the two LGAs, thus, making 100
respondents. The data were collected with the use of structured questionnaire designed in line with
objectives of the study.
Data Analysis
Descriptive Statistics: The method employs arithmetic mean, frequency distribution, percentage etc. The
technique was used to group and summarize the data obtained from the field.
Gross margin: This is the difference between the Gross Farm Income (GFI) and the Total Variable Cost
(TVC). It is a useful planning tool in situations where fixed capital is negligible portion of the farming
enterprises in the case of small scale subsistence agriculture (Olukosi and Erhabor, 1988).
GM = GFI – TVC
Where GM = Gross Margin, GFI = Gross Farm Income, TVC = Total Variable Cost.
Gross margin analysis is one method of calculating profitability of small scale cropping enterprises
(Olukosi et.al, 2006).
Gross ratio: This is is a profitability ratio that measures the overall success of the farm. The lower the ratio,
the higher the return per naira.
TFE
GR =
GI
Where GR = Gross Ratio, TFE = Total Farm Expenses and GI = Gross Income.
17
Operating Ratio: The operating ratio is directly related to the farm variable input usage. The lower the ratio,
the higher the profitability of the farm business.
TOC
OR =
GI
Where OR = Operating Ratio, TOC = Total Operating Cost and GI = Gross Income.
Return on Capital Invested: This is defined as gross margin divided by total variable cost.
GM
RI =
TVC
Where RI = Return on Capital Invested, GM = Gross Margin and TVC = Total Variable Cost
Table1: Socio-economic Characteristics of Sampled Farmers.

Variables. Frequency Percentage
Sex
79 79
Male
21 21
Female
Marital Status
19 19
Single
89 89
Married
0 0
Divorced
2 2
Widow(er)
Age (years)
26 26
21 – 30
26 26
31 – 40
25 25
41 – 50
13 13
51 – 60
6 6
60 – 70
4 4
>70
Education
62 62
No Formal Education
27 27
Primary
11 11
Secondary
0 0
Tertiary
Household Size
81 81
1 – 10
19 19
11 – 20
Years of Farming Experience
1-5
81 81
6-10
13 13
11-15
3 3
16-20
3 3
Means of Land Acquisition
Owned
73 73
Gift
6 6
Family
0 0
Rented
2 2
Inherited
19 19
Production Function Analysis: Regression model was used to examine input-output relationship and the
implicit form of the model is given by:
18
Y = f ( X 1 , X 2 , X 3 , X 4 , X 5U i ) (1)
Where Y = Output from Cowpea Production (Kg)
X1 = Farm Size (ha)
X2 = Quantity of Seeds (Kg)
X3= Quantity of fertilizer (Kg)
X4 = Labour Input (Manday)
X5 = Agrochemical (Liters)
U = Error term.
The explicit form of this function takes the following forms:

Y = a + b1 X 1 + b2 X 2 + b3 X 3 + b4 X 4 + b5 X 5 + U i (linear ) (2)
Y = a + b1 ln X 1 + b2 ln X 2 + b3 ln X 3 + b4 ln X 4 + b5 ln X 5 + U i ( semi log) (3)

ln Y = a + b1 ln X 1 + b2 ln X 2 + b3 ln X 3 + b4 ln X 4 + b5 ln X 5 + U i (double log) (4)
ln Y = a + b1 X 1 + b2 X 2 + b3 X 3 + b4 X 4 + b5 X 5 + U i (exp onential )
Table 2: Estimated Gross Margin Analysis for Irrigated Tomato Production

Variables Mean cost(N)/hectare % of Total
cost
Transport cost 989.61 2.49
Seed cost 752.45 1.89
Fertilizer cost 7,988.45 20.06
Agrochemical cost 5961.65 14.87
Hired labour cost 18214.10 45.75
Gift 3605.39 9.06
Total variable cost (TVC) 37511.65 94.21
Fixed Cost
Watering
can(Depreciation)
Farm tools (Depreciation) 730.50 1.84
Total Fixed Cost
Total Cost 1573.16 3.95
2303.66 5.79
Gross income (GI) 39815.31 100
Gross margin (GM)
Net Farm Income
Returns on Naira 125122.23
Invested 87610.58
Operating Ratio 85306.92
Gross Ratio 2.34
0.27
0.32
Efficiency of Resource-use: This was determined by the ratio of marginal value product (MVP) to marginal
factor cost (MFC) of inputs based on the estimated regression coefficients. Following Rahman and Lawal
(2003) and Iheanacho et al (2003) efficiency of resource (r) is given as
19
MVP
r= (6)
MFC
The rule provides that when r = 1, there is efficient use of resource; r > 1 and r < 1 indicate underutilization
and overutilization of a resource respectively. The values of MVP and MFC were estimated as follows:
MVP = MPP • PY
MFC = Pxi
Where MVP = Marginal Value Product of variable input;
MPP = Marginal Physical Product;
Py = Unit Price of output;
Pxi = Unit Price of input Xi
r = Efficiency ratio.
Economies of Scale: This is the measure of farm’s success in producing maximum output from a given set
of inputs. The elasticity of production (Ep) and return to scale (RTS) was estimated using the formula
∑ k
Epxi = RTS

Socio-economic characteristics of sampled farmers: Some socio-economic characteristics may influence
irrigated tomato in the area. The variables analyzed in this study include sex, marital status, age, education,
household size, years of farming experience and means of land acquisition.
Table1 shows that majority of the respondents (79%) were males. This is a manifestation of gross
inequality in gender distribution and calls for concerted effort in empowering the women to contribute their
own quota to production in the study area. It is also shown in the table that 51% of the sampled farmers
were between the ages of 30 and 50 years. Thus, majority of the sampled farmers were middle aged, which
could result in a positive effect on production. The modal class of educational level of respondents was
non-formal education (62%) followed by Primary (27%) and secondary (11%) education. This is not
surprising outcome as the study area falls within educationally disadvantaged states of Nigeria. Table1 also
showed that 81% of the farmers had less than 10 family members while 19% had 11 to 20 members.
Generally, in agrarian settlements, a large family size guarantees free and cheap labour. The table revealed
that 81% of the farmers were within the range of 0-5 years farming experience, while 19% had 11years and
above farming experience.
Table 3: Estimated semilog production function (lead equation)

Variables Regression coefficients T value
Farm size (X1) 3091.385 7.841***
Labour (X2) 391.478 2.390**
Fertilizer (X3) 175.968 0.777NS
Quantity of seed -3468.561 -4.003***
(X4) 35688.293 4.451***
Agrochemical -84747.9 -4.366***
(X5) 0.757
Constant 58.471***
R2
F ratio
*** Significant at 1 % level of probability, ** Significant at 5 % level of probability, NS Not significant
20
Gross Margin Analysis of Cowpea Farmers: The estimated gross margin analysis for irrigated tomato
farmers is shown in Table2. The table showed that cost of hired labour constituted 45.75 percent of the total
cost of production in irrigated tomato farming followed by fertilizer and agrochemical with 20.06 and
14.87percents respectively. A confirmation of profitability of irrigated tomato production is shown by a net
income of N85306.92. Also, the return on a naira invested was N2.34 while gross and operating ratios were
0.32 and 0.27 respectively. All the ratios were less than 1 indicating profitability of the farming.
Table 4: Estimated efficiency ratio (r)

Variables MPP MVP MFC Efficiency
ratio
Farm size (X1) -30032.39 -1126214.97 1000 -1126.2
Labour (X2) 102.22933 3833.5999 400 9.584
Quantity of -167052.4112 -6264462.42 325 -19275.3
seed (X4) 14805.19513 555194.82 916.7 605.6
Agrochemical
(X5)
Production function Analysis: The production function that was used to determine the nature of inputs –
output relationship in irrigated tomato production is shown in Table 3 (Semilog production function as the
lead equation). The value of coefficient of determination (R2) indicated that about 75.7 % of variation is
explained by the inputs included in the regression model (Table 3), while the remaining 24.3 % is as a
result of non-inclusion of some explanatory variables as well as other factors outside the control of the
farmer. The regression coefficients of farm size (X1), labour (X2), fertilizer (X3) and agrochemical (X5)
are positive indicating that an increase in each of these variables would lead to an increase in the level of of
irrigated tomato produced. Conversely, the regression coefficient of seed (X4) is negative indicating that a
unit increase in this input would lead to a decrease in the level of of irrigated tomato produced.. Table 3
also showed that farm size (X1), quantity of seed (X4), agrochemical (X5) and labour (X2) were significant
at 1 % levels of probability while labour is significant at 5 % level of probability.
Resource-use Efficiencies: The efficiency indicator in Table 4 revealed farm size(X1) and quantity of
seed(X4) were over-utilized while labour (X2) and agrochemical (X5) were under-utilized.
Elasticity of production inputs and returns to scale: The inputs elasticities of production is shown in Table
5. The summation of the elasticities of 11.381 obtained indicated an increasing return to scale and that
irrigated tomato production was in stage I of the production region.
Table 5: Estimated elasticity of factor inputs and return to scale

Variables Coefficient of elasticity of production
Farm size (X1) 0.981
Labour (X2) 0.124
Fertilizer (X3) 0.056
Quantity of seed (X4) -1.100
Agrochemical (X5) 11.32
Return to scale 11.381
SUMMARY AND CONLUSION

This empirical study is on profitability, and production function of small scale irrigated tomato production
in Niger State. The study showed that irrigated tomato production was profitable with a net income of
N85306.92 per hectare. It was revealed from the production analysis that farm size (X1), quantity of seed
21
(X4) and agrochemical (X5) were the significant factors influencing output level of irrigated tomato
production at 1 % level of profitability. While the estimates of the returns to scale obtained indicated an
increasing returns to scale, irrigated tomato farmers were not efficient in the use of their production
resources.
RECOMMENDATIONS
Based on the findings above it is therefore recommended that loans and credit facilities should be provided
for irrigated tomato farmers in the area. Similarly, dams should be constructed and irrigation equipments be
provided for the farmers in the area to supply water for irrigation of farmland. Finally, extension agents
should be provided to disseminate research findings to irrigated tomato farmers on modern technology.
REFERENCES
Food and Agricultural Organisation, (2005). Food and Agricultural Organisation Production year book.
Rome, Italy.
Hector, V., Randall, T. H. and Ted, M. H. (2002). Field tomato production guidelines for Hawaii. Crop
production guidelines. Retrieved from http://www.extento.hawaii.edu/kbase/reports/fieldtomato_prod.htm.
on September 20, 2008.
Iheanacho, A.C., Olukosi, J.O. and Ogungbile A.O. (2003). Economic efficiency of resource-use in millet
based cropping systems in Borno State of Nigeria, Nigerian Journal of Tropical Agriculture. 2: 33 - 42.
Niger State Agricultural Development Programme (NSADP), (1994). Impact study final report. Pp.24
Olukosi, J.O. and Erhabo P.O. (1988). Introduction to farm management economics: principles and
applications. Agitab Publishers Ltd. Zaria.
Olukosi, J.O Isitor, S.U. and Ode, M.O. (2006). Introduction to agricultural marketing and prices:
principle and application. Living Book Series, GU publications Abuja, 115p
Rahman, S. A. and Lawal, A. B. (2003). Economic analysis of maize-based cropping systems in Giwa
Local Government Area of Kaduna State, Nigeria, An International Journal of Agricultural Sciences,
Science, Environment and Technology. 3:139-148
SADP, (1995). Sokoto Agricultural Development Project Annual Report, 1995.
Wikipedia, (2008). Encyclopaedia. Retrieved June10, 2008 from http://en.wikipedia.org/wiki/Niger_State.

Corresponding Author:
Ojo M.A
Department of Agricultural Economics and Extension Technology, Federal University of Technology,
Minna, Niger State, Nigeria
E-mail: akinmikky@yahoo.co.uk
22
Continental J. Agricultural Economics 3: 23– 27, 2009
INFLUENCE OF COOPERATIVES ON FOOD CROP PRODUCTION IN SHIRORO LGA OF NIGER

STATE, NIGERIA
Otitolaiye J. O; Opaluwa H.I; Mohammed B.

Department of Agricultural Economics & Extension, Kogi State University, Anyigba.
ABSTRACT
The study focused on the Influence of Cooperative on Food Crop Production in
Shiroro LGA of Niger State, Nigeria. The data for the study were collected among
115 cooperative farmers through a field survey in 2006. Descriptive statistics were
used to analyse the socioeconomic characteristics of the respondents while multiple
regression analysis was used to estimate the influence of cooperative on food crop
Production in the area. The result of the regression analysis revealed that the quantity
of fertilizers applied by the farmers, the number of group members (which is a
measure of their involvement in cooperative activities) and the other costs of
productions affects food crop productivity from the area. The policy implication
arising from this study suggest that the government, community based organization
and other non-governmental organizations should be encouraged to intensify efforts
towards encouraging cooperative organizations through mass campaign and release of
more funds and incentives to boost food production from the area
KEYWORDS: Cooperative; Influence; Food; Crop; Production
INTRODUCTION
A Cooperative is a business, voluntarily organized, operated at a cost which is owned, capitalized and
controlled by member patron as users, sharing risk and benefits proportional to their participation (Adegeye
and Ditto, 1985). Cooperative is an autonomous association of persons united voluntarily to meet their
common economic, social and cultural needs and aspirations through a jointly owned and democratically
controlled enterprise (International Cooperative Alliance, 2007).
Agricultural Cooperative has the ability to increase food crop productivity among farmers in Shiroro LGA
of Niger State. Cooperatives serve as useful instruments for marketing farmers’ produce and as avenues for
saving and credit facilities as these informal financial institutions are mostly preferred by farmers due to
easy accessibility, smallness of scale, and informal nature of transactions(Adeyemo, 1982; Onyenwaku and
Ozoh,1992). Ladele and Ayoola (1997) asserted that food marketing in Kwara State was further
strengthened because the state was one of the earliest to embrace food crop marketing cooperative.
Adeyemo (1994) reported that members of cooperative societies performed better in terms of gross margins
than individuals who were nonmembers.
FAO (2002) reported that in most part of Africa, the culture is basically subsistence where the family
cultivates small plots for food needs. Food crop productivity in Shirroro L G A is low due to the fact that
farming activities is usually done among poor and low income farmers, cultivating small and fragmented
farm land to sustain livelihood. These farmers are often constrained due to their economic status and lack
of accessibility to capital and other relevant inputs which would have facilitated the increase in food crop
production in the area. Hence, this study is out to study the relevance of cooperatives in increasing food
crop productivity in the area.
METHODOLOGY
The study was carried out in Shiroro Local Government Area of Niger State, Nigeria. The data were
collected in 2006 though a multistage sampling technique. The first stage was the selection of all the twelve
cooperative societies in the area. These are: Kuta Cooperative Society; Sabo-Gida Farmers Cooperative
Society; Fadama Users Cooperative Society; Yam Growers Cooperative Society; Groundnut Growers
23
Otitolaiye J. O et al: Continental J. Agricultural Economics 3: 22 – 27, 2009
Cooperative Society; Cassava Growers Cooperative Society; Rainy Season Farmers Cooperative Society;
Dry Season Farmers Cooperative Society; Credit and Investment Cooperative Society; Jigiwa Young
Farmers Cooperative Society; Bodo Multi-Purposes Cooperative Society and Agricultural Product
Marketers Cooperative Society.
The second stage was to randomly select 10 cooperative out of the twelve already selected cooperatives.
The third stage was the random administration of 15 structured questionnaires to each of the 10 selected
Cooperative Societies out of the twelve. The third stage was the random administration of 15 structured
questionnaire to each of the 10 selected Cooperative Societies, making a total of 150 questionnaire. Only
115 where correctly filled and returned and these were used for analysis.
ANALYTICAL TECHNIQUE.
The collected data were analyzed through the aid of descriptive statistics and multiple regression. Three
functional forms namely Linear, Semi- Log and Double- Log were tried. The implicit form of the multiple
regression is as shown :
Y= f (X1, X2, X3, X4, X5, X6, X7, X8, X9, e).
Where:
Y = output (Kg)
X1 = labor (Mandays)
X2 = fertilizer ( Kg)
X3 = farm size (Ha)
X4 = capital (N)
X5 = number of group members
X6 = age (yrs)
X7 = cooperative experience (yrs)
X8 = educational level ( no formal education =0, adult education =3, Primary education =6, secondary
education =12, tertiary education =16 )
X9 = other costs(N)
e = error term

Some socioeconomic characteristics of the farmers were looked into because of their perceived effects on
the agricultural activities of the cooperative farmers, these are; gender, age, educational level, occupation
and marital status.
Gender perspective of the cooperative farmers as revealed by Table 1.0 shows that majority (60.90%) were
male while the remaining 39.10% were female. This is as a result of the fact that agricultural activities were
strenuous and required more energy for execution.
The result of the survey on the age of the respondents in table 1.0 also reveals that 74.01% were between
the ages of 21 -40 years, 13.04% lies between the age bracket of less than 20 and 41-50 years respectively.
This implies that most farmers were in their active productive life whereby they can increase agricultural
productivity
Table 1.0 further indicates that 34.70% had no formal education, 21.73% had adult, and primary education.
However, 17.30% had secondary education while the remaining 4.34% had tertiary education. This
connotes that adoption of innovations may be slow.
The data on the occupation of the respondents as presented on the same table shows that majority (62.20%)
were full time farmers while 26.90% and 10.43% were civil servant and traders respectively. The greater
24
percentage of the respondents being full time farmers imply more time devotion for agricultural for
agricultural activities to increase output.
Table 1: Socio – Economic Factors of the Respondents
Characteristics Frequency Percentage
Gender
Male 70 60.9
Female 45 39.1
Total 115 100.00
Age
<20 15 13.04
21-30 40 34,78
31-40 45 39.13
41-50 15 13.04
Total 115 100.00
Educational Level
No formal Education 40 34.78
Adult Education 25 21.73
Primary Education 25 21.73
Secondary Education 20 17.39
Tertiary Education 5 4.34
Total 115 100.00
Occupation
Farming 72 62.6
Civil Servant 31 26.9
Trading 12 10.43
Others
Total 115 100.00
Marital Status
Married 85 73.9
Single 25 21.7
Widow 5 4.34
Widower - -
Total 115 100.00
Source; Field Survey, 2006
Table 2.0 : Regression Result of the Influence of Cooperatives on Food Crop Production in Shiroro Local Government
Area.
Varibles Coefficient Std Error T-Values
b0 -156.051 74.435 -2.096

X1 0.392 6.566 0.060
X2 12.939 6.747 1.918
X3 2.212 4.230 0.523
X4 2.200 7.595 0.290
X5 30.722 17.054 1.801
X6 -11.009 11.756 0.936
X7 -3.317 5.016 0.661
X8 4.311 3.377 1.277
X9 -28.193 5.951 4.738
R2 : 0 .492, F-ratio : 4.835
25
Table 1.0 also shows that 73.90% of the farmers were married, 21.70% were single while the remaining
4.34% were widows. This indicates that agricultural production is more practiced by married farmers in
other to provide for the needs of their households. This further means increased labour force for agricultural
productivity.
Regression Result of the Influence of Cooperatives on Food Crop Production in Shiroro Local Government
Area.
The Double log functional form was chosen as the lead equation based on the value of R2, T-values and
the signs of the coefficients. The explicit result of the multiple regression is shown :
Y=-156.05+0.392X1+12.939X2+2.212X3+2.200X4+30.722X5-11.009X6-3.317X7+4.311X8-28.193X9 + µ
The R2 of the model is 0.492. Which implies that 49.2% of the explanatory variables account for the
variation in the crop out put. The low R2 value may be due to the omission of important variables and error
made during data collection. The model also have an f-ratio of 4.835 which is significant at 1%. This
implies that the explanatory variable, (X1-X9) adequately explain (Y).
Out of the 9 variables included in this model as shown in Table 2.0, only 3 were statistically significant.
These are; fertilizer input(X2) which is statistically significant at 1%s and positively related to output (Y).
This implies that an increase in the level of fertilizer application on the crop will lead to a corresponding
increase in the output of (Y). This is also a clear indication that the respondents have access to fertilizer
inputs as a result of their involvement in one form of cooperative or the other.
The number of group members(X5) is also statistically significant at 10% and positively related to the
output (Y). This gives a clear indication that they were able to pool higher resources together in their large
numbers than when they were few. The positive sign indicates that an increase in the number of group
members will lead to an increase in the level output (Y). Because they can have better collective bargaining
power and access to productive resources than on individual bases.
Other cost of production(X9) is significant at 10% and negatively related to the level of output (Y), this
implies, that an increase in other cost of production will lead to a decrease in the level of output. It become
glaring that when farmers belong to group (cooperative) they are able to reduce the cost of production.
However, labour was not significant but has a positive relationship with the level of out put. Also, their
years of cooperative experience was not significant in the out put of (Y).
CONCLUSION:
Cooperative group is a key phenomenon in the increase of food crop productivity in Shirroro Local
Government Area of Niger State, Nigeria. These groups help farmer to come together and discuss ways of
solving their problems, increasing food production for nutrition and market value. It will enable the farmers
to gain betters access to capital and other credit.
Since the importance of cooperative cannot be over emphasized among farmers in Shirroro Local
Government Area, it is therefore recommended that the government, community based organizations and
other non governmental organizations should be encouraged to intensify efforts towards encouraging
cooperative organizations through mass campaign and release of more funds and incentives to boost food
production from the area.
REFERENCES
Adegeye A.J. and Ditto J. S (1985); Essentials of Agricultural Economics. Impact publishers Nigeria
Limited.150 -160.
26
Adeyemo, R. 1982. “Strategies for Improving Agricultural Credit in Nigeria.” Savings and Development
Journal, 6 (1): 85-96
Adeyemo, R. 1994. “A Comparative Study of Cooperative and Non-cooperative Farmers in the Use of
Resources in Nigeria.” Journal of Rural Development and Administration. 26 (1): 52-62.
FAO 2002; Small scale palm oil processing in Africa.Rome FAQ.
International Cooperative Alliance (2007): Statement on Cooperative Identity.

www.ica.coop/coop/principles.htm.
Ladele A. A. and Ayoola G.B (1997); Food Marketing and it’s Role in Food Security in Nigeria: in Shaib,
B. ;Adedipe, N.O. ; Aliyu, A and Jir, M.M. (EDS) ;Intergrated Agricultural Production in Nigeria;
Strategies and Mechanisms for Food Security. Proceeding of the National Workshop on Nigeria Position at
the World Food Summit, Abuja, Nigeria. Pp88
Onyenwaku C.E. and C. M. Ozoh. 1992. “Savings Mobilization Among Rural Households in Anambra
State of Nigeria.” Quarterly Journal of International Agriculture, 31(3): 301-309.

Corresponding Author
Otitolaiye J. O.
E-mail :harus4u@yahoo.com
27
Continental J. Agricultural Economics 3: 28 -34, 2009
AGRICULTURAL CREDIT UTILIZATION AMONG SMALL SCALE WOMEN FARMERS IN

SELECTED WARDS OF BIDA LOCAL GOVERNMENT AREA OF NIGER STATE, NIGERIA.
GANA, F. S., TSADO. J. H, KENCHI S AND OLALEYE .R

DEPARTMENT OF AGRICULTURAL ECONOMICS AND EXTENSION TECHNOLOGY, FEDERAL
UNIVERSITY OF TECHNOLOGY, P. M. B. 65, MINNA.
ABSRTACT
The study investigated agricultural credit utilization among small-scale women
farmers in selected wards of Bida Local Government Area of Niger State. The
specific objectives were to examine small-scale women farmers, to identify the major
sources of credit to small-scale farmers and to determine the benefit (if any) which
small-scale women farmers had derived after acquiring credit for their farm
operations. Data were collected from one hundred respondents randomly selected
from five wards with the aid of interview schedule administered by the researchers.
Statistical tools used for data analysis were parentages, frequency distribution and
student t-test. Up to fifty-six percent (56%) of the respondents claimed that they
obtained their credit from various sources for their farm operations. The results show
that t-calculated (17581) was greater than t-critical (1.9842) at 1% level of
significance. Similarly, a total of 47% of the respondents opined that their farm
produce increased their income which ranged between N31,000- – N40,000 after
acquiring credit from the Cooperative Bank. It was concluded that small-scale women
farmers’ income had increased when they had credit facilities from banks
Therefore, it is recommended that banks are monitored regularly to disburse
agricultural loan to women farmers at the appropriate planning season with
reasonable interest charge and that extension agents should ensure that the loan is
utilized for only agricultural purposes.
KEYWORDS: Credit Utilization, Small-Scale Farmers Income Generation, Niger

State.
INTRODUCTION
Agriculture has been the most important sector of Nigerian economy. It employs about 80% of the adult
working population and earns about 60% of the Gross Domestic Product (GDP) of Nigerian economy
(International Food, 2006) This is one of the reasons why the country’s economic development policy has
been based on the expansion of peasant agricultural production (Olayemi, 1980). Manfred et al(1997)
reported that the most significant constraint to small-scale farmers improving their farm operations was
largely due to restrictions to access credit facilities ( Sadoulet and Janury (1995) suggested that farm credit
is not only necessitated by limitations of self-finance, but also by uncertainties pertaining to the level of
output and time lag between input and output. It is from the realization of this critical nature of agriculture
that the Federal Government has come up with the strategy of transforming the economy on improving the
rural agriculture. One of the measures is the establishment of the Nigerian Agricultural, Cooperative and
Rural Development Bank (NACRDB), the single largest development finance institution in Nigeria. Small-
scale women farmers are faced with enormous difficulties in acquiring credit facilities such as late
disbursement of agricultural loans, non-fulfillment of security or collateral requirement necessitated by bad
debts, diversification of funds by the banks management for non-agricultural purposes and inability of the
banks to reach small-scale women farmers at the grass root. One of the major constraints small-scale
farmers are facing in Nigeria is that of inability to access credit facilities for agricultural production. It is
envisaged that when these conditions are improved upon that the value of small-scale women farmers’
income will meet their expectations that will bring about improvement in their standard of living. The
general objective of the study therefore is to examine agricultural credit utilization among small-scale
women farmers in Bida Local Government Area of Niger State, Nigeria.
28
Gana F.S et al: Continental J. Agricultural Economics 3: 28 -34, 2009
The specific objectives are (i) to examine credit utilization among agricultural small-scale women
farmers (ii) to identify the major sources of credit to small-scale farmers and (iii) to examine the benefit
if (any) small-scale women farmers had derived from the credit which they (farmers) had obtained for farm
operations.
METHODOLOGY
Area of study
This study was conducted in Bida Local Government Area of Niger State within six months which stated
from 12th June, 2008 tS 18th November, 2008. The State lies between 30 – 20 East and longitude 80 and
110 – 3 North. The State is bordered to the North by Sokoto State, to Northwest by Kebbi State to the South
by Kogi, to the Southwest by Kwara State, while Kaduna and Federal capital territory border the state to
the Northeast and Southeast respectively.
Furthermore, the state a common international boundary with the republic of Benin at Babanna in Borgu
Local Government Area of Niger State. The state covers a total land area of 83,266,779 square kilometer or
about 8.3million hectares, which represents 8% of arable land.
About 85% of the inhabitants are farmers while the remaining 15% engage in other vocations such as
white collar jobs manufacturing, business among others. The women farmers cultivate crops like
Guinecorn, Maize, Millet, Cowtrea, Cassava, Vegetables to mention a few. The population of the state
according to 2006 census figure was about 3,950,249 (NPC,2006).. Niger State is referred to as the
“Power” state of the nation because, it houses three hydro electric power stations. They are the Shiroro
Hydro-Electric power station, Kanji generating plant and the Jebba Hydro Electric Dam.
The area where this research study was conducted is Bida Local Government Area of Niger State. Bida
Local Government is divided into two constituencies namely; Bida North and Bida South constituency. The
dominant tribe resident in that area is the Nupe speaking community with very few other community
groups.
SAMPLING PROCEDURE AND SAMPLING SIZE

The sampling procedure used in this research work is the purposely random sampling technique. This was
to capture a good number of small scale women farmers who had access to credit loan in the five(5)
selected wards of Bida Local Government Area of Niger State. These wards include the following: Bida
North constituency, having wadata ward, Masaba A Ward, Masaba B Ward, while Bida South
constituency consists of Dokodza ward and Ndajiya Wards respectively.
Total number of farmers in the five selected wards was 234.
Names of Wards Number of Respondents Selected

For Masaba Ward 30 x 100 = 13 o/o
234 1
For Masaba A 40 x 100 = 17 o/o
234 1
For Masaba B 50 x 100 = 21 o/o
234 1
For Dokoza 54 x 100 = 23 o/o
234 1
For Ndajiya 60 x 100 = 26 o/o
234 1
Total = 100
29
MEASUREMENT OF VARIABLES
The socio-economic characteristics of the women farmers include: Age of the farmers, their farm size,
educational attainment, house hold size, farming experience. The age of the farmer is going to be measured
by asking the farmers at the time of survey what their age was and their level of education, that is, what
level of formal education the farmers had, their household sizes that is, the number of people that depended
on them for livelihood.
The farm sizes of the farmers will be based on the hectares and the farming experience they had.
The income of small-scale women farmers after acquisition of credit facilities.
METHOD OF DATA COLLECTION

The primary data were collected through personal interview and researchers’ personal observation on their
interaction with the participating respondents. Secondary data were collected from published and
unpublished reports. The entire one hundred interview schedule were returned and used for analysis.
ANALYTICAL TECHNIQUES
The analytical techniques used to carry out the analysis were descriptive statistics like percentages,
frequency distribution, and student T – test (Tuckman, 1972)

The analysis of data from interview schedule collected from the field is presented in the Tables indicated
1, 2, 3, 4, 5, 6, and 7 respectively.
Table 1: Percentage Distribution of the Age of the Respondents

Age (Years) Frequency Percentage
< 20 14 14.00
21 – 30 26 26.00
31 – 40 46 46.00
41 – 50 12 12.00
51 – 60 2 2.00
60 and above 0 0
Total 100 100
Source: Field Survey, 2008
The results from Table 1 revealed that majority of the respondents (46%) are within the age range 31 – 40,
while (26%) said that they were within the ages of 21 – 30 years whereas (14%) of the Respondents
claimed that they were below 20 years of age and (12%) of the Respondents were found to belong to the
range of 41 – 50 years of age. Only (2%) of the respondents said that they were within the age range of 51
– 60 years. This is an indication that credit are given to young farmers who are willing and ready to work
unlike the youth who go in search for white – collar jobs.
30
Table 2: Educational Attainment of Respondents
Education Attainment Frequency Percentage

No formal Education 54 54
Primary Education 31 31
Secondary Education 13 13
Tertiary Education 2 2
Total 100 100
From Table 2, it is revealed that the greater proportion that is (54%) of the sample farmers claimed that
they had no formal education while (31%) said that they had obtained primary education. About (13%) of
the Respondents had obtained secondary education and only (2%) of the sample farmers said that they had
obtained tertiary education. However, the educational level of small – scale farmer contributed to the level
of production in terms of adoption of new technologies and ways which inputs should be used on the farm
to enhance greater output and farmers entrepreneurial ability.
Apata (1991), reported that educational level determine the quality of skills of farmers, technical
competence and how likely it is for him/her to acquire agricultural credit and put into proper usage for
better returns.
Table 3: Sources Obtained by Respondents

Source Frequency Percentage
Friends/Relatives 7 7
Commercial Banks 2 2
NACRDB 24 24
Cooperative Society 56 56
Contribution 11 11
Total 100 100
Table 3: shows that majority of the respondents (56%) sourced their credit from cooperative b, while (24%)
said that they sourced their credit from Nigeria Agricultural cooperatives and Rural Development Bank
(NACRDB) and (11%) said they sourced theirs from individual contribution. Some claimed they sourced
their credit friends and relatives having a total of (7%) and only two percent (2%) claimed that they
obtained there’s form commercial bank. This might be due to the problem encountered during loan
acquisition from NACRDB such as problem of guarantors and collaterals offered, problem of interest
charges by the Commercial Banks that is why most of them source and believed with their contributions
(Adeshi) and cooperative society association due to very low or no interest rate charged and flexibility in
loan repayment. Ndanitsa (2004) reported that credit has for a long time been accorded or given a place of
prominence in Agricultural development efforts. Farmers need to borrow capital to finance agricultural
production by purchasing improved variety of seeds fertilizer, agro-chemicals and to hire labour.
31
Table 4: Extension Agents Intervention in Credit Acquisition by Respondents
Source Frequency Percentage

Inform farmers about credit source 18 18
Link the with credit source 15 15
Help in acquiring credit 2 2
Non of the above 55 55
Total 100 100
Table 4 reveals that, eighteen percent (18%) of the respondents said that extension workers helped to
inform them about the source of credit while fifteen percent (15%) claimed that the extension agents linked
the respondents to sources of credit for example the NACRDB, NAIC among others. This is in agreement
with (Swanson et al., 1990) who reported that the percentage of female personnel in agricultural advisory
was 11 % in Africa .
The highest population of respondents 55% claimed that extension services were not provided to them.
This may be due to the fact that extension personnel scheduling meetings were not convenient to extension
work because the respondents were all female.
Table 5: Initial Income of farmers before credit acquisition by respondents.
Income (N) Frequency

Percentage
10,000 – 20,000 63 63
21,000 – 30,000 27 27
31,000 – 40,000 6 6
41,000 – 50,000 4 4
51,000 and above 0 0
Total 100 100
From Table 5, it was reveled that, the greater number of respondents said that before the loan disbursement
their income was found to be very low.
Sixty three percent (63%) of the Respondents said they were within the range of N10,000 – N20,000, while
twenty seven (27%) claimed that their range fell between N21,000-N30,000 annually and (6%) said their
was between N31,000 – N40,000 and four percent (4%) between the range of N41,000 – N50,000 annually.
None of them agreed to say their income annually was up to N51,000 and above. The results shows that
farmers income was low.
32
Table 6: Income after Acquisition by Respondents

Output (N) Frequency Percentage
10,000 – 20,000 21 21
21,000 – 30,000 16 16
31,000 – 40,000 47 47
41,000 – 50,000 6 6
51,000 and above 10 10
Total 100 100
Table 6, reveals that forty seven percent (47%) of respondents income increased with the credit within the
range of N31,000 – N40,000 while (21%) said that their income ranged from N10,000 – N20,000 still and
(16%) claimed that their income was within the range of N21,000 – N30,000. A total of six percent said
that their income ranged between N41,000 – N50,000 and (10%) of them claimed that they generated
N50,000 and above annually. This result shows that, with the credit acquisition, the income of farmers had
increased.
Table 7: Student t-test analysis indicating income of respondents before and after credit acquisition.
Pair Mean Student Deviation T.D.sig (2failed)

Income before 90050 5,219941 17,581
The credit and after
Source computed from field survey 2008, Significant at 0.01
The result from Table 7 reveals that there is significant relationship between the income of farmers before
the credit acquisition and after T. calculated (17,581) is greater than t (1.9842) critical at 1% level of
significant.

Based on the findings it can be concluded that small-scale farmers who had access to credit facilities
benefited from the loan given to them as indicated. Considering the foregoing, therefore it is recommended
(i) That small-scale farmers should be encouraged to form economic groups like cooperative society and
economic interest associations to enable them enjoy group loans that reduces bank administrative cost of
loans. (ii) Government should encourage Bank to disburse agricultural loan to small-scale farmers at
appropriate farm operations. (iii) International Finance Organizations and NGOs that seek to promote
empowerment of rural communities should encourage rural micro financing to reduce or eliminate poverty
especially women among the rural communities in Nigeria. (iv) Women extension agents should be trained
adequately in order to assist small-scale farmers to secure loans from financial institutions.
REFERENCES
Apata T. C. (1991) “Effects of credit in small-scale farming” A case study of Akure and Ikole. Department
of Agricultural Economics and Extension Technology. Federal University of Technology,Akure pp . 25-26.
(Unpublished)
International Food.(2006) International Food; Policy Research Institute From “ Best Practice “ To Best Fit”
A Framework For Analyzing Pluralistic Agricultural Advisory Services Worldwide Washington. D.C
2006-2002 USA.
33
Manfred,Z. Gertrud S, Joachimvom B and Franz, H. (i997) “Rural Financer Food Security for the Poor “ pp
. 1-12
Ndanitsa, M. A. (2004) “ Agricultural Finance Manual”.Department of Agricultural Economics and

Extension Technology. Federal University of Technology, Minna.
N.P.C. (2006) National Population Census
Olayemi, J. K (1980) “Food Crop Production by Small-scale Farmers in Nigeria. Problems and Prospects in
integrated Rural Development. Published by University of Ibadan pp . 18-33
Sodoulet D and Janury..A. (1995 ) Quantitative Development Policy Analysis .The John’s Hopkins
University Press. Baltimore and Lon
Swanson, B E, Farner B. J., Bahal R. (1990) The Current Status of Agricultural Extension World wide. in:
FAO: Report of the Global Consultation on Agricultural Extension , Rome, Italy, 4-8 December 1989,
Rome: Food and Agriculture Organization.
Tuckman .B. W.(1972) Conducting Educational Research Published by Harcourt Brace Jovanovich, Inc.
New York

GANA, F. S
DEPARTMENT OF AGRICULTURAL ECONOMICS, FEDERAL UNIVERSITY OF TECHNOLOGY, P. M. B. 65,
MINNA.
E-MAIL: FRANCISGANA2004@YAHOO.COM
34
Continental J. Agricultural Economics 3: 35 - 40, 2009
AN ANALYSIS OF WOMEN’S CONTRIBUTION TO HOUSEHOLD FOOD SECURITY IN DOKO

DISTRICT OF LAVUN LOCAL GOVERNMENT AREA OF NIGER STATE.
Tsado, J. H.1 O.B. Adeniji1 M.A. Ojo 1 and M. Tsado2

1
Department of Agricultural Economics & Extension Technology, Federal University of
Technology, Minna. 2Federal Polytechnic, Bida, Niger State, Nigeria.
ABSTRACT
While much work has been done on women’s roles in Agricultural activities, little has
been done on their level of contribution to household food security, particularly in
Doko district of Lavun local government area of Niger State. The major objective of
this paper is to determine the level of women contribution to house hold food
security, ascertain the percentage of their income spent on consumption and to
determine the degree of influences of constraints faced by women in contributing to
household food security. Following a survey conducted using 239 randomly selected
respondents. The study revealed that about 74% of the respondents have small
household size and. about 60.7% of the respondents spends up to 60% of their total
income on purchasing food items for their household and about 64%of the
respondents use their personal farm produce mainly for household consumption. Up
to 89.1% of the respondents indicated that they are in dear need of more food and
about 77.8% of the responding strongly agreed that increased/decrease in income
usually affect food availability and quality of their household diet. The chi-square
analysis revealed that there is no significant relationship between the constraints faced
by the women and there level of contribution to household food security (x2 1.155;
p>0.05). It was recommended that there should be a deliberate effort in enhancing
women activities in the study areas so that they can contribute meaningfully to
household food security and national food security.
KEYWORDS: Women contribution, household, food security
INTRODUCTION
Women constitute half of the world’s population and about 565 million of them reside in rural areas of
underdeveloped countries where they perform increasingly indispensable roles in Agricultural and national
development. Women also plays very important roles in sub-Saharan Africa where they physically produce
70 – 80 percent of domestic food crops, hence helping in ensuring family (Household) and national food
security, (Akpabio 2005). Rural women in developing countries have been found to play a prominent role
in agriculture (Boserup 1979; UN 1980; Mencher 1986). (Kabeen 1994) opined that women are the back
bone of agricultural sector accounting for 70% of agricultural labour and responsible for 60% agricultural
production and 80% of food production.
Until recently, the general trend across the globe had been to relegate women in the scheme of things. In
traditional societies, for example women had no value beyond child bearing and other domestic services.
There contribution to household food security and other spheres of community development attracted
inadequate recognition. This situation is still true of women in many contemporary societies particularly in
the rural enclaves of developing world. (Obasi 2005).
Women contribute to household food security because they have greater influence on household food
expenditure, Caloric intake and anthrop mesmeric indicators, this occured because they allocated their time
and resources to ensure that the children and elderly are adequately fed with in available means and also
pay adequate attention to meeting the physical, mental and social needs of the entire house members.
Research results also indicate that women are likely to utilize personal savings and resources for family
sustenance unlike man. It has also been revealed that although home garden which are typically owned and
35
Tsado, J. H et al: Continental J. Agricultural Economics 3: 35 - 40, 2009
tended by women occupy only 3 percent of family own farm land, those gardens may account for half total
family farm produce and serve as shock absorbers during times of household economic and physical
hardships (Akpabio 2005). (UNIFEM 1985) also affirmed that quite often women income goes directly in
to improving household nutrition, while men use additional income for consumer goods or prestige
purposes. Most studies on women contribution to household food security have been carried out in other
parts of Nigeria and none have been reported carried out in Niger State and in Doko district in particular.
Based on the aforementioned, there is need to carry out a study on women’s contribution to household food
security, so as to document their level of contribution to household food security and consequently national
food security.
OBJECTIVE OF THE STUDY.

1. Describe the socio-economic characteristics of the women in the study area.
2. Investigate the level of women contribution to household food security
3. Examine the percentage of income generated by women that is spent on purchasing food items for
household consumption.
3. Determine who is responsible for buying those food items not cultivated at the family level.
4. Determine the degree of influence of constraints faced by women in contributing to household
food security.
METHODOLOGY
The study was carried out in 2002 in Doko District of Lavun Local Government Area of Niger State, it is
situated in agricultural zone 1 of the state. The inhabitants are predominantly Nupes and other tribes like
Hauses , Yoruba’s, Igbos and Fulani’s as minorities.
The study population consisted of women involved in agricultural activities. Cluster sampling method was
used in sampling out 50% of the 4 ADP Extension cells out of the 8 ADP Extension cells that makes up the
Doko ADP Extension block (DEB). From each of these 4 cells, sixty respondents were randomly selected
for the study. A total of 240 respondents were interviewed using structured interview schedule that were
validated and found reliable by using test and re-test method. The interview schedule was administered
using trained enumerators and the extension workers that understand the local language. The return rate of
the questionnaire was 239 out of 240 (99%).
Data collected include the socio-economic characteristics of respondents, rate of income generation,
percentage spent on purchasing food items, level of contribution to household food security, household
food requirement and degree of influence of constraints faced by the respondents in relation to their level of
contribution to household food security. Data were analyzed using both descriptive statistics (Frequency &
Percentages) and inferential statistics such as Chi-square. The level of women contribution to household
food security was measured by allotting a weight of 2 point to 9 items. The total for each respondent was
than group into 3 levels namely, low [0-6 points], moderate [7-12points] and high [13-18points] in
agreement with planning research statistics department, federal ministry of agriculture and natural
resources [PSDFMA 1993] and Akinlua [1997]. Chi-square was used to test the hypothesis in the null
form of there is no significant relationship between constraints faced by women and there level of
contribution household food security.

Table 1 shows that about 54% of the women were adult between the ages of 20 – 39 years, this age bracket
indicate that majority of the respondents are in their active years. The table also indicates that about 74% of
the respondents had small household size. Table 1 further revealed that about 64% of the respondents are
illiterates and only about 44% were engaged in buying and selling of agricultural products as their
secondary occupation. Majority (63%) of the respondents owned personal farms, this point to the fact that
majority of them contribute in one way or the other in ensuring household food security.
36
Table 1: Socio-Economic Characteristics of Respondents (n=239)

Variables Frequency Percentages
Age
Young: below 20 years 24 10.1
Adult: 20 – 39 years 129 53.9
Old: 40 years & above 86 36.0
Marital Status
Married 177 74.1
Divorced 27 11.3
Widowed 35 14.6
Religion
Islam 167 69.9
Christianity 72 30.1
Household Size
Small: 1 -5 people 135 57.8
Medium: 6 – 11 people 82 34.3
Large: 12 & above 19
Educational level
Illiterates 153 65.0
Adult/Primary Education 61 25.6
Secondary 25 10.4
Ownership of farm
Own personal farm 88 36.8
No personal farm 151 63.2
Secondary occupation
Trading in non-agric products 96 40.2
Sales of crop/fish/fire wood 103 43.1
Others 40 16.6
Contact with extension
Regularly 5 2.1
Occasionally 12 5.0
Rarely 148 61.9
Never 74 31.0
Table 2: Distribution of respondents according to income generation and percentage spent in purchasing
food items for the household. (n = 239)
Variables Frequency percentage
Approximate total income
Per month
Low (1000 – 4000 ) 77 32.2
Medium 5000 – 8000) 145 60.7
High 9000 & above) 17 7.1
Percentage spent in purchasing food items for the
house hold
29% and below 58 24.2
30% - 59% 146 69.9
60% and above 14 5.9
Source – Field survey, 2002
37
As can be seen from table 2, majority (61%) of the respondents generate between N5000 – 8000=) in a
month and about 70% of them spent between 30 – 59% of their total income in purchasing food items for
the household, thereby contributing their quarter to household food security.
Table 3: Distribution of respondents level of involvement in ensuring household food security (n=239)
Variable Frequency Percentage
Uses of Personal Farm Produce
Market/Sale 31 13.0
Household consumption/sale 55 23.0
Mainly for household consumption 153 64.0
Purposes of rearing livestock
For sale 31 12.9
For festivals/sales 27 11.3
Household consumption 139 58.2
No response 42 17.6
Purchase of food not cultivated by family
Wife only 23 9.6
Husband Only 46 19.3
Both 170 71.1
Source – field survey, 2002.
Table 3 revealed that about 64% of the respondents use their personal farm produce mainly for household
consumption and about 58.2% of them reared livestock mainly for the purpose of household consumption
and for sales to generate some income. This table also shows that majority (71%) of the respondents
indicated that both husbands and wives are responsible for purchasing those food items not cultivated by
the family. This point to fact that women from the study area are not left behind by their male counterpart
in ensuring household food security.
Table 4 Distribution of respondents household food requirement and the effect of increase/decrease in
income as it affect food availability and quality (n = 239).
Variable Frequency Percentage
Need for more food
Yes 213 89.1
No 26 10.9
Influenced by increase/decrease in income
Yes 186 77.8
No 53 22.2
Effect of increase in income
Availability of food 186 77.8
More quality diet 53 22.2
Effect of decrease in income
Less food availability 186 77.8
Less quality diet 53 22.2
Source – field survey, 2002.
Table 4 revealed that majority (89.1%) of the household in the study area are in dear need of more food at
the family levels, this points to the fact that many household are experiencing food crises, also about 77.8%
of the respondents agreed that increase/decrease income at the household level affect food availability and
consequently the quality of their diet, this is inconformity with what is been experienced worldwide, as the
income increases there is food availability and the quality of diet also improves and live versa.
38
Table 5 indicate that majority (60.3%) of the respondents highly support their household incase of
unexpected circumstances which directly or indirectly have implication for household food security. The
table also shows that majority (82.4%) of the respondents husband from the study area appreciate the
efforts of their wives in contributing to household food security. This points to the fact that the roles of
women in various spheres of life is now been recognized more than ever before
Table 5: distribution of respondents level of support to household incase of unexpected circumstances and
the recognition of their roles by their spouses (n = 239)
Variables Frequency Percentage
Level of support
Highly 144 60.3
Averagely 48 20.1
Fairly 29 12.1
No response 18 7.5
Appreciation of their roles by their spouses
Highly appreciated 197 82.4
Moderately appreciated 30 12.6
Fairly appreciated 12 5.0
Source – Field Survey, 2002.
Table 6: Data for testing of hypothesis.

Degree of influence of constraints Level of contribution to household food
Low Moderate High Total
Always influence 1 8 2 11
Often influence 9 73 17 99
Rarely influence 10 97 22 129
Total 20 178 41 239
Table 7: Chi-square (x2) Analysis of the relationship between contribution to household food security and
the influence of constraints faced by women.
Independent Degree of Cal. X2 Tab. X2 P Decision
Variable freedom value Value value
Contribution to household food 4 0.155 9.488 0.05 Accepted
Security
The result of Chi square analysis, reveal that there was no significant relationship between the constraints
faced by the women and there level of contribution to house hold food security x2( 0.155; p>0.05). This
implies that despite the fact that women are faced by numerous constraints, they have device several means
of over coming the constraints, so as to be able to contribute meaningfully to household food security.

The study shows that most (64%) of the respondents used their personal farm produce mainly for
household consumption and about 70% of them spent there total income in ensuring household food
security. Though women from the study area encountered various problems in ensuring household food
security, these problems have little or no significant influence on their level of contribution to household
food security. This paper recommends that there should be a deliberate effort in enhancing women
activities in the study area, this can be achieved by recruiting and posting female extension workers to the
area to help women in their agricultural and home economics activities.
39
REFERENCES
Akinlua, J. Y. [1997] .Role of women in agricultural production and household food security in some
selected local government area of Oyo state. Nigeria. Unpublished thesis, Department of Agricultural
Extension Eervices , University of Ibadan,Nigeria.
Akpabio, I. A (2005) “Women and Agricultural Extension and Rural Sociology. pp 215 – 227.
Boserup E. (1979): The position of women in Economic production and in the household with special
reference to Africa. In presveololus $ Zwart, S.S. (eds). The Household Women and Agricultural
Development.
Kabeen, N. (1994). Reversed Realities, Gender Hierachies in Development Thought. London : Verso.
Mencher , .J. (1986) Women and Agriculture : in man .C. K. and Huddlestan, .B. (eds) food policy frame
work for analysis and action. Academic Press. New York.
Obasi: O. O. (2005) Women in rural development: The Nigerian experience (in) Agricultural Extension and
Rural sociology. Edited by Ike .N. and Gideon .O. pp 229-246
Planning Research Statistics Department, Federal Ministry of Agriculture and Natural Resources [1993]
Food Security and Nigeria Agriculture ; A National Agenda; Unpublished Report, Abuja, Nigeria.
United Nation (1980) Rural women participation in Development, New York pp 20 – 27.
United Nations Development fund for women, (UNIFEM, 1985) “Fighting the African food crises, women
food farmers and food workers, C. Gercia ed.

Tsado, J. H.
Department of Agricultural Economics & Extension Technology, Federal University of Technology, Minna
e-mail: jacobtsado2007@yahoo.com
40
INFLUENCE OF FORMAL MICRO-CREDIT ON THE SOCIO-ECONOMIC WELFARE OF FARMERS

IN EBONYI STATE, NIGERIA
Odoh, N.E and Nwibo S.U

Department of Agricultural Economics, Management and Extension, Ebonyi State University, Abakaliki
ABSTRACT
This study analysed the influence of formal micro-credit on the socio-economic
welfare of smallholder farmers in Ebonyi State, Nigeria. A total of 180 farm
households were randomly selected from 12 autonomous communities. Structured
questionnaire and interview schedules were the major instruments used for data
collection. Data collected was analysed using both descriptive and inferential
statistics. Descriptive statistics such as the mean, tables, percentages, etc and
inferential statistics such as logit test and regression analysis were used for the
specific objectives. A logit econometric model was used to quantify and analyse the
data obtained on factors that influence farmers’ access to formal micro credit. The
result of the analyses showed that variables like annual income, marital status and
farmers’ main occupation influenced their access to formal micro credit and were
significant at 5% level of significant. It was equally observed that the amount of
formal micro credit obtained was positively and significantly correlated with annual
farm income. It also observed that 41% of the borrowers had tangible assets that
valued higher than N150,000.00 when compared to non-borrowers who were only
5%. The major constraints identified were mandatory minimum savings; late release
of funds; inability to provide CBN guarantee certificate and lack of security/collateral.
It was recommended that government in collaboration with private individuals should
establish a wider network of microfinance banks to serve for the specific credit needs
of the farmers.
KEYWORDS: Formal, Micro-credit, Socio-Economic, Welfare Farmers
INTRODUCTION
Robust economic growth cannot be achieved without putting in place well focused programmes to reduce
poverty through empowering the people by increasing their access to factors of production especially credit
(Hulme and Mosley 1996). The latent capacity of the poor for entrepreneurship would be significantly
enhanced through the provision of microfinance services to enable them engage in economic activities and
be self reliant; increase employment opportunities, enhance household income and create wealth (Shama
and Zeller, 1997). Micro finance is about providing financial access to poor whoa re traditionally not
sewed by the conventional financial institutions. Three features distinguished micro-finance from other
formal financial products, these are; the smallness of loans advanced and or savings collected; the absence
of asset-based collateral and simplicity of operations.
In Nigeria, the formal financial system provides services to about 35% of the economically active
population while the remaining 65% are excluded from access to financial services (Vega and Rodriguez,
2004). This 65% are often served by the informal financial sector, through Non-governmental
organisations; microfinance institutions, money lenders, friends, relatives and credit unions.
Microfinance is the supply of loans, savings and other basic financial services to the poor, improves their
welfare and alleviate the capital constraints on agricultural households (Diagne, 1996 and UNDP 2004).
The owners of micro and small enterprises require a diverse range of financial instruments to meet working
capital requirements, build assets, stabilize consumption and shield themselves against risk.
41
Odoh, N.E and Nwibo S.U : Continental J. Agricultural Economics 3: 41 - 45, 2009
Table 1: Percentage Distribution of Respondents According to Tangible Asset ownership

Borrowers Non-Borrowers
Types of Asset Frequency Percentage Frequency Percentage
Land Holdings (only) 18 30 75 62.5
House and other rented buildings 33 55 40 33.3
Lives to ck/poultry 6 10 4 3.3
Other agricultural equipments 3 5 1 0.8
Total 60 100 120 100
Table 2: Percentage Distribution of Respondents According to values of their Productive assets

Borrowers Non-Borrowers
Value of Assets (N) Frequency Percentage Frequency Percentage
1000 – 60,000 9 15.10 35 29.10
61,000 – 120,000 16 26.40 56 46.70
121,000 – 150,000 10 16.70 23 19.20
150,000 and above 25 41.80 6 5.00
Total 60 100 120 100
Table 3: Logit Estimates of the Socio-Economic Variables of Respondents that influence their Access to
formal micro-credit
Variable B.Statistics Standard Error Significance
Constant -1.257671** 2.028191 0.5352
AGE -0.50524 0.27668 0.0678
EDLE -0.028768* 0.052494 0.5832
SEX -1.186202* 0.406816 0.0035
ANIN 0.000161* 0.000499 0.0012
MAST 1.468171* 0.514442 0.0043
MAOC 0.053131 0.140512 0.7053
ANFI -0.000123 0.000067 0.8542
Statistics
No of observations – 180, Mc Fadderis R2 = 0.2229, Log likelihood function = 89.0229, Total number of
iterations = 7, * Significant at 0.01 level
Table 4: Frequency Distribution of Farmers according to Factors limiting their chances to access formal
credit
Constraints Frequency Percentage
Interest rate 8 09
Mandatory minimum savings 59 35
Lack of security/collateral 27 15
Short loan duration 18 10
CBN guarantee certificate 23 11
Late release of fund 42 20
152* 100
* Multiple responses obtained.
42
Despite the fact that about 80 percent of Ebonyians live in rural areas and are involved in agricultural
activities, there are no efforts to facilitate credit to farmers, which is crucial for rapid development of this
dominant section of the population. The only available bank which carters for the specific credit needs of
small-scale farmers are, the few micro-finance banks and the Nigerian Agricultural co-operative and Rural
Development Bank (NACRDEB). The inadequacy in financing and credit arrangement in the State impede
development of agriculture and other rural sectors. Given that this sector is the mainstay of a large segment
of the populace, its poor performance makes the fight against poverty even more challenging.
In view of these problems, the study sort to address the following problems.
- How relevant are the operational procedures and conditionalities of existing formal credit
arrangements to the needs and aspirations of small-holder farmers and to the sustainability of the
credit arrangements.
- What socio-economic factors influence accessibility to formal credit by small-holder farmers?
- Has credit from formal micro-credit institutions got any potential impact in increasing incomes
and improving livelihood of the credit users?
- What are the constraints encountered by farmers in obtaining loan from the formal micro-credit
sources.
Broadly, the objective of the study was to assess the influence of formal micro-credit on the socio-
economic welfare of farmers in Ebonyi state. Specifically, the objectives are to: characterize both formal
micro-credit borrowers and non-borrowers according o their personal and socio-economic attributes;
determine the relationship between socio-economic characteristics of the respondents and their access to
formal micro-credit; assess the effect of formal micro-credit obtain on their income, level of tangible assets
acquired and value of the farmers assets; analyse the constraints to formal micro-credit acquisition in the
study area.
METHODOLOGY
The study area is Ebonyi State. It has a population of 2,173501 people (NPC, 2006). The state is made up
of thirteen (13) gazetted Local Government Areas which are divided into 3 Agricultural zones.
A multistage random sampling technique was employed to select 2 local government areas from each of the
three zones. From each of the six local government areas (Ezza-south, Ikwo, Ohaozara, Afikpo, Abakaliki,
Ohaukwu), 2 autonomous communities were randomly selected. This gave a total of twelve (12)
communities. Then the third stage involved a random selection of fifteen (15) farmers from each of the
twelve communities sampled, giving a total of one hundred and eighty (180) respondents for the study.
Data for analysis were collected primarily using interview schedule and questionnaire which were
administered to the one hundred and eighty (180) respondents.
The data obtained were analysed using descriptive statistics (such as means, frequency and percentages)
and inferential statistics (logit test and regression analyses).

The results of the data analysed showed that farmers that borrowed from the formal micro-credit
institutions (30%) had only land as their tangible assets while 62% were non-borrowers who also had land
as their tangible asset; this implies that farmers who have land holdings borrow less. This was in line with
findings of Ofuru (2006) who opined that smallholder farmers do not frequently access loan formal
financial institutions. In addition to this, 55% of the borrowers have houses and other rented buildings
while 33% are non micro-credit borrowers have only houses as their tangible assets, five percent (5%) of
the borrowers had other agricultural equipments like tractors and even livestock enterprises in addition to
their crop farms (table 1).
43
It was observed again that 41% of farmers who borrowed from the formal micro-credit institutions have
tangible assets (land, livestock, buildings, and non-farm productive assets like gain processing machines)
worth more than 150,000 while only about 5 percent of the non-micro-credit borrowers have tangible
assets. This was exemplified in (table 2). It became obvious that farmers that borrowed from the available
micro-credit institutions were able to acquire tangible assets more than the non formal credit borrowers.
The logit estimation of the relationship between socio-economic characteristics of the respondents and their
assess to formal micro credit, it was evidenced that annual income, martial status and main occupation were
the primary attributes of these farmers that positively influenced their chances to access credit from the
formal micro-credit sources. This was explained in table (3), while those attributes like age, level of
education, and gender had less effect.
This result is in agreement with earlier findings of Diagne and Zeller (2001), who deduced that generally
the very poor are reluctant to access credit from the formal institutions because of fear of crop failure and
foreclosure. They also went ahead to state that the type of activity and investment requirements could
influence individual decisions to request for additional money and hence, access credit.
An estimate of factors that constrained farmers’ access to formal-micro credit revealed that mandatory
minimum savings (35%), lack of security/collateral (15%), short loan duration (10%), CBN guarantee
certificate (11%) and late release of funds were the major factors constraining farmers from accessing
credit from the formal micro-credit institutions.
The study went further to estimate the relationship between the amount of loan a borrower obtained and his
annual farm income in order to exclude the cumulative effect of non-farm income from the actual income
which is as a result of non-farming activities.
The coefficient was 1.11 with a standard error of 0.10. The coefficient tested highly significant at 1%
level. The R2 was 0.676 while the adjusted R2 was 0.670. This implies that there is 67% increase in annual
farm income of the borrowers as a result of the loan obtained from the formal micro-credit institutions. The
F-ratio was 121.09 and tested highly significant at 1% level.
The estimated regression equation was

ANFI = -29350.67 + 11057
(14311.71) (0.100920)*
R2 = 0.676
R2 = 0.67
F-ratio = 121.09
The figures in brackets are standard errors of estimates.

* Significant at 1% level.
SUMMARY, CONCLUSION AND RECOMMENDATION

From the logit regression analyses, it was observed that such variables like annual farm income, marital
status and main occupation influenced farmers’ access to formal micro-credit in the study area. However,
in terms of the influence of the loan obtained on the socio-economic welfare of the farmers it was observed
that farmers who obtained these loan had higher level of productive assets which were also valued higher as
compared to non-participating farmers. Results of regression analysis also showed that the amount of loan
obtained was positively and significantly correlated with the annual farm income of the farmers when
tested at 1% level of significance and 99% confidence level. The major factors constraining farmers’
access to micro-credit were mandatory minimum savings, lack of society/collateral and late release of
funds.
44
Based on the findings, several policy recommendations were made which included that there should be
establishment of a wider network of microfinance banks to serve the farming sector; there should be
provision of training to credit beneficiaries in aspects of credit management, savings mobilization and basic
accounting; the full potential of credit in increasing the welfare of poor farmers can only be realized with
adequate investments in hand and soft infrastructure for example good roads, telecommunication networks,
schools, portable water as well as investment in human capital.
REFERENCES
Diagne, A. 1996. Measuring Access to credit and its impacts on household food security: some
methodological notes. Paper presented at the 1996 annual meeting of the American Agricultural
Economics Association, San Antonio, Texas.
Diagne, A. and Zeller, M. 2001. Access to credit and its impact in Malawi. Research Report 116,
Washington, D.C., U.S.A. International Food Policy Research Institute (IFPRI).
Hulme, D. and Mosley, P. 1996. Finance Against Poverty: Effective Institutions for Lending to small
farmers and Micro-enterprises in Developing countries. International Journal of Agriculture. 2(9), 76 – 93.
London, Routledge.
NPC 2006. Official Population figure of Ebonyi State, Nigeria.
Ofuru, K. P. 2006. Financial Linkage and Development in Sub-Saharan Africa: A case study of the
informal finance sector in Nigeria. Overseas Development Institute.
Sharma, M. and Zeller, M. 1997. Repayment performance in group-based credit programmes in

Bangladesh. An empirical analysis. World Development. 25(10), 1731- 1742.
UNDP. 2004. Grassroots Initiatives for Poverty Reduction in Nigeria.
Vega, J. and Rodriguez, M. 2004. Micro-credit and the poorest of the poor. Theory and evidence from
Nigeria. World Development. 28(12), 1895- 1907.

Nwibo S.U
Department of Agricultural Economics, Management and Extension, Ebonyi State University, Abakaliki
Email: sunwibo92@yahoo.com
45
THE PLACE OF MASS MEDIA IN RURAL AGRICULTURAL COMMUNICATION AMONG

SMALL-SCALES FARMERS IN DEKINA LOCAL GOVERNMENT AREA OF KOGI STATE,
NIGERIA.
Adejoh, S.O, Ibrahim, M.K and Onuche, U

ABSTRACT
The study examined the place of mass media in rural agricultural communication
among small-scale farmers in Dekina Local Government Area of Kogi State,
Nigeria.Using a stratified random sampling technique, thirty small-scale farmers were
selected from each of the four districts bringing the number of respondents to one
hundred and twenty farmers. The relevant data for the study were collected through a
set of structured questionnaire administered to the respondents. The study examined
the socio-economic characteristics of small-scale farmers in the study area, perception
of farmers towards the use of mass media and the relationship between farmers
acquired knowledge from agricultural communication and improved agricultural
practices. The analytical tools used in this study included descriptive statistics,
Pearson correlation and five point likert scale. From the results, it was affirmed that
the respondents to a reasonable extent were educated at the primary level, of middle
age, predominantly males, mostly married and were involved in agriculture on full
time basis. Results of the likert scale revealed that most of the respondents had access
to at least one source of mass media and have adopted various technologies based on
experience gained from various sources of mass media. Analysis of the preference of
the farmers for the various mass media sources revealed that 45% of the farmers
preferred radio agricultural programmes to newspapers and television information,
30% prefer television programmes to the other two sources while only 25% prefer
newspaper information to television or radio. The correlation results revealed that all
the variables except number of respondents with tertiary education had a positive
correlation with the choice of mass media. Number of respondents that were
uneducated had the highest correlation of 0.744 and was significant at 5% level of
probability. Among the recommendations based on the findings were; The need for
Government and private organizations to sponsor agricultural programmes with
emphasis on the use of local languages, establishment of local media stations in rural
areas to create the needed awareness and involvement of farmers in planning for
dissemination of information using the various sources of mass media for effective
feedback mechanism.
Keywords: Mass media, communication, technologies, programme, perception.
INTRODUCTION
Mass media as one of the sources of information can be very helpful in creating awareness and changing
the behaviour of farmers towards better utilization of research findings and proper management of their
resources.
Lai (1990) however asserted that clear understanding of agricultural communication in the rural area and
the role mass media could play in the process must be grounded in a thorough analysis of the nature and
characteristics of the rural areas and the meaning of agricultural communication itself.
Several studies have shown that the role played by information suggest the need for the blending of as
many sources as possible to produce greater results. Evidence shows that publication of newsletters and
bulletin alone for agricultural information for rural people do not meet the information that farmers need in
46
Adejoh, S.O et al: Continental J. Agricultural Economics 3: 46 - 51, 2009
Table 1: Socio-Economic Characteristics of Respondents

Farmers socio-economic characteristics Frequency Percentage Mean
Gender:
Male 71 59.2 50
Female 49 40.8
Education:
Primary 45 37.5
Secondary 25 20.8
Diploma 15 12.5 20
Degree 15 12.5
Not at all 20 16.7
Age (Years):
15 – 30 23 19.2
31 – 45 61 50.8 25
46 – 60 26 21.7
> 61 10 8.3
Marital status:
Single 40 33.3
Married 60 50 25
Widow/widower 5 4.2
Separated/others 15 12.5
Major Occupation:
Full time farmers 72 60 50
Part time farmers 48 40
Source: Field Survey, 2008.
Table 2: Results of the Likert Scale Showing the Perception of Farmers towards the various Sources of Mass media
(5) (4) (3) (2) (1) Total No. of Total No. of Average
SA A U DA SD Respondents attitude score mean score
Farmer’s Attitude
1. My only source of
agricultural information is
through mass media. 8 6 10 36 60 120 226 1.88
2. I have adopted new

technologies based on my 30 35 15 35 5 120 410 3.42
experience gained from
various sources of mass
media.
3. I am a regular participant in 43 35 14 14 14 120 439 3.66

agricultural extension
programme.
4. Lack of feedback has 16 35 4 50 15 120 347 2.89

prevented me from the use of
mass media.
5. Mass media is only designed 10 20 6 44 40 120 276 2.30

for the rich people.
6. I enjoy listening to the radio
only but cannot read. 16 30 4 48 22 120 330 2.75
Source: Field Survey, 2008.

Where SA = Strongly Agree, A = Agree, U = Undecided, DA = Disagree Agree and SD = Strongly Agree.
47
Table 3: Preference of Farmers for the Different Sources of Mass Media

Preference (%)
Sources Of Mass Media Frequency Percentage
Radio 55 45.8
Television 35 29.2
Newspaper 30 25
Table 4: Results of Pearson Correlation Showing the Relationship between Choice of Mass Media Sources
and Some Selected Variables.
Pearson Correlation (r) on Choice of Mass Media Sources
r (Pearson Sig. (1 tailed) Mean Std.
S/N Variables Correlation)
1. Knowledge acquired on crop production. 0.171 .236 4.20 1.54
2. Knowledge acquired on animal production. 0.556 .005 2.85 1.66
3. Knowledge acquired on 0.502 .011 2.40 1.39
cooperative/marketing.
4. Number of male respondents 0.003 .441 2.70 1.34
5. Number of female respondents 0.009 .486 2.45 1.57
6. Number of uneducated respondents 0.744 .002 3.65 0.49
7. Number with primary/ secondary education. 0.499 0.18 3.15 1.66
8. Number of respondents with tertiary -0.253 .141 2.15 0.933
education.
Field survey, 2008.
regards to technology but such information can be supplemented with radio which is a very good medium
for supplying information at the awareness stage in the adoption process in learning (Agada, 2003).
Similarly, Niger State Agricultural Development Project (NSADP) in 2001 reported that rural radio
agricultural programmes have the fastest and successful avenue of disseminating new technologies to rural
farmers. Not only do farmers seek and find information in radio but such media behaviour has been
associated with increases in farmer’s knowledge of improved agricultural practices.
Obinne (1994) however reported that extension agents have not awarded credit to the use of radio to
disseminate agricultural innovations due to a number of limitations such as broadcasting time, lack of radio
set due to high cost and that radio programmes may not give enough details about extension activities. It is
also reported that newspapers were used to attract farmers to read the leaflet containing agricultural
messages because of the different coloured pictures and simple bolded letters.
In a related development, Olowu (1993) reported that newspapers can be read and re-read at convenience,
thus allowing further and better understanding of the message content.
It is in recognition of the vital role played by mass media in agricultural communication that this study
attempts to:
i) determine the socio-economic characteristics of the respondents in the study area.
ii) describe the perception of the farmers towards the use of mass media.
iii) identify the most preferred mass media source by the respondents.
iv) ascertain the relationship between farmers acquired knowledge and various agricultural
practices.
48
METHODOLOGY
The study was conducted in Dekina Local Government Area of Kogi State. According to National
Population Census 2006, the Local Government has a total population of about 231, 200 people settled
within the four districts namely Okura, Dekina, Biraidu and Iyale. The inhabitants of this area are
predominantly Igalas with few migrant tribes like Bassa-Komo, Bassa-Nge, Hausas, Yorubas and the
Igbos. Majority of the people are mostly subsistence farmers growing crops such as yams, cassava, maize,
guinea corn, millet, vegetables etc.
Source of Data Collection

The data for this study were primary data collected from the small-scale farmers with the aid of structured
questionnaire.
Sampling Procedure
A stratified random sampling technique was used in selecting thirty (30) small-scale farmers from each of
the four districts bringing it to a total of one-hundred and twenty farmers.
Analytical Technique
i) The perception and attitudinal data of the small-scale farmers towards the application of mass
media were measured using a five-point likert type of scale according to Blum and Nalyor
(1984) and their statements were weighed as
Strongly Agree (SA) =5
Agree (A) =4
Undecided (U) =3
Disagree (D) =2
Strongly Disagree (SD) =1
The average mean score computed as follows:

Average mean score = Total sum of scores
Total number of respondents
While the attitude score of respondents was computed by summing the products of the total respondents
and the weight attached to each.
ii) Pearson correlation coefficient was used to find the relationship between farmers acquired
knowledge and various agricultural practices.
ii) Descriptive statistics such as frequency and percentages were used to analyze the socio-
economic characteristics of respondents.

The socio-economic characteristics of respondents are presented in Table 1. Most of the respondents
(59.2%) were males. Primary school education was the highest qualification of the farmers representing
37.5% and this was followed by those with secondary school education representing 20.8%. This low
literacy level may affect the rate of adoption because they have limited sources of information. Majority
(50.8%) of the farmers were between 31 – 45 years of age, with an average mean age of 25 years. This is an
economically active age bracket that is favourable for the quest for agricultural information from various
mass media sources. Most of the respondents (50%) were married with 60% of them involved in farming
on full time basis.
Table 2 shows the results of the five point likert scale which represents the perception of farmers towards
the various sources of mass media. The result revealed that most of the farmers had access to at least one
source of mass media which was represented by the highest mean value of 3.66. This various sources of
mass media which the farmers had access to have influenced them in adopting new technologies and this
49
accounts for a mean value of 3.42. This finding agrees with Arokoyo (1996), who reported that television
viewing centers were used to improve farmer’s performance on the various crop techniques. However,
majority of the farmers had other sources of information and did not depend only on the mass media
sources and this account for its low mean value of 1.88.
Table 3 presents the preference of the farmers for the different sources of mass media. The Table revealed
that 45% of the farmers prefer radio agricultural programmes to newspapers and television agricultural
news, 30% prefer television news to the other two sources and 25% prefer newspaper information to
television or radio news. The high patronage of radio respondents is due to its wide coverage within
communities at a relatively low cost. This study agrees with Agada (2003) that said that agricultural
programmes on radio have helped to change the lives of most farmers in agricultural technological
advancement. The least preferred media source is newspaper information and this may be due to the low
literacy level among the farmers.
Table 4 revealed that all the variables except number of respondents with tertiary education had a positive
correlation with the choice of mass media. Number of respondents that were uneducated had the highest
correlation of 0.744 with choice of media and was significant at 5% level of probability. The correlation
result implies that the uneducated respondents to a very significant level (74.4%) vary in their choice of the
method of mass media to patronize. The knowledge acquired on animal production had the next highest
correlation value of 0.556 and was significant at the 5% level of probability. The number of respondents
with tertiary education had the least correlation of -0.253 and was not significant. This implies there was no
relationship between choice of mass media sources and number of respondents with tertiary education. This
is in line with a prior expectation as the respondents with tertiary education are expected to be compatible
with any source of mass media used in communication. They therefore don’t have to bother about
expressing choice for one source over another.

Results of the study revealed that most farmers in the rural areas have developed positive attitudes towards
the use of mass media in obtaining agricultural information as a result of its enlightment and awareness
efforts. However, rural farmers have not utilized this advantage to its fullest due to wrong timing of their
agricultural programmes, low level of literacy of the farmers and irregular nature of broadcast.
Some farmers had developed negative attitudes towards the use of mass media since there were other
sources they could obtain agricultural information. Lack of electricity supply, low income and low literacy
level has been identified as major constraints to maximum utilization of agricultural messages. Thus mass
education, use of radio, television and newspapers should be complemented with other sources of
information for effective agricultural information dissemination as suggested by Khan (1987).
Based on the conclusion, the following recommendations are made;

1) Government and private organizations should sponsor agricultural programmes with emphasis
on the use of local languages.
2) Local media stations should be established in local areas to create the needed education and
awareness among the rural farmers.
3) Agricultural programmes should be broadcasted at the time most suitable for farmers
especially between 4 – 6pm when most farmers must have returned from the farm.
4) Rural farmers should be involved in planning agricultural information occasionally for
effective feedback mechanism.
REFERENCES
Agada, S. (2003): The Role of Mass Media to Educate Farmers in the Eastern part of Kogi State.
Unpublished Undergraduate Project of Department of Mass Communication Kogi State University,
50
Anyigba.
Arokoyo, J. (1996): Towards Enhanced Agricultural Extension Communication in Agricultural Extension

in Africa. Proceedings of an International Workshop in Yaounde, Cameroon. Vol.II. Pp 339 – 340.
Khan, A.D. (987): The Journalist Handbook, Vikas Publishing Housel, New Delhi. Pp. 130 – 131.
Lai, O. and A, Lanre (1990): Communication and Rural Development in Nigeria, Millenium Investment
Ltd. Abeokuta, Ogun State, Nigeria. Pp. 14 – 15.
Nwachukwu, I. and I.A. Akinbode (1989): “The Use of Television in Disseminating Agricultural
Technology: A Case Study of Selected Communities in Oyo State, Nigeria”, Rural Development in
Nigeria. Vol. 3 No. 2 Pp 111 – 115.
Niger State Agricultural Development Project (2001): Report on Unified Extension Services Activities
Presented at OFAR/Extension Workshop Held at National Research Institute, Niger State.
Obinne, C.P.O. (1994): Fundamental of Agricultural Extension: A. B. C. Publishers Limited, Enugu. Pp. 75
– 77.
Olowu, T.A. (1993): The Nigeria Journalist Attitude Towards Coverage of Rural Development News in the
Nigeria Journal Extension and Development. End-time Ltd, Ibadan. Pp. 39 – 43.
Blum, M.L, and J.C Naylor (1984). Industrial Psychology: Its Theoretical and Social Foundation, CBS
Publishers and Distributors. Pp 296 – 297.

Adejoh, S.O,
E-mail: kebitex@yahoo.co.uk
51
RAINFALL EFFECTS ON WATER USE AND YIELD OF COCOA IN NIGERIA.
Omonona B. T and Akintunde O.K

Department of Agricultural Economics, University of Ibadan, Ibadan, Nigeria.
ABSTRACT
Weather hazards pose considerable danger to cash crops production, farmers suffers
major loses in income due to the poor yield associated with the weather problems.
This study examined the effects of rainfall on water use and yield of cocoa in Nigeria
and other variables such as producer prices, exchange rate and level of national
income (GDP). The effect of total rainfall, producer prices, exchange rate and GDP
on the yields of Cocoa was estimated for the period 1970-2003 in Nigeria. The
methods of analysis employed in the study were mainly error-correction model
(ECM) within the context of co-integration theory. Also, results showed that all the
variables are not stationary at their levels and thus, a need for differencing once to
attain stationarity. Statistical significance of the error-correction terms for the yield
validates the existence of an equilibrium relationship among the variables in each of
these co-integrating vectors. However, rainfall, producer price, and GDP were the
most significant factors influencing the yield of cocoa. Efforts to boost the production
of cocoa will need to incorporate policy measures to improve producer prices, address
the problem of global warming and create enabling environment for local industries
and income redistribution for all and sundry that would increased country’s GDP.
KEYWORDS: Cocoa, Rainfall, Nigeria, cointegration and error correction

mechanism.
INTRODUCTION
Agricultural production makes use of natural and man-made resources. Natural resources include land,
water, air and soil conditions, while man-made resources are supplied and influenced by man. They include
labour, capital management or entrepreneurs. Among the natural resources, Climate is the predominant
factor. Climate means the habitual state and behaviour that covers the atmospheric condition of location at
a particular time. Weather is often associated with annual yields conditions whereas climate is associated
with the type and geographical extent of crops that can be grown. According to Wittier (1995), “Climate
and weather can be proclaimed as the most important determining factors for both plant growth and crop
productivity.” Climate change is casting a cloud of uncertainty over the future of agriculture, the mainstay
of the African economy (Obasi, 1997).
The climate of Nigeria strides from a very wet coastal area with annual rainfall greater than 3500mm to the
Sahel region in the north-western and north- eastern parts with annual rainfall less than 600mm. The inter-
annual variability of rainfall, particularly in the northern parts is largely, often result in climate hazards,
especially floods and droughts with their devastating effects on food production and associated calamities
and sufferings. More often than not certain parts of Nigeria receive less than 75 per cent of their annual
rainfall and this is particularly worrisome in Northern part of Nigeria.
Weather and climate influence most of the processes involved in crop production for example: solar
radiation produces energy for warming the soil, plants and for metabolic processes, rainfall and its
characteristics in terms of amount of intensity, reliability and distribution influence crop growth and soil
erosion. Atmospheric evaporation determines the performance and survival of crops. Planting and dates are
determines by the start of rains. Rainfall determines the vegetation cover of a particular geological zone
and crop distribution. The heavy rainfall makes the growing of tree crops like cocoa, rubber, oil palm
possible in the rainforest. In the northern region, the crops grown are mainly those which required light
rainfall such as rice, millet, cotton and grasses for livestock. Tropical crops grow best in temperatures
52
Omonona B. T and Akintunde O.K: Continental J. Agricultural Economics 3: 52 - 60, 2009
between 180–320C. The general high temperatures in Nigeria are favorable to plant growth. Sunlight is
important in that it provides the energy required for the photosynthetic activities of the plant. Sunshine
hours induce certain physiological processes within the plant for example flowering and ripening. The
importance of moisture to crop growth and development can be summarized in terms of the general
functions as a major constituent of the living cell itself. Between 85-95% of the weight of most plant tissue
is water. Secondly, water serves as a universal solvent, which allows critical biochemical reactions to take
place within the plant. Lastly, moisture (water) serves as the solvent through which essential nutrients are
carried through the plant and as an important ingredient of photosynthetic actions and reactions.
Risks can be classified as business and financial risks. Business risks are those associated with farming
which are independent of the farmer’s financial circumstances. Financial risks are the additional risks faced
by a farmer who has less than total equity in the farm operations. Availability of loan funds and the costs
of credit are some examples of additional financial risk. Business risks for the farm operator can be
classified according to their sources; natural risks arise from the uncertainties in the biological, physical,
and climatic processes of cash crops production, economic risks associated with price and income,
technological risks associated with equipment obsolescence, social risks associated with the deviation of
the behaviour of man from the norm and political risks associated with the institutional changes and
government (David, 1990). However, the most important risk in cash crops production is the natural risks
associated with weather. The shocks as a result of weather variations cause a significant welfare loss of
cash crops farmers. Drought, floods, delayed on-set and cessation of rainfall, poor distribution and rain
effectiveness, and other inadequacies in rainfall characteristics can result in substantial loses in yield and
post harvest loses.
Vulnerability is a shock causing a significant welfare loss, which depends on an exposure to risks. There
may be a shock and no vulnerability if there is adequate risk management. Chronic poor could be seen as
the very vulnerable, temporary poor as the vulnerable, and the non-poor as non-vulnerable. The poor
farmers are the most vulnerable as shocks have strongest welfare consequences. The high vulnerability
makes them risk averse and thus unable or unwilling to engage in higher risk or high return activities. A
reduction in vulnerability for farmers is therefore both an end and a means of development (Okunmadewa,
2003). Deviations from the usual narrow range of climatic conditions regarding water, light and
temperature will lead to sub-optimal performance of the crops and consequently loses in the yield. Flooding
from heavy downpour beyond the water retention capacity of the soil may lead to severe damage to the
cash crops plantation from erosion, leaching, and land slides. Lightning and thunder associated with heavy
rainfall can wreck havoc to the plantations
This study seeks to find out the effect of rainfall and water use on cocoa production in Nigeria. In
subsequent sections are presented conceptual framework, methodology, results and discussions, summary
and conclusion.
CONCEPTUAL FRAMEWORK
There are broadly speaking, three ways of establishing whether climate-agriculture relationship are
significant (Olaniyan 1981).The first study is the study of the fundamentals of plant-climate relationships,
namely, the radiation and moisture balance for various crops in various climatic environments. The climatic
control of maize growth in Samaru, Nigeria, was investigated using this approach by Kassam and
Kowal (1973).
The second method of determining climate-agriculture relationships is by studying agricultural data and
climatic data for a number of places within a given area, for as long a period as consistent records of both
agriculture and climate allow, and deducing agroclimatological relationship from analysis of the data. Thus,
Adejuwon (1962) correlated annual cocoa production with total rainfall for Western Nigeria for the period
1937-51 while Lyall (1980) correlated barley yield at East Midlands and Scotland separately with different
climatic variables.
53
The third method is that of studying plant-climate relationships under controlled environments. For
example, Babalola (1972) varied the soil moisture regime inside a green house with relative humidity
averaging 80 per cent and air temperature of 260C to study the effect of different soil moisture status on the
root and aerial development of young plants of cocoa, kola and coffee.
The second method, which is based on the analysis of agricultural, and climate data was employed in this
study. The empirical reviewed have taken several forms but these could be grouped into two categories.
The first category used the regression and correlation analysis between the crop yield and agro climatic
variables. A second approach involves the use of Error Correction Model (ECM) in the analysis of
agricultural exports.
Akintola (1983), studying the effects of agro climatic factors on some selected food crops such as cowpea,
yam, rice and maize in Ibadan. Following his correlation and regression analysis, the responsiveness of
each crop yield to specific agro climatic variables (rainfall, temperature, sunshine and humidity) was
determined. Based on his findings, it was known that rainfall has statistically significant effect on yields of
rice, cowpea and yam. Also it was seen from the study that agro climatic variables such as temperature,
and sunshine also had effects on the yields of crops. Adubi (1986), using methods similar to those used by
Akintola, found out that rainfall, rainy days and technology have positive effects on the yield of groundnut
and cowpea and accounted for 56% and 52% variations in total yields respectively in Oyo State. Total
rainfall was said to have a negative effect on yield of yam in all of Oyo, Ogun, Ondo and Bendel States of
Nigeria; and also on the yields of cowpea particularly in the last growing month. Aniedu (1987), studying
the effects of agro climatic factors on food crops yield in the Eastern ecological agricultural zone of Nigeria
(using cassava, yam, maize and rice as study crops) found out that rainfall also had negative effect on
cassava in Anambra and Rivers states but a positive effect in Cross Rivers state. Total rainfall, total number
of rain days and technological trend were found to have accounted for 34% variation in cassava yield, 59%
in yam yield in Rivers State. These studies are relevant to the present study as the effect of agro climatic
factors on the yields of crop was established and other factor such as technology was seen to have positive
effect on the yield of crops. In the light of this, the present study also considers other variables (producer
prices, exchange rate and Gross Domestic product), which also have effect on the crop yields.
In recent times, studies using co integration and error correction approach as method of analysis have
grown in the literature. This is attributed to a number of statistically attractive properties it possesses
especially when modeling with non-stationary data (Adam 1992). Okoruwa et al (2003) examined the
determinants of traditional agricultural exports in Nigeria using co integration and error correction
approach. The results of the work showed that agricultural commodity exports to the selected countries
were influenced by the domestic output, population growth, quantity supplied by competing countries,
index of industrial production of importing countries, and time trend. However, the domestic output and
population growth rate were the most significant factors influencing agricultural exports in the importing
countries. Tijani et al (1999) employed co integration and error correction model to estimate export supply
function in Nigeria using time series data that span more than three quarters of the 20th century. The results
indicate that weather effect is stationary while producer price and hectare planted to cocoa have a long run
equilibrium relationship with cocoa export. This findings is significant to the present study as the results
established it that producer price has a long run equilibrium relationship with the cocoa export.
METHODOLOGY
This section presents the methodological framework adopted for the study. The subsequent subsections
deal with the scope of data collected, nature and sources of data, analytical procedures
Scope, Sources and Nature of Data

The empirical analysis covers the period between 1970 and 2003. Secondary data used for the analysis
were obtained from Federal Meteorological Services Publications (various issues), Central Bank of Nigeria
(CBN) publications, such as Annual Reports and Statements of Accounts, and the Statistical Bulletin
54
(various issues). Other sources were Federal Office of Statistics (FOS) Annual Abstract of Statistics
(various issues), International Financial Statistics Year Book (IFS) (2000; 2001) and Annual Reports of the
Federal Ministry of Agriculture (various issues).
Secondary data collected include the average yield of cocoa sourced from Annual Reports of the Federal
Ministry of Agriculture; Statistical Bulletin and Federal Office of Statistics (FOS) Annual Abstracts of
Statistics. Total rainfall data were collected from Federal Meteorological Services Publications. Similarly
data on exchange rate; produce prices and Gross Domestics Product (GDP) were also collected over the
period from Central Bank of Nigeria (CBN) Publications; Statistical Bulletin and International Financial
Statistics Year Book.
Analytical Techniques
Several analytical tools were employed to analyze the data. These include, Dickey – Fuller (DF) test and
Augmented
Dickey –Fuller (ADF) statistics, Co integration and Error Correction Models (ECM).
Augmented Dickey – Fuller (ADF) Tests

The test for the stationary or order of the integration of the data series and testing for co integration were
carried out using Augmented Dickey –Fuller (ADF) tests. ADF test was used because it captures additional
dynamic left out by the DF and ensures that the error term is white noise through the inclusion of additional
lag length. The test procedure is given by:
(1) ∆Xt = αo + α1Xt-1 +∑bi∆Xt-1 + et
The decision rule is that the t-statistics on the coefficient of the variable α1, which is expected to be
negative, must be significantly different from the critical values for a given sample size, if the null
hypothesis is that variable of interest is non-stationary (i.e. it is integral of order one I (1)).
Co integration Tests
After the order of integration of the variables in the model has been ascertained, the next stage is to test co
integration. Co integration is a test of stationary of the residuals generated from running a static regression
in levels of one or more of the regressor available on the dependent variable.
A two-step procedure of Engle-Granger test was applied to test for the existence of co integration between
the yield and independent variables. According to Engle and Granger (1987), detecting co integration
between two economic variables Xt and Yt begins with applying the DF or other unit root tests individually
to the variables.
Then the residual

(2) Ut = Yt – KXt – C from the regression
(3) Yt = KXt + C + Ut (C = Constant) is examined to see if
it is I (0)
Error Correction Model (ECM)

Error Correction Model (ECM) is an attempt to integrate economic theory useful in characterizing a long-
term equilibrium with an observed disequilibrium by building a model that explicitly incorporates
behaviour that would restore the equilibrium. The use of the ECM is facilitated when variable are first-
differenced stationary and co integrated. The reason for stationarity is to ascertain the order of integration
and if not present the number of times a variable has to be differential to make it stationary.
55
Since the estimation methods such as “least squares” can be applied to time series data only when all the
data series are stationary, then the first difference forms should be used if non-stationary variables are to be
included in a regression exercise. For example, for a random walk on non-stationary.
Variable Xt,
(4) Xt = Xt-1 + et etN(0,s2)

the first difference of Xt can be written as
Xt = et, which is by definition a stationary process.
Co integration or ECM is accepted when the residuals from the linear combination of the non-stationary
series I (1) are themselves stationary. The acceptance of the ECM indicates that the model is best specified
in the first difference of the variables. The ECM framework is essence guarantees the non-loss information
from long-term relationships in the first differences.
The ECM is then used to analyze the impulse response of crop yield to a stimulus in the explanatory
variables in a dynamic setting. The estimated equation for cocoa as an example is given as follows:
(5) a(L)∆CYDt = ao + a1(L)∆CEXt + +a2(L)∆CRPt+ a3(L)∆CRPt-1+ a4(L)∆CRNt + a5(L)∆GDPt +

a6(L)∆GDPt-1 – a7ECMt-1+ Ut
Where:
CYDt = Yield of Cocoa in time t (‘000) tonnes
CEXt = Official exchange rate in time t.
CRNt = Rainfall in time t.
CRPt = Average producer price in time t.
CRPt-1 = Average producer price of the previous year.
GDPt = Gross Domestic Product in time t.
GDPt-1 = Gross Domestic Product of the previous year.
ECM (-1) = the error Correction Factor.
Ut = Stochastic Error term assumed to be independently and normally distributed with zero mean and
constant variance.
In terms of a priori expectation, rainfall, exchange rate, GDP and producer price are expected to have
positive relationship with the yield. While ECM (-1) is expected to have negative signs. The coefficient of
the ECM when it is statistically significant gives credence to the existence of co integration.

The results and discussion start with the presentation of stationarity test of the variables used for estimation.
Following this is a sub-section on the co integration tests and Error Correction Model (ECM) analysis.
Stationary Tests of the Variables used

The order of integration using ADF classes of unit root tests is presented in table 1. In general, the table
reveals that all variables are not stationary at their level but become stationary at their level of first
difference. For all the variables in level form, the ADF statistics are above the critical values of –2.9750
and –3.5867 for level without trend and level with trend respectively. Thus, the variables are non-
stationary in their level form. In the first difference form, however, we can reject the null hypothesis for all
variables and this indicates that the variables
are (1).
56
Table 1: Test for Order of Integration using ADF Tests for Cocoa Yield
Variable Level without Level with trend First difference First difference
trend without trend with trend
LnCEX .72640 1.9317 -3.1778 -4.2832
LnCRN -2.5414 -2.7484 -3.0980 -4.0706
LnCRP -1.3219 -2.5350 -3.5287 -4.2279
LnGDP -.26338 -2.0385 -3.3259 -4.2232
Crtical values 95% -2.9750 -3.5867 -2.9798 -3.5943
Source: Extracted from Regression result
Co-integration Tests for Cocoa Yield.

The null hypothesis is that the number of co-integrating vectors is less than or equal to r, where r is o, 1, 2,
3, 4, 5, 6, 7, 8 or 9. According to the results in Table 2, we can reject the null hypothesis of zero co-
integrating vectors at the 95-pecent levels. The trace test statistics for r = 4 is 37.9295 which is greater than
the critical value. This means that there exist at most five co-integrating vectors.
Table 2: Test for the number of co-integrating vectors for Cocoa Yield.
Ho Ha Test Statistic 95% critical value
r=0 r =1 89.3513 61.2700
r≤ 1 r=2 83.7921 55.1400
r ≤2 r=3 55.7109 49.3200
r ≤3 r=4 44.1568 43.6100
r ≤4 r=5 37.9295 37.8600
r≤ 5 r=6 30.0136 31.7900
r ≤6 r=7 14.7085 25.4200
r ≤7 r=8 8.9784 19.2200
r≤ 8 r=9 5.9289 12.3900
Source: Extracted from computer print out.
Error –Correction Model

The results of the ECM in Table 3 shows that the error-correction term has the expected negative sign and
statistically significant. All the regressors are statistically significant which is consistent with the validity
of an equilibrium relationship among the variables. Lagged quantities of GDP and price have a significant
short run dynamic effect on changes in cocoa yield.
Error Correction Model Analysis

The results of the first step of the model are presented in table 4
The coefficient of rainfall, exchange rate, producer price and GDP are found to be positive for cocoa yield.
It is expected that increased in the level of this variables would lead to an increase in the yield of cocoa.
In Table 4, the coefficient of determination (R2) of cocoa is 0.5634, thus the independent variables explain
56.3 % of the variations in the dependent variable. Producer price X2 was significant at 1% while lagged
producer price X2(-1) was significant at 10%. The Error Correction Term, ECM was significant at 1% for
the yield. A feedback of 64% was achieved. This confirms that there is a relationship between the yield and
producer price, lagged producer price, Gross Domestic Product and exchange rate.
The results revealed that of all the dependent variables considered were the most significant factors
influencing the yield of cocoa.
57
Table 3: ECM Results of cocoa

````````
Regressor Dependent Variable Cocoa (∆LnCYD)
Coefficient Std. Error t-statistic
Constant -0.028281 0.043283 -0.653402
∆Ln(CEX) -0.115552 0.124320 -0.929471
∆Ln(CRN) 0.159185 0.212257 0.749961
∆Ln(CRP) 0.212499 0.102447 2.074226
∆Ln(CRP ) –1 0.106311 0.096289 1.104087
∆Ln(GDP) 0.740497 0.580700 1.275180
∆Ln(GDP) -1 0.674015 0.459533 1.466740
Ecm –1 -0.662331 0.182375 -0.653402
R2 0.693040 - -
Adjusted R2 0.499171 - -
S.E of regression 0.187925 - -
Sum of squared resid 0.671001 - -
Log likelihood 16.42950 - -
Durbin _Watson Stat 1.892262 - -
Mean dependent var -0.008788 - -
S.D dependent var 0.265546 - -
Akaike info criterion -0.214344 - -
Schwarz criterion 0.381112 - -
F-Statistic 3.574778 - -
Prob (F-Statistic)__ 0.006581 -___ -
Source: Extracted from computer print out of ECM analysis of cocoa.
Table 4: Restricted parameter estimate for cocoa

Crop Constant X2 X3 X3(-1) X4 ECM-1 R2 F DW SC
term
Cocoa -0.04 1.39 0.23 0.16 1.11 0.64 0.5634 6.71+ 2.53 -0.02
(-1.06) (2.01)** (2.89)* (1.98)*** (2.03)** (-3.99)*
The values in parenthesis are t values
* t values significant at 1%, ** t values significant at 5%, *** t values significant at 10%, +F values
significant at 1%, D.W.= Durbin-Watson statistic, Sc= Schwartz information criterion, R 2= R-squared
Source: Extracted from computer print out.
Policy implications and conclusion

Based on the findings of the study; some important policies for increasing the yield of the crop studied
emerged. Rainfall, producer prices, lagged producer prices, exchange rate and GDP were all the important
factors that influence the yield of the cocoa. Emerging from this is to formulate adequate global
environmental management policy to address the problem of climate change due to global warming.
Government should establish an agricultural data base center where all information relating to agriculture
can be obtained easily when necessary. This will go a a long way to solve the problem of non-available
agricultural data and that of inconsistencies in the available ones of which have hampered planning in
Nigeria over-time.
Equally there is a need to formulate a policy that would increase the producer prices of cocoa so as to
encourage increased in cultivation of cocoa farms, as farmer would be motivated to develop new hectarage
for cocoa cultivation and have more money to procure farm inputs such as chemicals. Emerging from the
58
study is the fact that GDP was one of the key factors that influence the cocoa yield. GDP is partly an
element of national income of country. Therefore, in order to boost the production of cocoa there is a need
for government to formulate a broad policy that would create enabling environment to produce goods and
increased the capacity building of industries especially agro-allied industries that make use of cocoa. Also,
there is a need for government to formulate exchange rate policy that would boost agricultural production.
Agricultural industry can only be developed if people are better off to demand products from agro-allied
industry such as food and drinks industries that produce beverages, milk and others. This can only be done
if government can address the problem of income redistribution that would pay all and sundry in the
society.
.
REFERENCES
Adam, C.S. (1992): “Recent Development in Econometric Methods: An application to the demand for
money in Kenya”. African Economic Research Consortium, AERC Special Paper 15, pp 1-52.
Adejuwon, J.O. (1962): “Crop- climate relationship: the example of Cocoa in Western Nigeria.” Nigerian
Geography Journal, vol.5 pp 21-31.
Adubi, A.A. (1986): A statistical Analysis of Yield Response of Food crops to Agro climatic Factors and
Technological Changes in Western Ecological Zone of Nigeria. An un published M.Sc dissertation,
Department of Agricultural Economics, University of Ibadan, Ibadan.
Akintola, J.O. (1983): An analysis of the Effects of Agroclimatic Factors on Food Crops Yields in Ibadan
area of Oyo State. An unpublished PhD Thesis, Department of Agricultural Economics, University of
Ibadan, Ibadan.
Aniedu, O.C. (1987): The Effects of Agroclimatic Factors on Food Crops Production in the Eastern
Agricultural zone of Nigeria. An unpublished M.Sc dissertation, Department of Agricultural Economics,
University of Ibadan, Ibadan.
Babalola,O. (1972): “A preliminary investigation into water relations of Cocoa, Coffee and Kola”. Nigerian
Agricultural Journal, vol.9 pp 78-82.
CBN Annual Reports and Statement of Account various issues.
CBN Statistical Bulletin, various issues.
David, T.J. (1990): “The Business of Farming”. A guide to Farm Business Management in Tropics.
Macmillan Educational Ltd., Second Edition, London pp 1-37.
Engle, R.F and C.W Granger (1987): Co integration and error correction: Representation estimation and
testing Econometrical 55(2).
Federal Ministry of Agriculture Annual Reports various issues.
FOS Annual Abstracts of Statistics various issues.
IMF, (2000): International Financial Statistics Year Book.
IMF, (2001): International Financial Statistics Year Book.
Kassam, A.H. and Kowal, J.M. (1973): “Water Use, Energy Balance and Growth of Geromillet at Samaru,
59
Northern Nigeria”. Agricultural Meteorology, vol. 15, No 3, pp 333-342.
Lyall, I.T. (1980): “The growth of barley and the effect of climate.” Weather,vol. 35 pp 271-276.
Obasi, J. (1997): “Implications of Climate Change, Global Warming and Environmental Degradation in
Africa.” Proceedings of the International Conference of the Nigerian Meteorological Society. Vol.1 pp 6-7.
Okoruwa, V.O.,Ogundare G.O. and Yusuf S.A. (2003): (Determinants of Traditional Agricultural Exports
in Nigeria: An application of co-integration and correction model”. Quarterly Journal of International
Agriculture vol. 42 No.4 pp 427-438.
Olaniyan, O. J. (1981): “Research in Agroclimatology in Nigeria”. Journal of Agric. Research(Pakistan)

vol. 19 pp 15-29.
Okunmadewa, F.Y. (2003): “Risk, Vulnerability in Agriculture: Concept and Context”. Paper presented at
the Department Seminar, Department of Agricultural Economics, Faculty of Agriculture and Forestry,
University of Ibadan, November 4, 2003.
Tijani, A.A., Ajetomobi, J.O. and Ajobo, O. (1999): “A Co integration Analysis of Nigeria Cocoa Export
Supply”. Journal of Rural Economics and Development. Vol. 13 No1 pp 45-56.
Wittier, S.H. (1995): Food, Climate and Carbon dioxide. The Global Environment and World Food
Production, Amsterdam North, Holland Publishing Company.

Akintunde O.K
Department of Agricultural Economics, University of Ibadan, Ibadan, Nigeria.
60
ANALYSIS OF GENDER ACCESSIBILITY OF CREDIT BY SMALLHOLDER CASSAVA FARMERS

IN AFIKPO-NORTH LOCAL GOVERNMENT AREA OF EBONYI STATE, NIGERIA
Odoh, N. E., Nwibo, S. U and Odom, C. N.

Department of Agricultural Economics, Management and Extension, Ebonyi State University, P.M.B.053,
Abakaliki.
ABSTRACT
The study assessed the gender accessibility of credit by smallholder cassava farmers
in Afikpo North Local Government Area (L.G.A.) of Ebonyi State, Nigeria. A
multistage random sampling technique was employed to select 120 smallholder
cassava farmers used as sample size. Data were collected using questionnaires and
interview schedule. Data collected were analysed using both descriptive statistics and
ordinary least square regression analysis. From the analysis, it was observed that
explanatory variables as gender, age and marital status were statistically significant at
5% and 10% as having strong effect on the amount of loan obtained by the
smallholder cassava farmers. The goodness of fit was justified by the coefficient of
determination R2 which stood at 48%. It was equally observed that most of farmers
(male 35% and female 25%) accessed credit through informal means (Cooperative
Societies/Isusu). Again, male farmers have been noted to have higher access to credit
than female farmers due to their ability to present collateral. Furthermore, the study
revealed that lack of collateral, high interest rate, delay in accessing credit, and
inability of the farmers to get sureties for the loan are the most constraining factors in
accessing credit by the smallholder cassava farmers. Based on the finding, the study
recommended for proper education of the farmers on the need to access credit through
Micro-Finance Banks and Nigerian Agricultural, Cooperative and Rural Development
Bank (NACRDB) where credit can be obtained at a low interest rate. Again, farmers
should form cooperative societies as an easier way of accessing agricultural credits.
KEYWORDS: gender, farmers, access, credit, interest rate, Ebonyi State.
INTRODUCTION
The word “gender” could be said to be an ideology that justifies the allocation of duties on the analysis of
social relation and being marked by the economic determinism with all household processes being judged
in terms of what they contribute to the development processes. It has often been misunderstood as being
about the promotion of women only. However, Bhattacharya and Thansi (1995) opined that gender focuses
on the relationship between men and women, their roles, access to and control over resources, division of
labour and needs. Boserup (1970), described gender as a set of characteristics, roles and behavioural
patterns which distinguishes women from men, which is not biologically constructed but socially and
culturally. To this effect, Okorodudu (2000) opined that certain task activities are regarded as “male” or
“female”, and in some settings, a rigid division of labour exists between men and women.
In agricultural production, women are more constrained than their male counterparts as a result of which
most women have less access to and higher effective costs for information technology, inputs and credit
(Shultz, 2007). Adesina and Djato (1997) buttressed that gender inequalities reduce productivity in farm
and enterprises. These lead to inefficiencies that arise from excluding women from access to productive
resources, public services, and employment. Productive resource such as agricultural credit is very vital for
efficient production. Agricultural credit is needed by both male and female farmers to enable them cope
with the risk and uncertainty situations of farming business (Nweke, 2001). It is the first essential factor in
agricultural production and with it, farmers can secure farm inputs, equipments and hire additional labour.
61
Odoh, N. E et al: Continental J. Agricultural Economics 3: 61 - 66, 2009
Thus, agricultural credit refers to an undertaking by individual farmers or farm operator to borrow capital
from intermediaries for the farm operations.
The socioeconomic characteristics of both male and female farmers have been noted to have significant
effect on gender access to credit. Again, certain acceptable traditional and cultural norms of the society
have been noted to serve as constraints to gender access to credit (Doss, 1999). He further opined that,
access to credit may be limited by the perception that agriculture is characterised by risks and uncertainties.
Meanwhile, most micro-credit institutions due to gender bias especially against the female farmers in
accessing credit had the promotion of female welfare as the basis for their establishment. Thus, about
97.4% of the clients in the year 2001 were females (CBN, 2004).
In a bid to alleviate the problem associated with credit acquisition by farmers, the Federal Government of
Nigeria established Nigerian Agricultural Co-operative and Rural Development Bank (NACRDB).
Meanwhile, despite the establishment of the Bank and other financial institutions across the States of
Nigeria, there seems to exist, a wide disparity to credit access by both genders in Afikpo North L.G.A. of
Ebonyi State. In view of these problems, the study seeks to analyse gender accessibility of credit by
smallholder cassava farmers in the area. Specifically, the objectives are, to; describe the socioeconomic
characteristics of the smallholder cassava farmers in the area; identify the various sources of credit
available to smallholder farmers in the area; determine the effect of the socioeconomic characteristics of the
smallholder cassava farmers on the amount of credit obtained; categorise the smallholder cassava farmers
based on their access to credit, and analyse the constraints to accessing credit by smallholder cassava
farmers in the area. Based on the objectives, a null hypothesis which states that the socioeconomic
characteristics of the smallholder farmers have no significant effect on the amount of credit obtained was
tested.
METHODOLOGY
A multi-stage random sampling technique was employed to select a total of one hundred and twenty (120)
smallholder cassava farmers used as sample size. Data for the study were obtained using questionnaires
and interview schedule. Data generated, were analysed using descriptive and inferential statistics.
Specifically, descriptive statistics such as tables, percentages, means, etc were used to analyse objectives
(i), (ii), and (iv). Ordinary Least Regression analysis was used to analyse objective (iii). Objective (v) was
analysed using mean score. The null hypothesis was tested using F-test at 5% and 10% levels of
significance.
The regression model used is stated explicitly as:
Y = b0 +b1X1 + b2X2 + b3X3 + b4X4 + b5X5 + b6X6 +b7X7 + Ut
Where;
Y = credit obtained
b0 - b9 = regression coefficients
X1= gender
X2 = age
X3 = marital status
X4 = farm size
X5 = household size
X6 = educational level
X7 = annual income

The analysis of the socioeconomic characteristics of smallholder cassava farmers (Table 1) shows that
greater number of the farmers were males (57%). Again, the mean age range of the farmers was between
62
40-50 years representing 39.2% of the total sample size. This justifies the finding of Rathman, et al (2002)
who deduced that the age bracket is the economically active age and as such will respond positively to any
intervention aimed at improving their productive capacity.
The size of a farm determines the access to the amount of credit, and output obtained. Ceteris paribus.
The result shows that a total of 70% of which 41.7% were males and 18% females cultivate a hectare of
land. This implies that males have greater access to land than the female cassava farmers. About 58% of
the respondents had a household size of greater than 8, thus implying that majority of the smallholder
cassava farmers were having large families. This then justifies Ojemade, Edeh, and Onemolease (2008)
who opined that agricultural production activities are labour intensive and large households can provide
family labour at least cost.
The analysis on sources of credit to the smallholder cassava farmers in Afikpo North L.G.A. (Table 2)
revealed that co-operative societies, rotator contributory fund often called Isusu in Ibo language and
private money lenders were the major source of credit to smallholder cassava farmers. This was evident
from 51.5% and 48.1% of males and females respectively that sourced credit from the cooperatives and
Isusu groups. In the same way, 27.9% and 25% of males and females respectively sourced credit form
money lenders. This findings agrees with the observations of Vakulahbranam and Motriam (2007) that the
core of conventional bankers found it difficult to provide credit or other financial services to smallholder
farmers or small enterprises due to lack of collateral. Generally, the most accessible source of credit known
to smallholder farmers is the informal source as it agrees with Nwoye and Ezike (2006), that informal
credit institutions with their organisational structure, universal members’ savings; indigenous credit
associations have the potential to assist in mitigating the negative effects of dearth of rural credit, even if
they cannot entirely overcome them due to low capital base. Furthermore, informal credit associations can
reach many farm families, thus creating a greater impact than could have been possible through most
formal credit institutions which satisfy a comparatively few individuals.
The analysis of the effect of socioeconomic characteristics of the smallholder cassava farmers on the
amount of credit obtained revealed that gender (X1) and age (X2) were positively signed and significant at
10% and 5% respectively. This implies that as farmers’ age increases, the ability to obtain credit will
increase. It further revealed that marital status (X3) was negatively signed but significant at 5% level.
Thus, indicating an inverse relationship to the amount of credit obtained. Meanwhile, the coefficients of
other explanatory variable except that of annual income (X7) were positive but not significant at 1% and
5% level. The coefficient of determination (R2) stood at 0.484 is an evidence for a reasonable fit. Hence,
about 48% of the variations on the dependent variable were explained by the independent variables. The F-
statistics of 8.187 indicates the overall significance of the model at 1% and 5%.
Analysis on the constraints in accessing credit by smallholder farmers (Table 4), showed that lack of
collaterals, high interest rate, delay in accessing credit from financial institutions, and inability to get
surety(ies) for the loan are the most constraining factors to both gender. This observation is in tandem with
CBN (2000) observation that most financial institutions give financial services (loan, credit, insurance
cover, etc) more to male gender because of their collateral base.
CONCLUSION
From the regression analysis, it was observed that gender, age, marital status, and farm size have strong
effect on the amount of credit obtained by the smallholder cassava farmers. Consequently, the coefficient
of determination of 0.484 (R2 = 0.484) expressed the goodness of fit of the regression equation. It was
equally observed that the most readily source of credit for both genders is cooperative societies/isusu.
Despite the availability of sources of credit to both genders, the study revealed that males have more access
to credit than the females. Meanwhile, lack of collateral, high interest rate, delay in accessing credit, and in
63
ability of the farmers to get surety(ies) for the loan are the most constraining factors in accessing credit by
the smallholder cassava farmers.
RECOMMENDATION
Based on the findings, the study recommended for proper education of the farmers on the need to access
credit through micro-finance banks and NACRDB as the institutions have the mandate to give credit to
smallholder farmers at a low interest rate. Again, farmers should be encouraged to form cooperative
societies as an easier way of accessing credit through the aforementioned credit institutions.
REFERENCES
Adesina, A. A. and Djato, K. K. (1997). Relative efficiency of women as farm managers: Profit function
analysis in Cote d’Ivoire. Agricultural Economics 16, 47 – 53.
Bhattacharya, B. and Thansi, R. G. (1995). Gender in Agriculture: An Asian Perspective. Asia Pacific
Journal of Rural Development. 1, 77 - 83.
Boserup, E. (1970). Women’s role in Economic Development. St. Marton’s Press, New York. P. 62.
Central Bank of Nigeria (2000). Statistical Bullion. 2(2), 110.
Central Bank of Nigeria (2004). Draft National Micro-Finance Policy and Regulatory Guidelines for
Nigeria. P.56.
Doss, C. R. (1999). Constraints to Accessibility of Credit by Farmers. St. Lewis Press, California. P. 56.
Nweke, N. O. (2001). Farming in Rural Areas. Satellite Newspapers. Office of Human Resources and
Development. Pp. 25-31.
Nwoye, F. C. and Ezike, K. N. N. (2006). Linking Formal and Informal Sectors in Nigeria: A Forward to
Improved Agricultural Financing in Nigeria. Journal of Information, Communication and Computing
Technologies. 2(2), 144 – 149.
Ojemade, A. C., Edeh, H. O., and Onemolease, E. A. (2008). Socio-economic factors influencing
membership of oil palm farmers’ producers cooperative societies in Ethiope West L.G.A of Delta State,
Nigeria. Proceeding of the 42nd Annual Conference of Agricultural Society of Nigeria. Pp. 741-745.
Okorodudu, C. (2000). Smallholder Farmers in Cassava Production. National Root Crops Research
Institute (NRCRI), Umudike. Pp. 31-33.
Rathman, S. A., Ogungbile, A. O. and Tabo, R. (2002). Factors affecting adoption of ICSV V111 and
ICSV 400 Sorghum varieties in Guinea and Sudan of Nigeria. Journal of Crops Research, Agro-forestry
and Environment. 1(1), 21-35.
Shultz, P. (2007). Role of women in agricultural development. Journal of Development Studies. 2(3),47
– 52.
Vakulahbranam, V. and Motiram, S. (2007). Alternative Futures for Smallholder Agriculture. Mimeo,
Dalhousie University and Queens College. Pp. 23.
64
Table 1: Percentage Distribution of Smallholder Cassava Farmers Based on their Socio-economic

Characteristics
Socio-economic Description Frequency Percentage
Age (years) 21-30 16 13.3
31-40 29 24.2
41-50 47 39.2
51-60 25 20.8
> 60 3 2.5
Gender Male 68 56.7
Female 52 43.3
Marital status Single 20 16.7
married 70 58.3
Separated 5 4.2
Widowed 25 20.8
Farm size < 1hectare 42(20m, 22f) 35.0(16.7m,18.3f)
1 – 1.5 hectares 72 (50m,22f) 60.0(41.7m,18.3)
1.6–2.0 hectares 4(4m, 0f) 3.0(3.0m, 0f)
> 2 hectares 2(2m, 0f) 2.0(2.0m,0f)
Household size <5 14 11.7
6-8 36 30.0
>8 70 58.3
Educ. level No formal edu. 12 10.0
Primary 47 39.2
Secondary 57 47.5
Degree 08 3.3
Annual income(N) < 10000 0 0
11000-50000 13 10.8
51000-100000 95 79.2
> 100000 12 10.0

m = males, f = females
Table 2: Percentage Distribution of Smallholder Cassava Farmers According to Sources of Credit

Credit source Male Female
Freq. percentage Freq. percentage
NACRDB 3 4.4 2 3.8
Micro-Fin. Banks 1 1.5 7 13.5
Comm. Banks 3 4.4 0 0.0
Friends 4 5.9 3 5.8
Relations 3 4.4 2 3.8
Money lenders 19 27.9 13 25
Co-operative/Isusu 35 51.5 25 48.1
Total 68 100 52 100
65
Table 3: Effect of Socioeconomic Characteristics of Smallholder Cassava Farmers on the Amount of Credit Obtained
Variable Regression Standard error t-values Level of
co-efficient of estimates significance
Constant 35269.497 5745.952 6.738 *
Gender 4897.137 2353.587 2.081 **
Age 6288.972 1459.489 4.309 *
Marital status 7259.797 3178.896 2.284 *
Farm size 902.016 904.739 0.997 -
Household 129.979 1292.636 0.101 -

size
Educ. Level 245.694 290.163 0.847 -
Annual 2491.324 225 -

3201.586
income

*significant at 5%, **significant at 10%, R2= 0.484, F-ratio = 8.187, SE= 9808.0040
Table 4: Constraints in Accessing Credit by Smallholder Cassava Farmers

Constraints Males Females
XS (mean scores) XS (mean scores)
Lack of collateral 2.4 3.6*
High interest rate 2.8* 2.9*
Lack of basic education 1.6 2.3
Short duration of loan 1.3 1.8
Delay in accessing credit 2.6* 2.8*
Inability to get sureties 3.0* 2.6*
* accepted as constraining factor based on 2.5 mean score decision rule

Nwibo, S. U.
Department of Agricultural Economics, Management and Extension, Ebonyi State University, P.M.B.053,
Abakaliki.
Email: sunwibo92@yahoo.com
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Continental J.

Agricultural Economics 3: 1 - 15, 2009

ANALYSIS OF SOCIO –ECONOMIC CONSTRAINTS MILITATING AGAINST THE

KEY WORDS: Constraints, Profitability, Potential, Snail farming

Table 1: Socio-economic characteristics of respondents in Cross River State

Female 5 2 3 10 8.33 60 70.71 117.85

Source: Field survey, 2009

Table 3: Profitability analysis of snail produced in Cross River State

Table 5: Multiple Regression Equations for Snail (Archachatina marginata) Production in

Productio Constant X1 X2 X3 X4 X5 R2 AdJ F-

Semi-log -5.754 0.991 0.111* 0.330* -1.440 1.275*

Variables EP AP MPP MVP P AEL Inference

X3 Farm management 0.04 152 6.08 972.8 160 6.08 Under

X4 (Operating costs) 0.08 132.5 1.06 14.84 14 1.06 Under

Source: Field survey, 2009

METHOD OF DATA ANALYSIS

where NR=Net Return on snail produced (naira)

Ri=Return on capital invested in snail (naira)

The functional forms fitted are specified below:

(b) Cobb-Douglas Production Function (double log)

(c) Semi-Log Production Function:

Each resource was measured using the formula:

MPP x Price of snail product= marginal value product (MVP)

RESULTS AND DISCUSSION

CONCLUSION AND RECOMMENDATIONS

Adinya, I.B.Ayuk,E.A.,Akpet, S.O. and Agiopu,B.F.(2008d). “ Determining Costs – Return Analysis in

Awoke, M.U.(2001). “ Econometrics: Theory and Application”,WillyRose and Appleaseed Publishing

Belot, J.,Bornarel,P,DioufM. And Poldernman A.M.(1991). “ Mollusccidal Effects on theLand

FAO/UNESCO (1974). “Soil Map of the World FAO 1994”. Paris .

Koutsoyiannis, A. (1977). “Theory of Econometrics”. Published by Macmillan pp1-667.

Lameed, G.A.(2006). “ Socio-Economic Characteristics of Snail Farmers, Consumers and Sellers in

Matanmi, J.(1986). “Farm Management in Nigeria”. Proceedings of Farm Management Association of

Received for Publication: 24/01/2009

PROFITABILITY AND PRODUCTION FUNCTION OF SMALL SCALE IRRIGATED TOMATO

Ojo M.A, Ibrahim O.A and Mohammed U. S.

KEYWORDS: Profitability, production function, irrigated tomato

Table1: Socio-economic Characteristics of Sampled Farmers.

The explicit form of this function takes the following forms:

Y = a + b1 ln X 1 + b2 ln X 2 + b3 ln X 3 + b4 ln X 4 + b5 ln X 5 + U i ( semi log) (3)

Table 2: Estimated Gross Margin Analysis for Irrigated Tomato Production

RESULTS AND DISCUSSION

Table 3: Estimated semilog production function (lead equation)

Table 4: Estimated efficiency ratio (r)

Table 5: Estimated elasticity of factor inputs and return to scale

SUMMARY AND CONLUSION

SADP, (1995). Sokoto Agricultural Development Project Annual Report, 1995.

Wikipedia, (2008). Encyclopaedia. Retrieved June10, 2008 from http://en.wikipedia.org/wiki/Niger_State.

Received for Publication: 09/01/2009

INFLUENCE OF COOPERATIVES ON FOOD CROP PRODUCTION IN SHIRORO LGA OF NIGER

Otitolaiye J. O; Opaluwa H.I; Mohammed B.

KEYWORDS: Cooperative; Influence; Food; Crop; Production

RESULTS AND DISCUSSION

Table 1: Socio – Economic Factors of the Respondents

Characteristics Frequency Percentage

Source; Field Survey, 2006

b0 -156.051 74.435 -2.096

R2 : 0 .492, F-ratio : 4.835

FAO 2002; Small scale palm oil processing in Africa.Rome FAQ.

International Cooperative Alliance (2007): Statement on Cooperative Identity.

Received for Publication: 31/12/2008

AGRICULTURAL CREDIT UTILIZATION AMONG SMALL SCALE WOMEN FARMERS IN

GANA, F. S., TSADO. J. H, KENCHI S AND OLALEYE .R

KEYWORDS: Credit Utilization, Small-Scale Farmers Income Generation, Niger