Profitability of small-scale yam farms in Kogi State, Nigeria


The study examined the parameters that influence the profitability of small-scale yam farms in Kogi State, Nigeria. A multi-stage sampling technique was used to select 180 representative farms from six villages in three Local Government Areas of the State. Structured questionnaire was used to collect the data. Descriptive statistics and multiple regression models were used to analyze the primary data collected. The gross margin per hectare, return per naira invested per hectare and production profitability per hectare were NGN463,039.88, 2.02 and 202.44%, respectively. The multiple regression estimates revealed that the model was of a good fit and age, years of farming experience, household size, and extension contacts of the farmer and farm size were the important and significant socio-economic parameters influencing the gross margin of the farms. Age had negative relationship with the farmers' income while other significant variables had positive effects. The results also showed that inadequate capital to finance farm production, lack of appropriate storage structure, lack of access road and high cost of labour were some of the constraints facing the farmers. The study concludes that yam production is profitable and age, farm size, household size, extension contacts and farm size have effects on income from small-scale yam farms. It is recommended that farm sizes should be expanded by provision of credit and farm inputs at subsidized rate and extension services to be improved to provide farmers with new technologies in order to increase margin. Social amenities and infrastructural facilities should be provided in farm centres to encourage young and educated men and women to take up yam production.

Journal of Applied Agricultural Research 6(2):95-105
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Small-scale yam farms profitability gross margin