Abstract
Efficient allocation of resources has been a problem in small holder farm economy in Nigeria. The study analyzes cost efficiency in food crop production among small-scale farmers in Adamawa State, Nigeria. Specifically, the socioeconomic characteristics of food crop farmers in the study area were described, their various cropping systems identified and the cost efficiency indices of the farmers determined. Data were collected from 360 randomly selected food crop farmers in eight local government areas spread across the four ADP zones of the State using structured questionnaires. The analytical tools were descriptive statistics involving the use of frequency tables and inferential statistics involving the use of stochastic frontier cost function. The result revealed that married female farmers constituted majority (57.22%) of the respondents. Their literacy level was high, as 84% of them had some form of formal education. The respondents cultivated an average of about two hectares of farm land using personal savings. Eleven cropping systems were identified with mixed cropping accounting for about 53% of the cropping systems and about 54% of the total hectarage allocations. The maximum likelihood estimates of the stochastic cost function revealed that the explanatory variables; extension contact, crop diversification and credit availability were significantly and positively related to cost efficiency in the study area. The cost efficiency index ranged from 0.18-0.98, with a mean of 0.84 implying that an average farm in the study area has the scope for increasing cost efficiency by 16% given the existing technology. The study recommended farmers education on fundamental farm management skills to enable farmers plan, evaluate and appraise their farm business activities among others. KEYWORDS : Cost efficiency, Cropping systems, Small-scale food crop farmers, Adamawa State, Nigeria
Highlights
The agricultural sector is an important sector in the Nigerian economy in terms of its role in food security, poverty alleviation and economic growth
Maize-based enterprise accounted for 48.07% of the cropping systems and 55.3% of the total hectarage allocation, and is attributed to maize being the staple food of most households in the State
Food crop production in Adamawa State is mostly undertaken by the female gender who are mostly full-time farmers and well experienced in food crop production
Summary
The agricultural sector is an important sector in the Nigerian economy in terms of its role in food security, poverty alleviation and economic growth. Food crop production in Nigeria is dominated by small-scale farmers who cultivate between 0.1 – 5.99 hectares and produce about 85-90% of the total foods consumed in the country (Agbonlahor, 1999; Maurice et al, 2013). These farmers are constrained by inadequate finance to expand production, rely on personal savings for their agricultural operations. They are influenced by farm-specific factors, which delineate their production frontiers resulting in low outputs. Studies have shown that socio-economic characteristics affect farmers’ efficiency in production as it influences production decisions, availability and level of use of modern inputs and technology
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