Analysis of Profitability in Pepper (Capsicum spp) Production in Ogba/Egbema/Ndoni Local Government Area, Rivers State, Nigeria

Abstract

The study was centered on analysis of profitability in pepper (Capsicum spp) production in Ogba/Egbema/Ndoni Local Government Area, Rivers State, Nigeria. The study utilized multistage sampling to select 172 farmers in the study area. Structured copies of questionnaire were appropriated in eliciting information from the farmers. Out of the 172 copies of questionnaires dispatched, only 160 were retrieved. Data for the study were analysed using frequency count, percentages, mean score, farm budgeting model, and multiple regression. The result showed that 69.4% of the marketers were female while 30.6% were male. In the same vein, 57.5% farmers were majorly within the age range of 31-43 years and 50.6% of these farmers were married. Contrastingly, while 100% of the farmers used agrochemicals in their farming operation, the 100% did not apply fertilizer in their farms. Results from the farm budgeting model showed that average annual net farm income (profit) was ?59,234.52 for 0.12 hectares. The average gross farm income realized per annum stood at ?180, 8250, the variable cost was ?407,665.6 and the estimated gross margin was ?1,400,584 per annum. Results from mean score analysis showed that the most dominant constraint was flooding with a mean score of 3.91875 greater than the 2.5 benchmarks. Following these findings, the study recommended that government should encourage unemployed youths to go into pepper production so that the gap between demand and supply can be narrowed.