Economic analysis of cassava production in Ogbia Local Government Area, Bayelsa State

Abstract

The study was carried out to analyze “the Economics of cassava production in Ogbia Local Government Area of Bayelsa State, Nigeria”. The specific objectives of the study were to describe the socio-economic characteristics of cassava farmers; analyze costs and returns of producing cassava; determine technical efficiency; determine factors influencing technical efficiency of cassava farmers; and Identify constraints associated with cassava production in the study area. The sample of (94) cassava farmers was drawn from (10) communities in Ogbia and structured questionnaires were administered. Descriptive statistics, Translog Stochastic Frontier Production Model (SFPM) and budgetary model were used to analyze the data. Female (87.23%) dominated cassava production. 74% falls within the age of 21-50 years. Majority were married (65%) and 54.26% had a family size of 6-10. 52.13% of the respondents were basically farmers and all of them get there source of income for farming from personal savings and 72.34% used both family and hired labour in the production of cassava with 58.51% of them having farm size ≤0.5. The study further reveals that the gross margin was ₦521,313.50 and the profitability index was 64.07, while the rate of return on investment was 178.31, benefit-cost ratio of 2.8 proving the viability of cassava production in the study area. Lack of credit facilities, high spread of disease, lack of land were the major constraints faced by the farmers. Loans and grants should be made available to farmers either by government agencies or rather programs to fund cassava production should be created.