DEPARTMENT OF AGRICULTURAL ECONOMICS AND RESOURCE MANAGEMENT

EFFECT OF FARMER COOPERATIVES ON SMALLHOLDER RICE PRODUCTION IN EDO STATE, NIGERIA

Year of Publication
Publication Type
Abstract
This study was carried out to examine the effect of farmers’ cooperatives on smallholder rice production in Edo State, Nigeria. Specifically, the study sought to: describe the socio- economic characteristics of rice farmers in the study area; profile the rice farmers’ cooperatives; examine the roles performed and services rendered by the cooperatives; compare the costs and returns of cooperative and non-cooperative rice farmers production; determine the effect of cooperative membership on rice yield; and examine the constraints facing cooperatives in promoting rice production. A multi-stage sampling procedure was used to select 260 rice farmers comprising 130 cooperative and 130 non-cooperative rice farmers. Data were analyzed using descriptive statistics, Relative Importance Index, cost and return analysis, t-test, and regression analysis. The findings revealed that the average age of cooperators was 45 years, while the average age of non-cooperators was 47 years. Additionally, the study revealed that majority of the cooperators (68.5%) and non-cooperators (75.4%) were males. Most rice farmers, cooperators (92.3%) and non-cooperators (80.0%) were married, with an average household size of seven persons for both cooperators and non-cooperators. Additionally, cooperators agreed to a high extent that cooperatives assisted members with farm implements (RII = 0.908), facilitated access to land (RII = 0.898), provided access to farm inputs (RII = 0.878), and supplied market information (RII = 0.863), among other services. Profitability analysis revealed that cooperative farmers recorded higher gross margins and net incomes of ₦519.68 and ₦499.23 per kg rice, respectively compared to ₦415.48 and ₦376.10 per kg rice for non-cooperative farmers, with a statistically significant difference (t = 4.8672) between both groups. Furthermore, regression analysis showed that cooperative membership, educational status, and farm size were positive and statistically significant at the 1% level, while age was negative and farming experience positive and were significant at the 10% level, indicating these variables as major determinants of rice yield. The major constraints affecting cooperatives included unfavourable government policies, inadequate support, and poor funding. The study concluded that cooperatives positively influenced rice farmers’ production and income. And recommended that Non-member farmers should be encouraged to voluntarily join or form cooperatives to access shared resources, economies of scale, and collective bargaining, thereby improving productivity and income and also strengthening institutional support to enhance the effectiveness of farmers’ cooperatives.This study was carried out to examine the effect of farmers’ cooperatives on smallholder rice production in Edo State, Nigeria. Specifically, the study sought to: describe the socio- economic characteristics of rice farmers in the study area; profile the rice farmers’ cooperatives; examine the roles performed and services rendered by the cooperatives; compare the costs and returns of cooperative and non-cooperative rice farmers production; determine the effect of cooperative membership on rice yield; and examine the constraints facing cooperatives in promoting rice production. A multi-stage sampling procedure was used to select 260 rice farmers comprising 130 cooperative and 130 non-cooperative rice farmers. Data were analyzed using descriptive statistics, Relative Importance Index, cost and return analysis, t-test, and regression analysis. The findings revealed that the average age of cooperators was 45 years, while the average age of non-cooperators was 47 years. Additionally, the study revealed that majority of the cooperators (68.5%) and non-cooperators (75.4%) were males. Most rice farmers, cooperators (92.3%) and non-cooperators (80.0%) were married, with an average household size of seven persons for both cooperators and non-cooperators. Additionally, cooperators agreed to a high extent that cooperatives assisted members with farm implements (RII = 0.908), facilitated access to land (RII = 0.898), provided access to farm inputs (RII = 0.878), and supplied market information (RII = 0.863), among other services. Profitability analysis revealed that cooperative farmers recorded higher gross margins and net incomes of ₦519.68 and ₦499.23 per kg rice, respectively compared to ₦415.48 and ₦376.10 per kg rice for non-cooperative farmers, with a statistically significant difference (t = 4.8672) between both groups. Furthermore, regression analysis showed that cooperative membership, educational status, and farm size were positive and statistically significant at the 1% level, while age was negative and farming experience positive and were significant at the 10% level, indicating these variables as major determinants of rice yield. The major constraints affecting cooperatives included unfavourable government policies, inadequate support, and poor funding. The study concluded that cooperatives positively influenced rice farmers’ production and income. And recommended that Non-member farmers should be encouraged to voluntarily join or form cooperatives to access shared resources, economies of scale, and collective bargaining, thereby improving productivity and income and also strengthening institutional support to enhance the effectiveness of farmers’ cooperatives.
Supervisor(s)
co-supervisor

ECONOMICS OF MAIZE PRODUCTION IN EASN SOUTH EAST LOCAL GOVERNMENT AREA, EDO STATE

Author(s)
Year of Publication
Publication Type
Abstract
This study examined the economics of maize production in Esan South East Local
Government Area of Edo State. The specific objectives were to describe the socioeconomic
characteristics of maize farmers, estimate the cost and returns of maize
production, determine input elasticities and return to scale, and identify the major
constraints affecting maize farmers in the study area. A multi-stage sampling
procedure was employed to select 90 maize farmers. Data were collected using a
structured questionnaire and analyzed using descriptive statistics, gross margin
analysis, the generalized production function (GPF), and a 5-point Likert scale.
The socio-economic results revealed that maize farming in the area is dominated by
males (75.56%), with an average age of 45.68 years. Most farmers were married
(57.78%) and had small household sizes averaging 5 persons. The mean farming
experience was 15.31 years, while average farm size was 0.81 hectares, indicating
predominantly small-scale production. The gross margin analysis showed an average
total variable cost of ₦65,931.92 and total revenue of ₦86,798.33, resulting in a
positive gross margin of ₦20,866.41 per farmer. Results of the generalized production
function indicated that only pesticide use had a positive and significant elasticity
(0.111), implying efficient and productive use. Family labour (0.018), hired labour (–
0.0324), seed (–0.012), and farm size (–0.560) were either inefficient or over-utilized,
with farm size showing a large and negative significant elasticity. The mean return to
scale (RTS) was –0.413, indicating strong decreasing returns to scale. This suggests
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that increasing input levels leads to a decline in output, likely due to input congestion,
poor management, and general production inefficiencies among farmers.
The major constraints identified include pests and high input costs, while poor market
access, adverse climatic conditions, and poor road networks, were considered less
severe. The study concludes that although maize production is profitable, significant
inefficiencies and structural constraints hinder optimal productivity. It is
recommended that farmers receive training on input management, extension services
be strengthened, and infrastructural improvements be prioritized to enhance maize
production efficiency in the area.
Supervisor(s)
co-supervisor