Comparative Analysis of the Profitability of Maize and Sorghum Based Cropping Enterprises in Nigeria State, Nigeria

E. S. Yisa, J. N. Nmadu, L. Tanko and E. K. Tsado

Nigerian Journal of Agricultural Economics, 2018, vol. 08, issue 01

Abstract: This study examined the profitability of maize and sorghum based cropping enterprises in Niger State, Nigeria. A multi-stage sampling technique was employed for selecting the respondents and data were collected using structured questionnaires from a total of 360 maize and sorghum- based farming household heads in 9 Local Government Areas across the three agricultural zones of the state. The specific objectives were to estimate the costs and returns of maize and sorghum production under sole and intercropping systems and compare the profitability of these enterprises across the agricultural zones of the State. Descriptive statistics and farm budgeting technique were used to analyze the data collected. The profitability analysis indicate that returns from sole maize cropping enterprise is the lowest but combinations of maize with other crops tends to yield higher returns. Across the State, N1.35, N1.58 and N1.31 was realized for every N1.00 invested in production of maize/sorghum cropping enterprises by farmers in Zone I, Zone II and Zone III of Niger State agricultural zones respectively. The net farm income/ha was N36,735.44 with an average gross margin/ha of N38,378.41 was realized by the maize/sorghum based farmers. The gross ratio of 0.44 and the operating ratio of 0.40 are indicators that maize/sorghum based cropping enterprises was profitable. The study recommended that farmers should be enlightened on the higher returns to investment and profitability of cultivating maize in combination and with other crops instead of sorghum combinations. Appropriate production technologies that reduce labour cost in maize and sorghum production should be adopted by farmers to enhance farmers’ incomes and livelihoods.

Keywords: Agribusiness; Food Security and Poverty; Production Economics (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:ags:naaenj:280323

DOI: 10.22004/ag.econ.280323

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