Economic Analyses of Ware Yam Production in Orlu Agricultural Zone of Imo State
Keywords: ware yam, socioeconomics, allocative efficiency, profitability, gross margin
AbstractThe study was conducted in Orlu Agricultural Zone of Imo State Nigeria. Specifically this study examined socioeconomic characteristics of the ware yam farmers, estimated the gross margin of producing ware yam, and determined allocative efficiency of ware yam farmers. Primary data were collected and analyzed using descriptive statistics, gross margin analysis, marginal analysis and multiple regression analysis. Results from the study showed that ware yam production is profitable, with gross margin of N58,863.94 per hectare. The results indicated that cost of planting materials and labour constituted 90% of total variable costs. Also, the input resources of land, stakes, fertilizer, labour and planting materials affected yam output positively and significantly. All the resources were underutilized except stakes since their marginal value products were greater than their marginal factor costs. The study concluded that ware yam production is profitable. However, to increase profit, the allocative efficiency of the farmers needs to improve. The study recommends forming cooperatives where the efficient and inefficient farmers can meet and influence each other. The National Root Crops Research Institute and extension agencies should develop and disseminate appropriate ware yam production techniques that will improve resource use efficiency in ware yam production.
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