Profitability analysis of catfish farming in Suleja local government area of Niger state, Nigeria
The problem of profitability and scale of production of catfish has not been properly addressed. This study was conducted in Suleja Local Government Area of Niger State to assess the profitability of catfish production. Forty (40) catfish farmers were selected from the study area using simple random sampling techniques. Structured questionnaire was used to collect data from the respondents. The analytical tools used include, descriptive statistics, net farm income analysis and profitability ratios and multiple regression functions. The result of the analysis showed that the average total cost per kilogram of fish was N321.23k and the average total revenue per kg of fish was N501.31. This gives a net farm income of N180.08k per kilogram of fish farmed. The study also showed that the sum total of elasticity of variables was less than one (0.994), this indicates that catfish farming in the study area is in stage II, which is the rational stage of production. Double-log functional model was chosen as lead equation. The value of R2 was 0.998. The number of ponds (X1) and number of fingerlings (X3) were significant at 1%, while labour(X5) was significant at 5% levels of significance. The F- ratio of 2964.370 was significant at P (< 0.01). This implies that all the explanatory variables taken together have significance on the dependent variable (Y), the output. Due to expensive nature of flow-through and re-circulatory ponds, earthen ponds were mostly preferred by majority (92.5%) of the fish farmers in the study area. The major problems faced by catfish farmers include; water, high cost of feed and capital.
Key Words: cat fish, net farm income, profitability ratio