Cost and Return Analysis of Maize (Zea Mays L) Production in Adamawa State, Nigeria
Keywords:Cost, Return, Maize (Zea mays L), Production, Adamawa, Nigeria
This study evaluated the cost and return of maize (Zea mays L) production in Adamawa State, Nigeria. Specifically, the objectives of this study were set out to: examine the socioeconomic characteristics of sampled maize farmers and to evaluate the costs and returns of maize production in the study area. A simple random sampling technique was adopted and used in selecting one hundred fifty (150) maize farmers in the area of study. Data were analyzed using descriptive statistics and gross margin. The study shows that the majority 68.7% were full-time farmers with an average mean of 31 years of age and about 30.96 years of farming experience. The majority (85.3%) were male farmers and only 15.3% of the respondent had no formal education with an average land holding of 1.39 hectares. The analysis of farm budgetary technique shows and reveals that maize (Zea mays) production in the area of study is a profitable enterprise with a gross margin of ₦72,413.05 and net farm income (NFI) of ₦46,412.25. The coefficient of gross ratio was 0.50; this implies that 50% of the gross income of maize went to offset total farm costs. The net farm income of naira invested was 0.69 and the operating ratio was 0.59. A gross ratio of less than 1 is always desirable for farm business. The study recommends among other things that farmers should strengthen themselves financially by forming cooperative groups whereby members could have access to loans at a very low rate and farm inputs could be purchased in bulk to be shared among members at a reduced.
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