Ogunwande And Adesokan

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Ogunwande and Adesokan

Greener Journal of Agricultural Sciences

Vol. 10(3),
pp. 136-144, 2020

ISSN:
2276-7770

Copyright
©2020, the copyright of this article is retained by the author(s)

https://gjournals.org/GJAS

 

 

 

 

 

 

Cost
Efficiency Analysis of Maize Production Among Rural Small Scale Farmers in
Itesiwaju Local Government Area (LGA), Oyo State, Nigeria

 

 

*Ogunwande Isaac Olusegun; Adesokan Goodness Eniola

 

 

Department of Agricultural
and Resource Economics, The Federal University of Technology, Akure, Oyo State,
Nigeria.

 

 

ARTICLE INFO

ABSTRACT

 

Article
No.:
081820103

Type: Research

 

 

Maize is a crop
commonly cultivated in Nigeria and its demand and supply is on the increase
every year, this nevertheless pave the way for involvement of majority of
rural households in every stage of production. The paper explored the cost
efficiency of maize production in Itesiwaju local government area(LGA) of
Oyo State. Primary data was collected from 173 maize farmers and this was
achieved through the use of copies of well-structured questionnaire and
application of multistage sampling procedure. Data collected were analysed
using Stochastic Frontier Cost Function (SFCF) in determining factors
affecting cost efficiency among farms. Results on socioeconomic
characteristics of maize farmers showed the average quantitative variables
age (46 years), household size (8 members), years of experience (28 years)
and number of extension contacts (11 visits) while the mean seed and
agrochemical cost were N1,643.00 and N3,150.00 respectively. Farming
experience (p<0.1), extension contacts (p<0.05) and household size
(p<0.1) were found to increase cost efficiency of farms. Cost variables such
as labour (p<0.05), seed (p<0.1) and agrochemicals also increased the
cost efficiency of maize farms. Gamma (ϓ) showed that about 0.98 percent of
the variation in cost of production was due to factors beyond farmers’
control and sigma square (σ2) of 1.378(p<0.01) explained the suitability
and appropriateness of the analytical model. The Return to Scale was 1.154
and the majority of maize farmers had clustered cost efficiency distribution
between the range of 0.51 and 0.99 suggesting being cost efficient in maize
production.

 

Accepted:  22/08/2020

Published: 11/09/2020

 

*Corresponding
Author

Ogunwande Isaac Olusegun

E-mail: ioogunwande@
futa.edu.ng

 

Keywords:

Maize; Cost Efficiency; Farmers; Maize Production; Stochastic
Frontier

 

 

 

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Cite this Article: Ogunwande IO; Adesokan GE (2020). Cost Efficiency Analysis of Maize
Production Among Rural Small Scale Farmers in Itesiwaju Local Government Area
(LGA), Oyo State, Nigeria.
Greener Journal of Agricultural
Sciences
10(3): 136-144.

 

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