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Economic analysis of
cotton production in Adamawa State, Nigeria
Sabo E.1*, Daniel, J. D.2 and Adeniji
O. T.
1Department of Agricultural Economics and Extension, Adamawa State
University, Nigeria.
2Department of Crop Science, Adamawa State University, Nigeria.
*Corresponding author.
E-mail: elikwabe@yahoo.com
Accepted
7 May, 2009 |
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Cotton
production has long been a good contributor to the Gross
Domestic Product of Nigeria and this sector provides
employment for some of the country’s teeming population.
Production dates back to the 1960s and 1970s. Poor
management and the oil boom period reduced production of
both lint and seed. Despite all these factors, production
still continues on a small and medium scale among farmers.
There is a new trend to revitalize the ailing cotton farming
industries and associated business. To achieve this, an
understanding of the production potential and economics of
production were essential. One hundred and ninety-nine
cotton outgrowers randomly selected among cotton farmers
from the cotton belt of Adamawa state, Nigeria were
interviewed to provide information on production
capabilities, constraints and economics of production for
duration of three years. Findings indicated that most of the
outgrowers are male and married, and have had substantial
experience in cotton production. They are registered with
one cotton farmers association of their choice. Economic
analysis of production cost indicated that of the variable
cost of cotton production/hectare, labour alone accounted
for 50% of the total. The regression analysis showed that
the best fitted model is the double Log function; it
recorded a coefficient of determination (R2) of
0.61. In cotton production the cost of land rent correlated
negatively with the cost of ploughing and planting. It was
evident from the survey that cotton production in Adamawa
state is challenged largely by poor pricing. Fluctuation in
the price and cotton yield was noticed during the survey
period. The study recommends the provision of input at
subsidized price, functional extension services and
establishment of a cotton commodity board to stimulate
cotton production.
Key
words:
Cotton production, variable input, outgrowers, demographic
studies, Adamawa state. |
