Cost and return analysis in small scale rice production in Cross River State, Nigeria.

Abstract

This study was on cost and return analysis in small scale rice production in Cross River State. Specifically, the study described the socioeconomic characteristics of small scale rice farmers, estimated costs and returns from production and examined socioeconomic factors affecting small scale rice production in the area. A four stage random sampling technique was employed to obtained primary data from one hundred and twenty respondents (120) with the aid of a well-structured questionnaire. Data were analyzed using descriptive and inferential statistics such as mean, frequency count; percentages, gross margin analysis and multiple regression analysis. The study revealed that small scale rice production in the area was profitable; Age of the farmer, farm size, education and cost of seed were the significant factors that affected rice production in the study area. Farmers in the study area are faced with constraints such as lack of access to finance, poor storage facilities and high cost of agro-chemicals. The study recommended that credit facilities should be given to small scale rice producers in the area so as to increase output and policy interventions aimed at protecting local producers should be put in place.