PROFITABILITY ANALYSIS OF YAM PRODUCTION IN ADO LOCAL GOVERNMENT AREA OF BENUE STATE, NIGERIA

Abstract

The study analyzed the Profitability of Yam production in Ado Local Government Area of Benue State, Nigeria. A total of 100 farmers were selected using simple random sampling technique. Primary data were collected through the administration of a well-designed Questionnaire and analyzed using descriptive statistics and gross margin. The results revealed that yam production was dominated by male farmers (94.0%), with a mean age of 38.2 years, indicating that most respondents were within their active and productive years. The results also revealed that majority were married (81.0%), had an average household size of 4.6 persons, a mean of 6.8 years of formal education, and an average farming experience of 13.3 years. Gross margin analysis showed that farmers incurred an average total variable cost of ₦118,320 and generated an average total revenue of ₦458,750. The average gross margin was ₦340,430, indicating that yam production is a profitable enterprise in the study area. The major constraints identified were weed pressure (100.0%), high labour cost (100.0%), inadequate capital (100.0%), difficulty in obtaining staking materials (86.0%), declining soil fertility (79.0%), and scarcity of seed yam (68.0%). The study concludes that yam production is economically viable and contributes significantly to farmers' livelihoods despite the numerous production challenges faced. The study recommends improved access to credit facilities, promotion of labour-saving technologies, strengthened extension services, enhanced availability of improved seed yam, and adoption of sustainable soil fertility management practices to improve productivity and profitability among yam farmers.