ECONOMIC ANALYSIS OF MILLET PRODUCTION IN JERE LOCAL GOVERNMENT AREA, BORNO STATE, NIGERIA.

Abstract

This research was carried out to determine the profitability of millet production in Jere local Government area of Borno state. Random sampling technique was adopted in this research through which data was collected from ninety (90) farms with the aid of a well-structured questionnaire.  Data was analysed using descriptive statistics, gross margin analysis and production functions. Result indicated that 58.9% of respondents were in their economically active age group, majority (76.7%) of the farmers were male, 66.7% were married, while 42.2% had farming experience of between 21 – 30 years in millet production and it was revealed that farms were on a small-scale basis. Result further showed that millet production was profitable with gross margin and net farm income of N29,743.18 and N12,868.00 per hectare respectively. Regression model estimated revealed that double-log was the lead equation with R² of 68.5%. Also, land, labour and agrochemical had significant impact on the level of millet output at P<0.01 level of probability and F-ratio 35.212. Estimated efficiency ratios showed that land; labour and fertilizer were under-utilised, while agrochemical was over utilised. Return to scale gave a value of 1.27 which implies that millet production was in stage 1 of the production region. It can be concluded that millet production in the study area is profitably. The study recommends that farmers should employ more land; labour and fertilizer, while the use of agrochemical should be cut down in order to improved millet production output for profit maximization.