Determinants of Profitability of Broiler Production in the Out-growers Schemes in Southwest Nigeria
Purpose: The study focused mainly on broiler production's determinants in the out-growers scheme in Southwest Nigeria. The objectives of this study were to examine the socio-economic characteristics of the participating farmers, examine the determinants of the costs and benefits analysis of broiler production in the out-grower scheme, examine the determinants of profitability, and determine the constraints inhibiting broiler production in the study areas. Design/Methodology/Approach: A sample size of 90 broiler poultry farmers were randomly selected using a structured questionnaire, data were analyzed using descriptive statistics such as frequency distribution mean, and percentages were used to achieve some of the objectives, while production function analysis was used to analyze the determinants of profitability of broiler out-grower scheme in the study area. Findings: The result reveals that majority 66.7 percent of the respondents in the study area, were male, and 33.3% of the respondents were female. The mean age was 43.3 years. Most of the respondents (94.4%) were married, while few were single (5.6%). The finding also revealed that the majority (80%) of the respondents had tertiary education. The mean household size is 5 persons. Farmers with experience of 10-20 years were the majority with 77.5%, while 13.7% of them had between 21-30 years of experience, while 7.7% had >10 years and 1.1% had >30 years broiler farming experience. Practical Implications: This study also revealed that 63.0% of the respondents had access to one credit facility or the other, while the rest, 37.0%, do not have access to any. Feed, drugs/ medication, and stock size significantly influenced broiler production in the out-growers scheme at 5% and 1% level of significance in the study area. Originality/Value: It is therefore recommended that funds should be made available to the farmers by providing micro-credits to the farmers because inadequate funding was the highest constraint identified by the farmers.