Analysis of the Efficiency and Competitiveness of Rice Production Systems in three Selected States of Northern Nigeria

Analysis of the Efficiency and Competitiveness of Rice Production Systems in three Selected States of Northern Nigeria

Abstract:

This study was designed to analyse efficiency and competitiveness of rice production systems in three selected states of Northern Nigeria. A multi stage sampling technique was used to collect primary data from 278 rice farmers in three major rice producing systems in the Northern Nigeria. The data was collected with the aid of pretested questionnaire and analysed usingdescriptive statistics, translog stochastic frontier functions, stochastic metafrontier model, and Policy Analysis Matrix. The secondary data on transportation costs, port charges, storage costs, production subsidy, import tariffs, and exchange rate were obtained from the relevant agencies and publications. The results indicated that over 88% of the farmers were between the active ages of 26 and 55 years. Only 8% of the respondents had no formal education. Land acquisition was mainly (68%) through inheritance while the average farm size was 2.7 hectares. All the three systems of rice production were economically inefficient with mean scores of 0.30, 0.24 and 0.38 for upland, lowland and irrigated system respectively.The years of rice production experience, years of schooling, number of extension visits on rice production practices, years spent as member in farmers‟ cooperative,and farm size were statistically significant factors that influencedtechnical and allocative inefficiencies. The average scale efficiency was highest for lowland system (0.81) followed by upland (0.80) and the least was irrigated (0.72) system. The mean values for the Technology Gap Ratio for upland, lowland and irrigated systems were 0.446, 0.377 and 0.538 respectively. The private profits of N15,796, N3,481 and N104,831 and social profits of N14,019, N3,081 and N91,387 were obtained for upland, lowland and irrigated systems respectively, indicating that the rice production systems were all competitive and have comparative advantage. The major constraints that hindered rice farmers from achieving their full production potentials were low output prices, high cost of inputs, pests and diseases, inadequate credit facilities and marketing problems. It is recommended among others that farmers‟ affordability and accessibility to fertilizer, improved rice seeds, extension services and credit facilities should be enhanced for effective achievement of self-sufficiency in rice production and for total import substitution.

Analysis of the Efficiency and Competitiveness of Rice Production Systems in three Selected States of Northern Nigeria

Sharing is caring!