Cost and Return Analysis of Local Chicken Marketing in Mubi North Local Government Area of Adamawa State, Nigeria
Abstract
The study examined the cost and return of local chicken marketing in Mubi north local government area of Adamawa state. Data were collected from 120 respondents with aid of structured questionnaire using purposive and random sampling technique. Descriptive statistics, net income analysis, marketing efficiency (ME) were the analytical tools employed. The result revealed that local chicken marketing in the study area is mostly undertaken by the male gender (85%) who were in their active age between the age of 30-60 years. Majority of them had one form of formal education or the other and have marketing experience of more than five years. On the profitability of the enterprise a total variable cost ₦7887.00 was estimated using 2014 price of input and output. Cost of transportation accounting for 72.84%. The total revenue from the enterprise was estimated ₦13, 100 given the net income of ₦5213 an indication that the enterprise is profitable. A high marketing efficiency of 160% was computed an indication that the profit maximization motive of local chicken marketing is assured. It is recommended that the marketers should be motivated and encouraged with soft loans so as to expand their production.
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Introduction
Local chicken (Gallus Domesticus) production, which is still important in low food deficit in the state, is an appropriate system supporting the fast growing human population with quality protein (Kperegbey, et al 2009). The local chicken usually comprise 5 – 20 birds kept by one family and most often manage by women who provide them with an independent source of income (Ikani and Annatte 2000). Local chicken are adapted to local climate and harsh ecological condition and can withstand and survive local disease condition and therefore less veterinary attention (Paul et al 2003)
The total poultry population in Nigeria has been estimated between 133 – 165 million, however chicken composed of 91% of this population while guinea fowl (4%), ducks (3%), turkey and other (2%) (FLDPS/RIM, 1991)
In this study, therefore an attempt has been made to determine the cost and return of local chicken marketing in Mubi North area of Adamawa State. The specific objectives were to:
1. determine the socio – economic characteristics of local chicken marketers
2. analyse cost and return associated with local chicken production and marketing.
3. estimate the measures of marketing efficiency associated with chicken marketing in the study area.
Conclusion
The study examined the cost and return analysis of local chicken marketing in Mubi North Local Government Area of Adamawa State. Primary data formed the basis for the study. Data were collected from 120 respondents with the aid of structured questionnaire using purposive and random sampling technique. Descriptive statistics, Net income analysis and marketing efficiency were the analytical tools employed. The study revealed that male (85%) dominated the enterprise majority had one form of formal education or the other with a marketing experience of more than five years. Local chicken marketing was found to be profitable and efficient as illustrated by the positive net income of ₦5213.00. A marketing efficiency of 160.09% was computed an indication that the profit maximization motive of marketers is assured. It is recommended that the marketer should be motivated and encouraged with soft loans from the government so as to expand their production.
