ABSTRACT
Poultry faecal wastes are farm by-products difficult to manage without some forms of pollution to the environment, yet these wastes due to their organic manure value generate revenue for farms and possess the potential for energy generation through some forms of eco-innovation. This study, therefore, examined the economic contribution of faecal waste to the profitability of layer farms and the potentials for electricity generation in Delta State. The data used in the study were obtained from a cross-sectional survey of layer farmers in Delta State from July 2017 to February 2019.
A multi-stage sampling process was used to select the 123 poultry farmers for this study. The data collected were analyzed using descriptive statistics, profitability ratios and the Stochastic Frontier Profit Function model. The study showed that the mean age of farmers was 46 years with an average farming experience of seven years and an 89-week production period. These farms generated an average of 229.5 tonnes of faecal waste within the production period. The Gross Margin analysis gave a value of ₦5,771,437.10 and a Net Farm Income (NFI) of ₦1,960.18kobo per bird. The profitability ratios showed a Profitability Index (PI) of 0.86, Rate of Return on Investment (RRI) of about 19.25%, Return per Naira Invested (RNI) of ₦0.23, a Capital Turnover (CTO) of 1.19, while the contribution of faecal waste to profit was 0.23%. The quantity of faecal wastes generated in medium scale farms had a potential of yielding 63.76kW daily of electricity almost doubling the current average daily electricity need of these layer farms which stands at 38.02kW. From the Stochastic Frontier Profit Function analysis, the mean profit efficiency was 0.80 with veterinary cost and cost of labour for faecal waste management having significant positive effect on profit efficiency. Cost of stock/birds and depreciation on fixed input had a significant negative effect on profit efficiency. Age and cooperative membership of layer farmers were significant socioeconomic factor positively influencing profit inefficiency. While education and household size were shown to negatively influence profit inefficiency.
The most significant constraints affecting farmers’ effort to generate income from faecal waste sale and the prospect of generating biogas from electricity were poor government incentives, inadequate finance to build biogas units, bulky nature of wastes viz-a-viz inorganic fertilizers, ignorance in terms of biogas technology, offensive smell of faecal waste and farm location. It was therefore concluded that farmers should focus on improved quality feed either self-compounded or purchased and better emolument for their workers as these positively influence their profit. They should be enlightened on the huge benefit of faecal wastes-to-biogas-electricity technology.
