ABSTRACT
The study examined the efficiency of resource-use in broiler production in Edo state, Nigeria. The study focused on the socio-economic characteristics of the broiler producers and the profitability of broiler in the study area .It also looked at the efficiency level of resource use by the farmers as well as the constraints faced in the broiler producers.
A three stage sampling procedure was employed in selecting a total of 165 respondents who were active in broiler production. The data collected were analyzed using descriptive statistic such as frequency counts, means and percentage to examine the socio-economic characteristics of the respondents. Budgeting analysis involving the calculation of gross margin and net profit was used to estimate profitability, while Cob-Douglas production function and marginal analysis were used to estimate the efficiency levels. The constraints in broiler production were analyzed descriptively using information from the likert scale of measurement.
The result of the analysis showed that the average number of birds raised was 300 indicating that the broiler farmers operated at small scale level. The study also showed that the broiler production business was dominated by males (66.7%). The respondents were within the age bracket of 41-50 years of age with a mean age of 45 years.
The respondents were educated, with majority attaining the tertiary school level and experienced with average of 17 years. The average household size was 5 persons. The study also revealed that broiler production is a profitable venture in the study area with a gross margin of N495, 940.00 and net return of N467, 713.00.
The return to scale (RTS) for broiler producers was (RTS=1.0599) which indicated that production was at the beginning of the rational stage of production. Age, education, sex, years of experience, were the socio-economic characteristics influenced the farmers’ efficiency. For labour, stock size, medication and feed respectively. This implies that though farmers were efficient in resource used,(feed, labour, stock size and other medication cost), they still need to minimize cost of production and maximize profits.
Finally, the major constraints faced by the farmers were inadequate finance followed by inability to market the product, high cost of labour and transportation problems experienced in some isolated areas. The study concluded by making recommendations which would encourage both new broiler producers and existing producers to stay in the business.
