ECONOMIC IMPACT OF LOCAL RICE PRODUCTION AMONG FARMERS AS A MEANS TO FOSTER ECONOMIC DEVELOPMENT WITHIN NIGERIAN ECONOMY
CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
Globally, rice is an important food crop which is widely preferred over many traditional foods like tuber crops with varieties such as: yam, cassava, potatoes etc. when comes to rating of agricultural production, Rice planting ranks third after wheat and maize in worldwide production (Imolehin and Wada, 2000). Rice has the potential to improve nutrition, boost food security, foster rural development and sustain the land mass. Worldwide consumption of an economy of rice has been increasing due to increase in population strength and importance attached to it as a stable food. Between the years 1961-2002, per capital consumption of rice in the world increased by 40%; it is perhaps the world’s most important and most consume food crop being the staple food of over 50 percent of the world’s population, particularly of Indian, china, and a number of other countries in Africa and Asia.
According to Akande, (2003) the demand for rice (Oryzasativa) has been increasing at much foster rate in Nigeria than in other West African countries since the mid-1970s. For example, Nigeria’s per-capital rice consumption level has grown significantly at 7.3% per annum, rising from 18kg in the 1980s to 22kg in 1990s. Although rice production in Nigeria has boomed over the years, there has been in a considerable lag between production and demand level with imports making up the shortfull (Akande, 2003). As peer the Nigerian agricultural policy document (Nigeria, 1989), specific objective of agricultural sector policies is the attainment of self-sufficiency in basic food commodities with particular reference to those food commodities which consume considerable shares of Nigeria’s foreign exchange and which can be produced locally within the country. In this regard, Nigeria will aim to be more than self-sufficient in the production of all cereals, roots and tubers, grain legumes, oil seeds and nuts, vegetables and fruits and vegetable oils (Akande, 2003). Going by this policy scenario, production of rice in Nigeria is bound to expand for several reasons; rice import consumes considerable share of Nigeria’s foreign exchange, the proportion of rice in the food basket of Nigerians has continued to rise and Nigeria has the capacity for the expansion of rice production. In the worlds of Akande (2003) he opined that the rice cropping system and the post-harvest services in Nigeria encompass a wide range of agricultural activities ranging from land clearing, seed bed preparation, broad casting, fertilizer application, weeding and bird scaring. Others include harvesting, threshing, parboiling, drying, winnowing, bagging and marketing and distribution. These activities are largely executed manually and women and children the very vulnerable segments of the society are largely involved. Rice production expansion in Nigeria is therefore bound to reduce drastically the foreign exchange spending on rice importation and more importantly it could lead to the transfer to money into hands of the very vulnerable group of the Nigeria economy.
As reported by BBC on 17 August 2019 President Muhammadu Buhari has directed the Central Bank of Nigeria to block food importers' requests for foreign currency in a bid to boost local agriculture in Africa's most populous country.It is a continuation of a policy that the president began after coming to office in 2015, when he banned the use of foreign exchange to import dozens of items including the staple food, rice.Since then, domestic rice production has increased, but the policy has been criticised for not taking the low capacity of local farmers into consideration. The policy has also coincided with a rise in food prices, which has been blamed on insecurity in some of the country's main food producing areas.
Rice is cultivated in virtually all the agro-ecological zones in Nigeria. Despite this, area cultivated to rice appears small. In comparing it to the formal statistics value, as reported, “Estimate of locally produced rice for year 2002 was 2.9million tones (FAOSTAT, 2005). Also, only about 6.7 per cent of the 25 million hectares of land cultivated to various food crops was cultivated to rice between 2000 and 2002” (Osiname, 2002). Paddy rice production in Nigeria has not followed any clear-cut pattern but seems to oscillate with policies of various governments. However, recently, the trend in production shows that a boom has been experienced in periods. According to figures from the UN's Food and Agriculture Organization, rice production has increased from an annual average of 7.1 million tonnes between 2013 and 2017 to 8.9 million tonnes in 2018. According to Okowura, et al (2006) The limited capacity of the Nigerian rice economy to match the domestic demand raises a number of pertinent questions both in policy circle and amongst researchers. For instances, what factors explain why domestic rice production lag behind the demand for the commodity in Nigeria. Central to this explanation is the issue of efficiency of the rice farmers in the use of resources.
Meanwhile, it is obviously established that there are challenges facing rice production in Nigeria. Nin Pratt et al. (2010) identified a list of economic and environmental constraints, which are inhibiting greater performances of rice farm households in Nigeria. These constraints were inappropriate use of inputs such as improved and hybrid seed varieties, inadequate application of fertilizers and other chemical weeds control, poor extension services, impact of market failures, failure of extension services, frequent floods and droughts and poor credit delivery to paddy rice farmers. Redeemably, series of suggestions have been put forward tomake production of rice in Nigeria increase. As submitted by Evans et al (2018) to enhance the production of rice, it is very germane that additional support for development of efficient rice seed varieties be advocated. It is also essential that the distribution of rice varieties that are resilient to climate changes be encouraged. The promotion of good agricultural practices that will help to compensate for the lapses rice production processes cannot be overemphasised in this regard. Therefore, toenhance commercialization of rice production, modern means of rice production and processing that will enhance the quality and quantity of production should be adopted.Thus, this study therefore aims at examining the economic impact of local rice production among farmers as a means to foster economic development within Nigerian Economy.
1.2 Statement of the Problem
Presently, Nigerian rice sub-sector is dominated by weak and inefficient producer-market linkages due to poor infrastructure including lack of improved processing facilities, low rice productivity, poor post- harvest handling and storage, expensive and poor access to inputs (High quality seed, fertilizing and crop protection products), inadequate market information, lack of transparency among players, low capacity to meet quality standards, and limited efficiency distribution networks. This has declined the rice productivity and low income for the rice farmers in Nigeria.In Nigeria, it has resulted in massive loss of man power through the abandonment of the farmers and the migration of rural youths to cities in search of white collar jobs. However, there seems to be a gap in knowledge on the socio-economic factors influencing rice production in Nigeria which has been also declining the income level of the farmers. It has been noted that rice farmers in some part of Nigeria are not getting maximum returns from the resources committed into their enterprises; leading to a decline in per capital food production. This situation manifests in low output per area which no doubt lead to low profitability. However, there are also reports that rice smuggling has increased - as customs officials continue to seize large quantities of the grain at the borders. This suggests that Nigerian rice farmers are still not producing enough.
1.3 Objectives of the Study
The broad objective of this study is to analyze the economic impact of local rice production among Nigeria farmers as a means to foster economic development. Specifically, the specific objectives are, to;
i. analyze cost and returns in rice production in the study area.
ii. identify constraints as well state proffer solution to the constraintslocal rice production in Nigeria.
1.4 Research Hypothesis
Based on the above research objectives, the following are the research hyps that guided the researcher in his investigation:
H1 there is significant constraints hindering high productivity of local rice productivity in south west Nigeria.
H0 there is no significant constraints hindering high productivity of local rice productivity in south west Nigeria.
H2 there is significant remedies for high productivity of local rice productivity in south west Nigeria.
H0 there is no significant remedies for high productivity of local rice productivity in south west Nigeria.
1.5 Significance of the Study
It is anticipated that the finding of this research work would have impact on the following groups:-government, local farmers, prospective farmers, entrepreneur and communities at large. It is hoped that the finding of the study would revealed to the government that there is importance in production of rice locally being the one of the most consumable good; hence, they give a great support to it production at large quantity. The outcomes of this study also suggest the need for the government to provide necessary farm facilities, as well, suggest ways of utilizing it to enhance local rice production in South West Nigeria.
The research findings will be useful for the farmers as it will make them appreciate the need to make more effort in the production, as well, make necessary adjustments especially on incorporation of full and comprehensive use modern machineries in their production.
It is expected that findings from this study would acquaint the prospective farmers and the communities at large to help them with the means for extending their horizon of experience as well providing them with rich sources of importance in venturing into rice production locally.
1.6 Scope of the study
The study is exclusively focused on economic impact of rice production among Nigeria farmers; a means to foster economic development within Nigerian Economy. The study will be narrowed on economic impact of rice production among South West Farmers in Nigeria; in other words, farmers in South West Nigeria farmers will be randomly picked in some town around for the purpose of this study.
1.7 Definition of Terms
Economic impact: a financial effect that something, especially something new, has on a situation or person: Increased tourism has had a significant economic impact on the resort community.
Farmers: A farmer is a person engaged in agriculture, raising living organisms for food or raw materials. The term usually applies to people who do some combination of raising field crops, orchards, vineyards, poultry, or other livestock
Production: Production is a process of combining various material inputs and immaterial inputs in order to make something for consumption. It is the act of creating an output, a good or service which has value and contributes to the utility of individuals.
Economic development: is the process by which the economic well-being and quality of life of a nation, region, local community, or an individual are improved according to targeted goals and objectives.
Economy:An economy is an area of the production, distribution and trade, as well as consumption of goods and services by different agents.
CHAPTER TWO
2.0 Introduction
This chapter presents the review of conceptual basis in order to set current study into a new perspective and join ongoing discourse and empirical study. The chapter focus on the review of the following:
2.1 Rice Development in Africa
One of the major engines for growth in Africa has been Agriculture. However, since majority of the African farmers practice subsistence or small holders farming characterised by low skilled labour force and family units, there is a high incidence of yield gaps, in addition to poor soils and other obstacles to sustainable farming incomes (Gyimah-1Brempong, Johnson &Takeshima, 2016). Harold and Tabo (2015) also noted that rice is the single most important source of dietary energy in West Africa and third most important for Africa as a whole. It is evident from the study that despite the increased in local rice production there is still the persistence of the shortage of local production compared to the excess demand for the commodity (Harold & Tabo, 2015; Gyimah-Brempong, Johnson & Takeshima, 2016).
With the fast growing population and the rising food demand, it is important that African continent graduates from the level of food shortage to food surplus. This could be realised by making the challenges confronting the agricultural sector a major priority which must be vigorously and earnestly resolved through strong determination from the political class, exhibiting the right mind set towards agriculture by the private and government bodies and incorporation of youth and women in agriculture. Through this platform the Africa rice framework for Africa’s Agricultural Transformation Agenda could be adequately embraced and implemented in various states, agricultural establishments and agencies (Harold & Tabo, 2015).
In previous years efforts have been made by African countries to reposition rice production. For instance, one of the major outcomes of the ‘Abuja Food Security Summit’ by the African Union in 2006 was the conferment of “region-wide strategic commodity” to rice status. Whilst this confirms the important position of rice in the agricultural sector, it also creates opportunities for positioning it as an important commodity in the secondary and tertiary agricultural sectors (Harold & Tabo, 2015). Rice is, therefore, a priority crop in the implementation of the New Partnership for Africa’s Development-NEPAD and Comprehensive Africa Agriculture Development Programme-CAADP (Harold & Tabo, 2015). Consequently, Senegal had launched a national programme for rice self-sufficiency with the objective of increasing production from 215,000 tonnes in 2007 to 1.5 million tonnes of paddy in 2015. Similarly, Mali has started an extensive rice-promotion programme aimed at increasing production by 50% in a cropping season in 2009iii. Other African countries (such as Cameroon, Ghana, Kenya, Madagascar, Mali, Mozambique, Nigeria, Senegal, Sierra Leone, Tanzania and Uganda) under the umbrella of the Coalition for African Rice Development (CARD) have introduced National Rice Development strategies (NRDS). This programme is aimed to double Africa rice production by 2018 compared to the level of production as at 2008 (Harold & Tabo, 2015).
2.2 Rice Farming Development in Nigeria
Rice is cultivated in virtually all the agro-ecological zones in Nigeria, the area despite this, the area cultivated to rice still appears small. In 2000, out of about 2.5 million hectares of land cultivated to various food crops, about 6.3% was cultivated to rice (Godwin, et al, 2003). However, it was reported by Okoruwa et al (2006) Nigeria’s rice sector has witnessed some remarkable developments particularly in the last ten years. Both rice production and consumption in Nigeria have vastly increased during this period. This shows that there is something to write home when comes to rice production in Nigeria.
The Nigerian government is not left out as it has pursued and implemented various agricultural policies at the State and Federal levels on the rice transformation agenda to boost Nigeria’s rice production over the years. Among these is the Agricultural transformation agenda (ATA) with the success recorded in local rice production of 4.8 million tonnes per annum (FAO, 2016). Harold and Tabo (2015) further noted that similar rice-sector promotion programs have been embarked upon in other African countries like Ghana and Côte d’Ivoire. These align with the ECOWAS Agricultural Policy-ECOWAP (Olayiwola et al., 2015). Given the rise in food consumption (rice inclusive), some have argued that the production of rice in large quantities (that is, large-scale) should be considered as one of the major ways of ensuring food security for the teaming population in Nigeria (Herrmann, Jumbe, Bruentrup and Osabuohien, 2017; Osabohien, Osabuohien & Urhie, 2017). Others hold contrary view, stressing the need to empower small-holder farmers. Against that backdrop, Juliano (2016) stated the importance of rice over other crops, in terms of its total production in the developing countries and the number of consumers that are dependent on it as a staple food. This has also been stressed by GyimahBrempong, Johnson and Takeshima (2016). While Umeh, Joshi and Ukwungwu (1992) discussed that a holistic, broadly based, multidisciplinary pest-management research approach is required due to the immense benefits that integrated pest management (IPM) can provide.
2.3 Constraints on Rice Production in Nigeria
Despite efficiency gains and higher output achieved in the last five decades, the rice subsector in Nigeria is still facing major constraints. These constraints generally, had impinged on technical and economic efficiencies levels of paddy rice farm households, leading to rising annual supply-demand deficit that was filled by importation of rice.
Nin Pratt, Johnson, Magalhaes, Diao and Chamberlin. (2010) identified a list of economic and environmental constraints, which are inhibiting greater performances of paddy rice farm households in Nigeria. These constraints were inappropriate use of inputs such as improved and hybrid seed varieties, inadequate application of fertilizers and other chemical weeds control, poor extension services, impact of market failures, failure of extension services, frequent floods and droughts and poor credit delivery to paddy rice farmers.
Majority of rural paddy rice farm households in Nigeria are reluctant to formally adopt new improved rice seed varieties (Takeshima, 2014). These traditional species of rice seeds planted have low yields in terms of paddy rice output per hectare. The poor reception is attributed to socioeconomic characteristics of rural rice farm households. Ojo, Bawa and Chuffor (2013) opined that peculiar socioeconomic characteristics of farm households help to shape perceptions and attitudes towards modernization in agricultural production in general, and rice production in particular. The rice production landscape in Nigeria is also characterized by small-scale and poor resource-based farmers. These farmers lack financial and educational capacities to acquire and understand new technologies and use new rice seed varieties. Thus, the use of traditional low quality rice seeds remained an obstacle that had hindered improvement in rice production efficiency by paddy rice farmers in Nigeria (Afolami, Obayelu, Agbonlahor, &Lawal-Adebowale, 2012).
Despite the increase in fertilizer consumption by the country, it is equally inadequate. Low applications of fertilizer and other farm chemicals had affected the capacities of paddy rice farmers to achieve higher efficiency and output. Tillman, Cassman, Matson, Naylor, &Polasky (2002) poised that ‘’agricultural practices determine the level of food production and to a great extent, the state of global environment – in some regions of the world, crop production is hindered by too little application of fertilizers’’. Therefore, intensification of rice production means intensity in application of fertilizers and the use of other weed and pest chemicals. The major obstacles to higher application of fertilizer were: inefficient and long fertilizer supply chain, inadequate domestic supply, high exchange rate affecting final cost farmers pay on fertilizer and ignorance (Fuentes, Bumb, & Johnson, 2012).
Market failure is equally an impediment towards improving rice production and cost efficiencies and higher output in Nigeria. A market failure is defined as the situation where free markets failed to allocate resources efficiently leading to price volatility. A successful paddy rice market should be characterized by a stable market price, which provides remarkable incentives for higher producers’ efficiency, yields and output. An evaluation of paddy and locally milled rice markets in Nigeria showed an unstable paddy and locally milled rice market prices in the past five decades
2.4 Remedial Approach to Boost Rice Production Nigeria
Evans,Uchechukwu, and Romanus (2018) submit that to enhance the production of rice, it is very germane that additional support for development of efficient rice seed varieties be advocated. It is also essential that the distribution of rice varieties that are resilient to climate changes be encouraged. The promotion of good agricultural practices that will help to compensate for the lapses rice production processes cannot be overemphasised in this regard. They further suggest that in terms of enhancing commercialization of rice production, modern means of rice production and processing that will enhance the quality and quantity of production should be adopted. Another important aspect of rice production that requires attention is the issue of technological advancement in rice processing since it has been observed that most of the processes utilised by the rural rice farmers are mostly traditional that are both labour intensive and time consuming. With higher level of technology, the farmers will be able to achieve a higher volume of yield with the best quality of products that will enhance consumer preference for locally produced rice. Technological advancement in the production and harvesting will promote commercialization and profitability of the rice production.
Application of modern technology in the production and processing will further guarantee a better packaging of local rice to make it more appealing to consumers and will attract more buyers of the product. The use of modern harvesters suitable to our own ecology will further enhance the standard of the rice production process by reducing the rate of breaking and eliminating contamination by stone and shafts. Kareem (2016) has pointed out that the major obstacle facing the attainment of the potential benefits of agricultural production in many African countries is inadequate science and technological advancement.
Adewumi, Olayanju and Adewuyi (2007) observed that rice production and processing are profitable ventures in Nigeria and what is required is to encourage investment in rice processing activities. Aside the nutritional value of rice and high inclination of people towards its consumption, the by-product of rice could serve as a source of energy generation for domestic purposes. This could serve as a source of biofuel for cooking especially in rural settings where most of the rural dwellers could not readily afford the cost of kerosene or gas for cooking and heating purposes. Yan, Ngadi and Kok (2016) in their study stressed that rice generates large amount of by-products that could be used to produce energy and reduce the amount of firewood required to meet the daily cooking needs. This is crucial in Nigeria where rural dwellers use local means of cooking such as firewood and charcoal. The connotation of the above is that modern processing of rice at the milling centres could help in preserving the rice hub which servers as firewood to the locality thereby reducing the cost of buying kerosene for cooking.
For optimum output to be attained in rice production, it is necessary that ecological consideration be factored in the production process, especially in the choice of land as well as the typological components of the area. In this respect, the method of land preparation plays a significant role in the rice production process. In relation to this, Amb and Ahluwalia (2016) observed that zero tillage in rice-wheat cropping system could have major benefits, such as: improved water usage efficiency, reduced investment cost, higher yield, reduced weed population and a positive environmental effect. In production system with no-tillage or conservation tillage, the crop residues are buried in the soil and thus, the release of allele chemicals from both the growing plants and residue decomposition might act synergistically.
Abdullahi (2012) carried out his study on the Comparative Economic Analysis of Adopters and Non-adopters of improved rice varieties among farmers in Paikoro Local Area of Niger State. Some of the problems encountered by both categories of farmers in the study area include; pests and diseases, high cost of seed, fertilizer and labour. It is recommended that policy should be designed to ensure adequate supply of inputs to farmers at subsidized rates and extension packages should also be extended to non-adopters.
2.5 Theoretical Framework
Theory of Comparative advantage
It can be argued that world output would increase when the principle of comparative advantage is applied by countries to determine what goods and services they should specialise in producing. Comparative advantage is a term associated with 19th Century English economist David Ricardo.
Ricardo considered what goods and services countries should produce, and suggested that they should specialise by allocating their scarce resources to produce goods and services for which they have a comparative cost advantage. There are two types of cost advantage – absolute, and comparative.
Absolute advantage means being more productive or cost-efficient than another country whereas comparative advantage relates to how much productive or cost efficient one country is than another.
Comparative advantage-Using all its resources, country A can produce 30m cars or 6m trucks, and country B can produce 35m cars or 21m trucks. This can be summarised in a table.
In this case, country B has the absolute advantage in producing both products, but it has a comparative advantage in trucks because it is relatively better at producing them. Country B is 3.5 times better at trucks, and only 1.17 times better at cars.
However, the greatest advantage – and the widest gap – lies with truck production, hence Country B should specialise in producing trucks, leaving Country A to produce cars. Economic theory suggests that, if countries apply the principle of comparative advantage, combined output will be increased in comparison with the output that would be produced if the two countries tried to become self-sufficient and allocate resources towards production of both goods. Taking this example, if countries A and B allocate resources evenly to both goods combined output is: Cars = 15 + 15 = 30; Trucks = 12 + 3 = 15, therefore world output is 45 m units.
The theory also assumes that markets are perfectly competitive – in particular, there is perfect mobility of factors without any diminishing returns and with no transport costs. The reality is likely to be very different, with output from factor inputs subject to diminishing returns, and with transport costs. This will make the PPF for each country non-linear and bowed outwards. If this is the case, complete specialisation might not generate the level of benefits that would be derived from linear PPFs. In other words, there is an increasing opportunity cost associated with increasing specialisation.
Comparative advantage is not a static concept – it may change over time. For example, non-renewable resources can slowly run out, increasing the costs of production, and reducing the gains from trade. Countries can develop new advantages, such as Vietnam and coffee production. Despite having a long history of coffee production it is only in the last 30 years that it has become a global player. seeing its global market share increase from just 1% in 1985 to 20% in 2014, making it the world’s second largest producer.
Many countries strive for food security, meaning that even if they should specialise in non-food products, they still prefer to keep a minimum level of food production. The principle of comparative advantage is derived from a highly simplistic two good/two country model. The real world is far more complex, with countries exporting and importing many different goods and services.
According to influential US economist Paul Krugman, the continual application of economies of scale by global producers using new technology means that many countries, including China, can produce very cheaply, and export surpluses. This, along with an insatiable demand for choice and variety, means that countries typically produce a variety of products for the global market, rather than specialise in a narrow range of products, rendering the traditional theory of comparative advantage almost obsolete.
Modern approaches to explaining trade patterns and trade flows tend to use gravity theory – which explains trade in terms of the positive attractiveness between two national economies – based on economic size (in a similar fashion as planets attracting each other based on their mass) – and the ‘economic distance’ between two economies. Economic size attracts countries to trade, and economic distance makes trade harder. Economic distance is increased by barriers to trade, and cultural, political and linguistic differences. One advantage of gravity theory is that it can help economists predict the likely effect of changes in government policy on trade patterns, including decisions regarding joining (or leaving) trading blocs.
Despite these significant criticisms, the underlying principle of comparative advantage can still be said to give some ‘shape’ to the pattern of world trade, even if it is becoming less relevant in a globalised world and in the face of modern theories.
CHAPTER THREE
METHODOLOGY
3.0 Introduction
This chapter deals with the procedure used in carrying out this study. It includes research design, population, the sample and sampling techniques, instrumentation, methods of data collection and the analytical tools employed in the study.
3.1 Research Design.
Descriptive method of survey type will be employed in the study. The design will be attempted to examining the economic impact of local rice production among farmers as a means to foster economic development within Nigerian Economy. Thus, the researcher will try to gather data on the identified research problem without manipulating any of the variables in the study.
3.2 Population of the Study
The target populations for the study comprised all farmers in South West, Nigeria.
3.3 Sample and Sampling Techniques
The study employed simple random sampling technique. Thus, sample for the study consists of four states. In each state fifteen farmers will be randomly selected and the prepared questionnaire will be administered.
SN States Numbers of farmers
1. Oyo 15
2. Ogun 15
3. Ekiti 15
4. Lagos 15
3.4 Method of Data Collection
Permission would be sought from the individual participants, and they will be enlightened on how to attend to the Questionnaire, the participants thereafter will be asked to complete the questionnaire. Ethical issues of assurances will be given on the basis of confidentiality and discretion of the study. The participants will be informed about the purpose of the study and its seriousness and they will be encouraged to be truthful in their responses. The researcher will administer the questionnaire with the assistance of one research assistant that assisted in the distribution and collection of the questionnaires
3.5 Instrument for Data Collection
The instrument that will be used for the study is “questionnaire”. The questionnaire will be designed and will be addressed by the target population to obtain the necessary information required in achieving the objectives of the study. The questionnaire will be divided into two sections. Section ‘A’ provided Demographic Information of the respondents and partly explains how the questionnaire is to be filled, while section B focus on research questions and key for the responds are: Strongly Agree=SA, Agree=A, Strongly, Disagree=SD and Disagree=D.
3.6 Validity of the Instruments
The instrument will be subjected to both face and content validity to ensure that they measured what they were expected to measure. Face validity entails looking at questions and questionnaire respectively and deciding if they really measures what they are expected to measure. Content validity on the other hand, it has to do with the use of recognized subject matter experts to evaluate whether questionnaire assess defined content.
3.7 Reliability of the Instrument
Pilot test of the instrument will be carried out to observe how the respondents react to both and questionnaires; whether the items are clear enough and easily understood, whether there is the need to include more items in certain areas, or whether there are some items to which they would not like to respond, etc. This will help determine the internal consistency and reliability of the questionnaires. A total of 5 farmers will be randomly selected as a sample outside the area of study, copies of the instrument will be administered as a small, the results will be analysed to determining the validity of the instrument.
3.8 Method of Data Collection
Permission will be sought from the participants and they will be enlightened on how to attend to the both the interview questions and the Questionnaire, the participants thereafter will be asked to complete the questionnaire. Ethical issues of assurances will be given on the basis of confidentiality and discretion of the study. The participants will be informed about the purpose of the study and its seriousness and they will be encouraged to be truthful in their responses. The researcher will administer the questionnaire with the assistance of one research assistant that assisted in the distribution and collection of the questionnaires.
3.9 Methods of Data Analysis
Data collected will be analysed with the use of percentages and frequency counts mean for each of the items will be calculated and analysed based on respondents responses to each item.
CHAPTER FOUR
DATA ANALYSIS AND DISCUSSION
This chapter contains the analysis and interpretation of the research questions that guide the study. It is also contain discussion of findings in relation to the existing literatures and empirical studies.
4.1 Demographic Information of Respondents
Table 4.1: Gender Distribution of Respondents
Gender Frequency Percent
Male 42 70.00
Female 18 30.00
Total 60 100.00
From Table 4.1, it is evident that majority of respondents weremale i. e. 70.00% respondents female were 30.00% respondents.
Table 4.2: Distribution on Farming Experience of Respondents
Years Range Frequency Percent
2 - 5 years 2 03.00
6- 9 years 17 28.30
10 – 13 years 4 6.67
14 -19 years 7 11.70
20 and above 30 50.00
Total 60 100.00
From Table 4.2, it is evident that majority of respondents have farming experience from 20 and above years with 50.00% followed6- 9 years with 28.30%, then 14 -19 years with 11.70% , and 10-13 years with 6.67%, lastly,2 - 5years with 8.30% which are the years of experience respectively.
4.2 Data Analysis of Research Questions
Research Question 1: What are the economic characteristics of local rice farmers in south West Nigeria?
Table 4.3: Respondents’ response on economic characteristics of local rice farmers in south West Nigeria
S/N Items A % SA % D % SD %
1. Farm equipment like plough, tractor and harvesters machines improves rice planting. 5 8.3 2 3.3 25 41.7 28 46.7
2. There is efficient funds to acquire land and rent equipment as much as you like 6 10.0 9 15 13 21.7 32 53.3
3. Rice farmer can produce up to 20 bags of rice annually 2 3.3 8 13.3 12 20.0 38 63.3
4. Rice farmers earn as expected in rice farm production. 1 1.67 11 18.3 18 30.0 30 50.0
5. Rice farmers normally apply chemicals to plants, especially, rice fertilizer and insecticides. 7 11.7 15 25 13 21.7 25 41.7
6. There are competitions in local rice market 5 8.3 2 3.3 25 41.67 28 46.7
Total 60 %100
From table 4.3, it is evident that the majority of the respondents’ responses on economic characteristics of local rice farmers in south west Nigeriawasnotprogress nor appreciated as expected, when majorities of the respondents disagreed and strongly disagreed on the postulated items.Out of 60 respondents, 46.7% and 41.7% strongly disagreed and disagreed respectively that farm equipment like plough,tractor and harvesters machines to improves rice planting, while 8.3% and 3.3% strongly agreed and agreed on it; 53.3 % and 21.7% strongly disagreed and disagreed respectively thathere is efficient funds to acquire land and rent equipment as much as they like, while 13.3% and3.3% strongly agreed and agreed on it; 63.3% and 20.0% strongly disagreed and disagreed respectively that rice farmer can produce up to 20 bags of rice annually, while 13.3% and 3.3% strongly agreed and agreed on it; 50.0% and 30.0% strongly disagreed and disagreed respectively that rice farmers earn as expected in rice farm production, while,1.67% and 18.3% strongly agreed and agreed on it; 41.7% and 21.7% strongly disagreed and disagreed respectively thatrice farmers normally apply chemicals to plants, especially, rice fertilizer and insecticides, while, 11.7% and 25.0% strongly agreed and agreed on it. The implication of this is that the farmers are aware of the importance of this equipment, but economy has affected them, the economic characteristics of rice farmers in south west Nigeria was very poor.
Research Question 2: Are there any constraints hindering the high productivity of local rice in South West Nigeria?
Table 4.4: Respondents’ response on constraints hindering high productivity of local rice in South West Nigeria
S/N Items A % SA % D % SD %
1. There is high cost of improved rice seeds 32 53.3 8 13.3 9 15.0 9 15.0
2. There is high cost of technology and perceived risk associated with technological changes. 22 36.7 23 38.3 7 11.7 8 13.3
3. Lack of Government adequate support. 46 76.7 7 11.7 3 5 3 5
4. There is no specific fixed price for rice selling in market. 25 41.7 23 38.3 8 13.3 8 13.3
5. Very low in production output compared to other countries due to financial constraint to buy fertilisers, herbicides, seeds, insecticides, credits and tractors. 30 50.0 10 16.7 10 16.7 10 16.7
Total 60 %100
From table 4.4, it is evident that the majority of the respondents’ responses showed that there are constraints hindering high productivity of local rice in South West Nigeria, when majorities of the respondents agreed and strongly agreed on the postulated items. Out of 60 respondents, 53.3% and 13.3% strongly agreed and agreed respectively thatthere is high cost of improved rice seeds, while 15.0% and 15.0% strongly disagreed and disagreed on it;36.7% and 38.3% strongly agreed and agreed respectively thatthere is high cost of technology and perceived risk associated with technological changes., while 11.7% and 13.3% strongly disagreed and disagreed on it;76.7% and 11.7% strongly agreed and agreed respectively thatlack of Government adequate support, while 5.0% and 5.0% strongly disagreed and disagreed on it;% and % strongly agreed and agreed respectively thatthere is no specific fixed price for rice selling in market., while 41.7% and 38.3% strongly disagreed and disagreed on it;50.0% and 15.7% strongly agreed and agreed respectively thatVery low in production output compared to other countries due to financial constraint to buy fertilisers, herbicides, seeds, insecticides, credits and tractors., while 16.7% and 16.7% strongly disagreed and disagreed on it. The implication of this is that, if the constraints are not well addressed rice production in South-west Nigeria may not have something to write home.
Research Question 3: How best can the identified constraints be solved?
Table 4.5: Respondents’ response on how best can the identified constraints beresolved
S/N Items A % SA % D %
SD %
1. chemical application to rice farm, which is used in the control of weeds and pests in the rice farms, thereby increasing the productions 35 58.3 13 21.7 8 13.3 4 6.7
2. Quantity of fertilizer applied will lead to increase in the output of rice. 16 26.7 25 41.7 8 13.3 11 18.3
3. Adoption of technically efficiency lead to increase maximum output produces. 46 76.7 10 16.7 2 3.3 2 3.3
4. Access and timely advancement of credit enable rice farmers to purchase required inputs for carrying out farming activities on time 41 68.3 15 25.0 2 3.3 2 3.3
5. Availability of land and water encourage rice farmers to increase their capacity. 50 83.3 4 6.7 4 6.7 2 3.3
Total 60 %100
From table 4.3, it is evident that majority of the respondents strongly agreed and agreed on the postulated remedies to the constraints of rice production in South West Nigeria. In other words, the identified constraints facing rice productivity in South West Nigeria can be solved with the postulated items. Out of 60 respondents, 21.7% and 53.3% strongly agreed and agreed respectively thatchemical application to rice farm, which is used in the control of weeds and pests in the rice farms, thereby increasing the productions, while 13.3% and 6.7% strongly disagreed and disagreed on it; 41.7% and 26.7% strongly agreed and agreed respectively thatquantity of fertilizer applied will lead to increase in the output of rice., while 18.3% and13.3 % strongly disagreed and disagreed on it;16.7% and 76.7% strongly agreed and agreed respectively that adoption of technically efficiency lead to increase maximum output produces., while3.3% and 3.3% strongly disagreed and disagreed on it;25.0% and 68.3% strongly agreed and agreed respectively that access and timely advancement of credit enable rice farmers to purchase required inputs for carrying out farming activities on time, while 3.3% and 3.3% strongly disagreed and disagreed on it;6.7% and 83.3% strongly agreed and agreed respectively that availability of land and water encourage rice farmers to increase their capacity, while 6.7% and 3.3% strongly disagreed and disagreed on it. The implication is that it is evidently proved that the south-west local rice farmers are ready to produce rice in an abundant quantity if the necessary/needed equipment are provided to them by the government.
4.3 Discussion of Findings
Research question one was on economic characteristics of local rice farmers in south West Nigeria. The findings of this study revealed that economic characteristics of was very poor and not encouraging at all. It was revealed that majority farmers did not have personal farm equipment like plough, tractor and harvesters machines; did not have money to acquire land and rent equipment as much as they like; did not apply chemicals to plants, especially, rice fertilizer and insecticides; and confirmed that there was no competitions in local rice market.
Meanwhile, research question two of this study that was on constraints hindering the high productivity of local rice in South West Nigeria revealedconstraints that led to the level of current level of local rice productions. The result showed that high cost of improved rice seeds curtailed many farmers to demand for it; also, high cost of technology and perceived risk associated with technological changes prevent farmers from adopting technological tools in the process of farming. The result of the findings revealed that government are not adequately support rice production in south west Nigeria and there is no specific fixed price for local rice selling in market;apparently,there is very low in production output compared to other countries due to financial constraint to buy fertilisers, herbicides, seeds, insecticides, credits and tractors. This result correlate with the opinion of Ojo, Bawa and Chuffor (2013) that observed that peculiar socioeconomic characteristics of farm households help to shape perceptions and attitudes towards modernization in agricultural production in general, and rice production in particular. The rice production landscape in Nigeria is also characterized by small-scale and poor resource-based farmers. These farmers lack financial and educational capacities to acquire and understand new technologies and use new rice seed varieties. As well, the result buttressed the finding of Fuentes, Bumb, & Johnson, (2012) that revealed that major obstacles to higher application of fertilizer were: inefficient and long fertilizer supply chain, inadequate domestic supply, high exchange rate affecting final cost farmers pay on fertilizer and ignorance” this is on the side of fertilizer application during rice production process.
Research question three was on way by which the constraints hindering the progress of rice production in south west Nigeria can be solved. The result of the findings revealed that chemical application to rice farm, which is used in the control of weeds and pests in the rice farms, thereby increasing the productions; application of quantity of fertilizer will lead to increase in the output of rice; adoption of technically efficiency can lead to increase maximum output produces. Also, result revealed that access and timely advancement of credit enable rice farmers to purchase required inputs for carrying out farming activities on time, as well, availability of land and water encourage rice farmers to increase their capacity. This remedies, corroborate with the suggestion made by Evans et al (2018) when they submitted that to enhance the production of rice, it is very germane that additional support for development of efficient rice seed varieties be advocated. It is also essential that the distribution of rice varieties that are resilient to climate changes be encouraged. The promotion of good agricultural practices that will help to compensate for the lapses rice production processes cannot be overemphasised in this regard. They further suggest that in terms of enhancing commercialization of rice production, modern means of rice production and processing that will enhance the quality and quantity of production should be adopted.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
This chapter presents summary of the major findings, implications, it also puts forth the conclusion made based on the finding. Then, useful recommendations made in the study that is hoped that it will be implemented by the concerned personalities on local rice production in South West Nigeria.
5.1 Summary of the Study
The study focused the economic impact of local rice production among farmers as a means to foster economic development within Nigerian Economy, especially among South West Nigeria farmers.
. In this study all the necessary literatures have been reviewed, both conceptual and empirical studies respectively.
The study was structured into five chapters. Chapter one gave the background to the study, statement of the problem, research questions significance of the study, scope of the study, and definition of terms were given within the chapter. Chapter two consisted of the review of the related literatures to the study. Chapter three gave the methodology used in study. The result and discussion of the findings from the analyzed data were presented in chapter four; this chapter is also made up of the description of the findings, the opinion of the respondents on the examined content.
In all, four research questions were raised and analysed. From the results, it was revealed that economic characteristics of local rice farmers in South West Nigeria was very poor; there were constraints that serves as obstacles for the progress such as: high cost of improved rice seeds which curtailed many farmers to demand for it; also, high cost of technology and perceived risk associated with technological changes prevent farmers from adopting technological tools in the process of farming; government inadequate support of rice production in south west Nigeria and unspecific fixed price for local rice selling in market; financial constraint to buy fertilisers, herbicides, seeds, insecticides, credits and tractors.Finally the result showed some proffer solutions to the problem such as: chemical application to rice farm, which is used in the control of weeds and pests in the rice farms, thereby increasing the productions; application of quantity of fertilizer that can lead to increase in the output of rice; adoption of technically efficiency that can lead to increase maximum output produces. Also, access and timely advancement of credit enable rice farmers to purchase required inputs for carrying out farming activities on time, as well as availability of land and water can encourage rice farmers to increase their capacity.
5.2 Conclusion
There is common wise thought that says “a discovered problem is half solved, since the findings of this study have revealed the level of economic characteristics of local rice farmers in Nigeria, and the challenges facing them as well, postulated remedies which have been confirmed relevance by the participants who were the major concerned. Therefore, the remedial approaches covered in this study are to be given special attentions by the concerned bodies such as government, stakeholders, agriculturists, philanthropists etc.
5.3 Recommendations
Based on the result of the research finding, the writer would like to give some recommendations for the following people.
It should be noted however, that the recommendations are not intended for only the Federal Government but should cut across all other tiers of government including the private sector. These recommendations are enumerated below:
First the governments should strive to bridge the gap between the potential and attainable local rice yields. Governments must increase the supply of fertilizer not only for rice cultivation but for the generality of the agriculture sector. As an immediate strategy, the current volatile fertilizer subsidy should be kept at between 40-50% of the market price for a reasonable length of time. In order to save the farmers from exploitation by the fertilizer market participants, the marketing and distribution must be properly organized for farmers to derive maximum benefits from the subsidy policy as it is currently in place.
Other factors that should be addressed by all tiers of government based on the previous analysis of farms and farmers’ characteristics, and rice farm management practices should include biological factors (soil, water, seed quality, pests); socioeconomic factors (social/economic status, family size, household income/expenses/investment); farmer knowledge (education level) and experience; farmers’ management skills; and farmers’ decision making (attitude, objectives, capability, and behaviour). These factors must be supported by institutional/policy supports in terms of rural development and infrastructure, land tenure, irrigation and crop insurance. All these factors should be addressed to reduce the yield gaps among farmers.
To complement the agricultural extension officers, government must begin to train and distribute agricultural commercial extension agents, who have the mastery of the market conditions both local and international and should be able to disseminate the knowledge to the farmers. Effective farmer organizations such as cooperatives can assist farmers in production, harvesting and postharvest, processing and marketing, and direct marketing of the product. The government should deplore and effectively use the cooperative officers to educate farmers on the advantages of cooperatives. Finally,to support these recommendations adequate attention should be paid to the impact of age on technical efficiency of the local rice farms.
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