Gross Margin Analysis of Trade in Non-Timber Forest Products (NTFPs) in Ogun State, Nigeria
DOI:
10.34062/afs.v5i2.5086Keywords:
Trade, Non-Timber Forest Products, Gross MarginAbstract
There is an increasing rate of deforestation and what are left in the forests are the NTFPs which have increasingly caught the attention of more people because of their earnings from it. This study examined gross margin analysis of trade in non-timber forest-products among respondents in Ogun State. A multistage Sampling technique was used in sample selection. Structured questionnaires were used to obtain cross sectional data on the socio-economic characteristics, the different types of NTFPs in the study area, and the returns from NTFPs trade to households in the study area. The study revealed that the level of literacy is high (67.96) and there are more women in the trading activities (73.79 %) than men. The predominant age group was in the range of 31-40 years and they were mostly married (96.11 %). Similarly, snail, mushroom and bush meat had highest average gross margin returns to household in the study area with ₦21, 700 per month followed by bamboo with ₦17,000 per month. The Benefit Cost Ratio, Gross Ratio, Rate of Returns on Investments, and Expenses Structure Ratio were 3.23, 0.31, 2.30, 0.03 and 1.12, 0.89, 0.22, 0.03 respectively. On the basis of these findings, NTFPs can be said to be highly profitable as indicated by these indicators. It is a good point of entry into business for young school leavers and holds good prospect as alternative income generation and poverty alleviation. Government should therefore maximize the NTFP dealer production potential by making more commitment to ensuring access to productive assets.
References
Adegeye, A.J and Dittoh J.S (1982): Essentials of Agricultural Economics. Impact Publishers Ltd., Ibadan pp113-116.
Adekunle, B. (2001): ‘Determinant of Microenterprise performance in Nigeria’ International Small Business Journal, XX (X): 1-14
Adinya, I., Ibom, L.A, Ibekwe, H.A, Ayabie, S.A, Ukam, V.E, Meremikwu, V.N, and Gboshie, P., (2009): Analysis of socio-economic constraints militating against the profitability potentials of snail (Archachatina, Marginata) production by small-scale farmers in Cross River state, Nigeria. Continental Journal of Agricultural Economics 3:1-15. Wilolud online journals
Akinola, A. A., Adewole, O.T., and Bamire A. S (2011): ‘Effects of Organic and Inorganic Fertilizer on the Productivity of Amaranthus cruentus in Ile-Ife, Osun State, Nigeria’ In Adeyemo, R. Ed., Urban Agriculture, Cities and Climate Change, Cuvillier Verlag, Gottingen, Germany
Campbell, H.F. (1995). Cost Technology and Input Demand in the Tasmanian Saw milling Industry. Australian Economic Papers 29; 273-83
Egunjobi, J. K. (1996): Potential and use of non-wood forest resources at the omo biosphere reserve in Southern Nigeria. Consultancy Report to UNESCO (Nairobi), pp: 33.
Idowu, S.D (2012); Indigenous Utilization and Determinants of Participation in Collection and Sales of Forest Plant Leaves in Ogun State, Nigeria Master of Forestry (M.F) dissertation Federal University of Agriculture, Abeokuta Nigeria (unpublished) 169p.
Longenecker, J. G., Moore, C.W., Petty, J.W., and Palich, L.E (2008): Small Business Management, 14th Edition. Thomson-Southwestern, United States.
Olagunju, F. I., Adesiyan, I. O., and Ezekiel, A.A (2007): ‘Economic Viability of Catfish Production in Oyo-State, Nigeria. ’Journal of Human Ecology’, 21(2): 121-124 pp. 27
Olawumi A.T, Idowu S.D, Adedokun, M.O, Oyatogun, M.O.O and Oluwalana S.A (2012): Socio-economic and Marketing of Chewing Stick in Ogbomoso Metropolis of Oyo State, Nigeria Journal of Agriculture, Forestry and Social Sciences (Joafss) Vol.10, No 1:118-124. www.ajol.infol/index.php/joafss
United States Department of Agriculture USDA (2001): Report of the Forest Service Fiscal Year 2001 Washington DC.
Downloads
Published
Issue
Section
License
All copyright must be assigned to the Federal University of Mato Grosso.