Budgetary and profit index analysis of poultry production in Kwara State, Nigeria

Abstract

This study examined the economics of poultry production in Kwara State, Nigeria using budgetary and profit
index analysis. Primary data were collected through a set of structured questionnaire from 80 registered
poultry farmers using a systematic random sampling technique. The results of the study showed that 72.5%
of the respondents were youth with the mean age of 38.7 years and 63.8% choose poultry farming as main
occupation. Analysis of costs and returns revealed that poultry production is profitable in the study area. The
gross income and net income for eggs production were found to be ₦4,062,422 and ₦1,255,965, respectively,
while the gross and net incomes for broilers production were ₦1,683,209 and ₦499,187, respectively. The
regression analysis showed that stock capacity, variable, and fixed costs including labour, feed, and
equipment were the significant factors affecting poultry farm business in the study area. These costs
increase as the size of the business increases. To achieve optimum output and maximise profit, poultry
producers in the study area would have to stem down cost of production. Provision of technical education
through extension agents would greatly help in achieving this lofty goal.