JOURNAL OF AGRICULTURE AND AGRICULTURAL TECHNOLOGY (Volume 13(2))

Abstract

This study was executed to estimate the profitability of poultry egg production and its determinants in Ibadan, Oyo State, Nigeria. A two-stage sampling technique was used to survey 120 poultry farmers, and primary data was collected using a structured questionnaire. The data obtained was analyzed using descriptive statistics, cost and returns analysis and multiple regression. Results revealed that the majority (75%) were male, with an average age of 41 years. Many (64.2%) of the poultry farmers had secondary education, and 25.8% had farming experience of 1-4 years. The majority (88.3%) were cooperative society members, and 87.5% operated a battery cage system of poultry management. The cost and returns result showed that poultry egg production was profitable, with a net income of ₦1,823,252.61. The profitability ratio further revealed that for every ₦1 invested in poultry egg production, the poultry farmer earned ₦0.26 as profit. In addition, factors influencing profit level among the farmers include age (β = 0.23, p<0.01), experience (β = 0.71, p < 0.05), feed cost (β = - 0.12, p < 0.01), labour cost (β = - 1.30, p < 0.01), cost of medication (β = - 1.06, p < 0.01), stock size (β = 0.79, p < 0.01), price of crate of eggs (β = 0.90, p < 0.01) and cost of laying birds (β = - 0.28, p < 0.05). Based on the findings of this study, it is recommended that policies that will assist poultry egg farmers to attain a drastic reduction in the cost of poultry feed, possibly through subsidies, should be formulated by the government. In addition, it is essential to encourage the use of locally sourced raw materials in feed formulation to increase profit.