ECONOMIC ANALYSIS OF SMALL-SCALE RICE PROCESSING IN GIWA LOCAL GOVERNMENT AREA OF KADUNA STATE
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Palabras clave

Rice processing
Profitability analysis
Income determinants
Ordinary Least Square
Kaduna State

Cómo citar

Mohammed, A., & Aliyu, Z. (2025). ECONOMIC ANALYSIS OF SMALL-SCALE RICE PROCESSING IN GIWA LOCAL GOVERNMENT AREA OF KADUNA STATE. Journal of Arid Agriculture, 26(3), 18–25. https://doi.org/10.63659/jaa.v26i3.100

Resumen

This study presents an economic analysis of small-scale rice processors in Giwa Local Government Area of Kaduna State, Nigeria, focusing on their socio-economic characteristics, profitability, income determinants, and operational constraints. Primary data were collected from 102 respondents using a structured questionnaire. Data were analyzed using descriptive statistics, gross margin analysis, and Ordinary Least Squares (OLS) regression. The findings reveal that rice processing is predominantly carried out by women (83.33%) and youth, with low levels of formal education, as only 19.61% attained tertiary education. The processors operate at a small scale. Profitability analysis indicates that rice processing is economically viable, yielding a gross margin of ₦190,300 monthly with a profit margin of 29%. OLS results show that grain type, number of employees, paddy sourcing strategy, credit access, and energy cost significantly influence income (p < 0.01). Major constraints include lack of mechanized threshers (97.1%), insufficient capital (93.1%), labor shortages (88.2%), and inadequate storage facilities (81.4%). The study concludes that although rice processing is profitable, its scale and profitability are constrained by technological, financial, and infrastructural challenges. To improve outcomes, interventions should promote mechanization, expand financial access, develop post-harvest infrastructure, and strengthen vocational training to enhance labor productivity and technical capacity.

https://doi.org/10.63659/jaa.v26i3.100
PDF (English)

Citas

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