Economic Performance of Commercial Poultry Egg Production in Federal Capital Territory, Nigeria

ABSTRACT This study analyses the performance of commercial poultry-egg production in FCT, Abuja. Specifically, it examines profitability, efficiency (technical, cost and profit) level, factors affecting cost efficiency, determinants of profit efficiency as well as the constraints faced by poultry egg farmers in the study area. Data for this study were obtained from primary source collected from seven eight (78) purposively selected poultry farmers using structured questionnaire and/or interview method. The data collected were subjected to descriptive statistics, gross margin analysis and stochastic frontier production function, stochastic frontier cost function, stochastic frontier profit function and Like rt scale ranking technique. The findings indicated that commercial poultry egg production was profitable in the study area with a gross margin of N22,692,874. Feeds constituted the highest percentage of the total costs, accounting for 84.32%. Majority of the farmers are performing relatively efficiently with a mean technical efficiency of 0.88, cost efficiency of 1.43, and profit efficiency of 0.85 efficient. The factors influencing cost efficiency include: age, years of experience, level of education, gender, access to credit and cooperative participation. The factors influencing profit efficiency include: age: education, farming experience, gender, access to credit and cooperative participation. Major constraints of poultry egg production in the study area include: high cost of vaccine and feed materials, no access to credit facility, lack of visit by extension workers and inadequate electricity supplies. The study concluded that commercial poultry table egg production is profitable in the study area and that majority of the farmers are relatively efficient.