Analysis of income distribution patterns of broiler farmers in Imo State, Nigeria

Abstract

This study analyzed the income distribution patterns of broiler farmers in Imo State, Nigeria. The specific objectives were to disaggregate the broiler  farmers into different scale of production in the study  area; determine the pooled income distribution patterns of broiler farmers in the study area; and to determine the income distribution patterns of broiler farmers across different scale of production. A multi-stage sampling technique was adopted, and a total of 9 LGAs were purposively selected from the 3 zones. Stratified random sampling was used in selecting 26
small-scale, 9 medium-scale and zero large-scale broiler farmers from Owerri Agricultural Zone for the study. In Orlu, 15 small-scale, 15 medium-scale and 6 large-scale of broiler farmers were selected, while 15 small-scale, 11 medium-scale and 3 large-scale broiler farmers were selected from Okigwe Zone using the same method. This gave a total of 113 broiler farmers selected from the chosen LGA’s in the state. Out of 113 broiler farmers selected for study only a total of 100 responses were retrieved from the field. The survey was conducted between June 2018 to November 2018. Data were collected on the socio-economic variables of the broiler farmers; scale of operation of broiler farmers; cost of broiler production, imputed cost  and income; and revenue from broiler production. Use was made of Gini Coefficient, Lorenz curve, and Decile distribution. The result of this study revealed 3 scale of broiler operation with small-scale having 57%, medium-scale 34%, while large-scale is 9%. The study discovered that income was unequally distributed among the broiler farmers and this was confirmed by Gini coefficient value of 0.58 for small-scale broiler farmers, Gini  coefficient value of 0.68 for medium-scale farmers, Gini coefficient value of 0.83 for the pooled income of broiler farmers across the state and decile
distribution of the pooled income in which 10th decile controls 77.39% of the total income of broiler farmers while 1st decile controls only 0.52% of the total income of broiler farmers. The Lorenz curve confirmed the existence of unequal distribution of income which is a deviation from the line of equality. In contrast, income gap among large-scale broiler farmers is very small, thus the distribution pattern can be regarded as relatively equal with a Gini Coefficient value of 0.25. The result reveals that the income gap among broiler farmers in Imo State is too wide to allow broiler farmers to transition from small-scale operation to large-scale which left majority of them as small-scale farmers.

Keywords: Income distribution, broiler farmers and scale of operation.