Economic Analysis of Small Scale Egg Production in Gombe Local Government Area, Gombe State, Nigeria

Abstract

This study was conducted to determine the economic profitability of small-scale egg production in Gombe L.G.A. Gombe State. Data were collected from 36 famers using simple random sampling technique. The data collected were analyzed using descriptive statistics, gross margin and farm financial ratio analysis. The study found out that the mean flock size was 103 layers and about 90% of the farmers used intensive system of poultry management. Feed costs accounted for 90% of the total variable cost of input used. The study also revealed that the gross margin per farmer was 9770.19, average cost per tray/farmer was 56.90; average revenue/tray/farmer was 72.62 and the average profit was close to 16 per tray of eggs. The farmers received a return of 13 on every Naira invested. Gross and operating ratios were 0.7836 and 0.7788 respectively. The major limiting factors to higher return were high cost of feed and mortality. Profitability could be enhanced through efficient flock management especially on feed and keeping mortality at a minimum.

Key words: Egg, Poultry, Profitability, Management, Farmers