Economic Analysis of Forest-Based Small Scale Enterprises (FB-SSEs) in Herbal Soap Processing in South West, Nigeria

Oluwalana, E. O. A.; Adekunle, MF; Aduradola, A. M.; Okojie, Luke Jesebhebho; Ashaolu, Olumuyiwa Fowoye; Sanusi, R. A.

doi:10.9734/bjemt/2016/25758

Cited by 1 publication

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“…However, the transformation of cassava waste into various forms for food, feed, and industrial raw material has the potential to help developing countries improve food security, create additional value in rural settings, generate income and employment and develop a more favourable balance of trade. (Oluwalana, 2011) reported that there are opportunities to utilize agro-processing wastes such as cassava peels to generate wealth. The wealth so generated from wastes can lead to reduction of poverty among the rural entrepreneur especially the women processing herbal soap in particular.…”

Section: Introductionmentioning

confidence: 99%

Enterprise Assessment Across Cassava Waste (Peels) Value Chain in Ogun State

Elegbede

Oluwalana

Shittu

2021

JAgSE

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In this article, the Enterprise assessment across cassava peels value chain in Ogun State Nigeria is examined. Multistage sampling technique was used to select 180 cassava processors and marketers. Socio-economic data were obtained from respondents with the use of pre-tested questionnaires. Data were analysed using descriptive statistics, budgetary technique, Stochastic Frontier Analysis (SFA) and Student t-test. The study found that majority (84.3% and 52.8%) of processors of cassava peels and marketers were female. In addition, 60.2% of the processors and 51.4% of the marketers had secondary education. The value chain activities carried out by processors were transportation, drying and packaging while marketers transported, packaged and put the peels in storage for future sales. The SFA revealed that cost of labour (p<0.01) and quantity of fresh cassava peels (p<0.01) were the main determinants of output of dried cassava peels by the processors. The inefficiency model revealed that the efficiency of producing dried cassava peels increased with increase in age (p<0.01), credit access (p<0.01), household size (p<0.01) and membership of cooperative society (p<0.01). Furthermore, the cost function revealed that cost of sieving (p<0.05) and depreciation on capital item (p<0.01) increased the production cost of dried cassava peels. The mean technical, allocative and economic efficiency of producing dried cassava peels were estimated as 94%, 83% and 78% respectively. This study concluded that production of cassava peels is efficient and its trade is profitable. The study recommends that cassava processors and marketers should form cooperative groups to increase access to credit for higher output and trade of peels.

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Section: Introductionmentioning

confidence: 99%