DETERMINANTS OF FARM ENTERPRISE CHOICE AMONG FADAMA USERS IN FEDERAL CAPITAL TERRITORY, ABUJA, NIGERIA

Abstract

This study examined the determinants of farm enterprise choice among fadama users in Federal Capital Territory, Abuja, Nigeria. Cross sectional data were obtained from 387 fadama users with the aid of structured close-ended questionnaire. Data collected were analyzed using frequency, percentages, means and multinomial logit model. The study found that about 39% of the fadama users are into crop production and about 27% are into agro-processing, 23% preferred livestock farming while only 11% of the fadama users are in fish farming. The result of the multinomial logit model likelihood ratio statistics as indicated by χ2 statistics was highly significant (p<0.0000). The explanatory power of the factors as reflected by Pseudo R2 was high (0.66), responsible for about 66% of the variations in fadama users’ choice of farm enterprise. Gender, education, labour, land ownership status, credits access and off-farm job significantly influence farm enterprise choice at p<0.01 and 0.05 level of probability. Lack of storage facilities (3.67), poor access to and control of land for agricultural production (3.65), inaccessibility of farmers to agrochemicals and fertilizers (3.61), price fluctuation of products (3.58) and inadequate farm labour (3.53) are part of the major challenges facing the farmers. Hence, the education and training of fadama users should be emphasised for sustainable livelihood and government should increase institutional supports through provisions of storage facilities, agrochemicals and fertilizers, stabilization of agricultural commodity price and provision of irrigation and drainage equipment at subsidized rates.