Influence of Socio-Economic Variables on Palm Oil Production in Central Agricultural Zone of Delta State, Nigeria

Abstract

The influence of socio-economic variables on palm oil production in Central Agricultural Zone of Delta State, Nigeria was investigated. Structured questionnaires were used to collect data from 100 respondents, using multistage and random sampling techniques. Non-parametric and parametric statistical tools, including mean, frequency count, percentage, and multiple regression, were used to analyze the data. 74 % of the respondents were females, aged 50-59 years; most of them (68%) were literate; average household size and production experience were 6 persons and 13.2 years, respectively. 72 % of the respondents earned #76,000 and above per year. Majority sourced fund for financing their palm oil production through personal savings. Net production income was statistically and significantly influenced by household size and years of experience. Palm oil production was seriously constrained by lack of capital, high cost of labour, and high cost of palm fruits due to scarcity. Policy to mitigate the problem of lack of capital, such as the provision of soft loans, will enable the producers increase output in order to meet the increasing demand for palm oil.