Soybean Supply Response to Price and Non-price Factors in Nigeria: Implications for Food Security
Journal Title: Asian Journal of Agricultural Extension, Economics & Sociology - Year 2017, Vol 15, Issue 3
Abstract
Productive growth exits side by side with food insecurity just as planned supply does not equate actual soybean supply at all times in Nigeria. Hence, the need to invistigate the speed of response of planned supply of soybean to actual supply for food security is imperative. Time series data spanning from 1960 to 2012 on unit domestic prices, output supply, export prices and volume, acreage and weather condition (rainfall) from CBN and NBS annual bulletins were used for the study. Analyses were done with descriptive statistics, simple ratios and econometric models such as Nerlove partial adjustment and Cob-Dauglas models, cointegration test and error correction mechanism (ECM). The supply fluctuated in a downward trend from 186.9% within 1986-1990 to 4.6% before 2012. The ECM showed a short-run divergence for all the included series with 34.4% of the disequilibrium in the supply of one period being corrected in the next period. There is an inelastic but positive domestic and export prices in the short-run, which slightly improved in the long run, hence the reason for the extended growth in supply. Again, increased rainfall and acreage will increase actual supply, suggesting that irrigation and expanded area of land for soybean cultivation needs immediate attension. Adjustment co-efficient of 0.888 is less than unity and positive, hence the rise in actual supply is never instantaneous but strives to meet the planned supply. Increase in actual production, using cost-effective inputs like expanded land and irrigation facilities are important.
Authors and Affiliations
N. C. Ehirim, U. S. Okoro, E. Ikheloa, L. O. E. Nwauwa, I. J. Onwuagba, C. Mgbeojirikwe
Keywords
Related Articles
- EP ID EP323104
- DOI 10.9734/AJAEES/2017/8261
- Views 103
- Downloads 0
An Assessment of Existing, Desired Competencies and Skills of Apple Growers in Mid Altitude Areas of District Shopian in Jammu & Kashmir
The present study was conducted in mid altitude areas comprising of villages viz-Chek-Sadipora, Sadipora and Narvav of district Shopian of Jammu and Kashmir with sample size of 60 apple growers. The district Shopian was...
Assessing Agricultural Extension Professionals Opinion towards Sustainable Agriculture in Bangladesh
Aims: The farmers of Bangladesh is producing extra food for huge number of people by injudicious use of agro-chemicals thereby damaging the ecosystem and hampering the sustainability. For checking this ill practice, it r...
Assessing Attitude towards Activities of Rangamati Watershed Development Project in Cooch Behar District of West Bengal, India
Aims: Assessing the level of favourable attitude towards the activities of watershed development project and impact of attitude on extracting benefits from the project. Study Design: Before-after study design. Place an...
Determinants of Climate Smart Agriculture Technology Adoption in the Drought Prone Districts of Malawi using a Multivariate Probit Analysis
Climate variability is one of the limiting factors to increasing per capita food production for most smallholder farmers in Africa. The adoption and diffusion of climate smart agriculture technologies, as a way to tackle...
Perceived Training Needs of Smallholder Rice Farmers on Urea Deep Placement Technology in Benue State, Nigeria
This study investigated the perceived training needs of smallholder rice farmers on urea deep placement (UDP) technology in Benue State, Nigeria. Data were collected from 162 rice farmers by using a well-structured quest...