Technical Efficiency and Production Elasticity of Broiler Producers in Edo State, Nigeria

mokaro, C.O.

There is a pressing need to increase broiler output in Nigeria in order to meet the inadequate supply of animal protein. The relatively poor technology used in smallholder farms results in significantly lower feed efficiency, marketing of low weight broilers at the end of fattening period and very high mortality rates. This situation is mainly attributable to failure to exploit economies of scale and There is a pressing need to increase broiler output in Nigeria in order to meet the inadequate supply of animal protein. The relatively poor technology used in smallholder farms results in significantly lower feed efficiency, marketing of low weight broilers at the end of fattening period and very high mortality rates. This situation is mainly attributable to failure to exploit economies of scale and .81 and above. Result of the diagnostic statistics indicated that there were technical inefficiency effects in broiler production in the study area, as confirmed by the large and significant value of the gamma coefficient (0.74). Also, the generalized likelihood ratio was significant (p ? 0.01). The respondents were operating at increasing returns to scale (stage 1 of the production function) as shown by the summation of the elasticities of the inputs which was greater than one (1.2). It was concluded that some gaps exist at farm level technical efficiencies of broiler farmers in Edo State. Improved technical efficiency of broiler farmers can be achieved in the study area by filling these identified gaps. Also, broiler farmers could benefit from economies of scale linked to increasing returns as a way of enhancing production and ensuring the sustainability of the sector

Keywords: Diagnostic, Estimate, Frontier, Poultry, Production, Returns, Scale, Smallholder.