Determinants of Profitability among Rural Poultry Entrepreneurs in Imo State, Nigeria

Abstract

The study examined the determinants of profitability among rural poultry entrepreneurs in Imo State, Nigeria. Using a regression analysis approach, the study identified key factors influencing profitability, including farming experience, credit access, cooperative membership, market distance, bird prices, extension services, and farm size. The results showed that farming experience, credit access, price of birds, and farm size positively affected profit of the rural poultry farmers, and were significant at 1%, while Cooperative membership and extension services also affected the entrepreneurial’ profit positively but significant at 5% and 10% respectively. Conversely, distance to the market negatively affects profit, highlighting transportation costs as a critical barrier. The study also identified major constraints, including high transportation costs (88.33%), high feed costs (85%), and labor expenses (58.33%), which significantly hindered productivity. The findings emphasized the need for improved infrastructure, targeted financial interventions, and enhanced veterinary and extension services. The study therefore recommends increased investment in rural road networks to reduce transportation costs, the development of poultry-specific credit schemes with flexible repayment structures, and the expansion of veterinary and extension services to improve disease management and productivity. Addressing these challenges through policy interventions and strategic investments will enhance the sustainability and profitability of rural poultry enterprises, contributing to economic growth and improved livelihoods in rural communities.