Feed Milling Industries Resilience amid COVID-19 in Nigeria

Authors

  • Adio Matthew Olufemi Department of Agricultural Economics and Farm Management, Faculty of Agriculture Federal University, Oye-Ekiti, Ekiti State, Nigeria
  • Olarinde Luke Oyesola Oyesola Department of Agricultural Economics and Farm Management, Faculty of Agriculture, University of Eswatini, Luyengo Campus, Eswatini
  • Ajetunmobi Oyepeju Abosede Department of Agricultural Economics, Faculty of Agricultural Sciences, Ladoke Akintola University of Technology, Ogbomoso, Nigeria
  • Ayeni Matthew Durojaiye Department of Agricultural Economics and Farm Management, Faculty of Agriculture Federal University, Oye-Ekiti, Ekiti State, Nigeria
  • Asake Sarah Adeola Department of Agricultural Economics and Extension, College of Agricultural Sciences, Landmark University, Omuaran, Kwara State, Nigeria

Keywords:

Feed Mill, COVID-19, Profitability, Gross Margin, Regression Analysis

Abstract

This study analyzed the resilience strategies for small-scale feed milling industries,
learning from the COVID-19 pandemic in Ekiti State, Nigeria. 215 small scale feed mills
industries were selected by multistage sampling procedure. Descriptive statistics, gross margin
and regression analysis were used for the analysis of data collected. Results revealed that the
mean age for the respondents was 40.45 year. In addition, 91.58% of the feed millers were
married while 8.42% were single with a mean household size of 6. 13 years was the mean
number of years spent in school. With respect to experience, the respondents had 11 years of
feed milling experience. Gross margin results indicated that income after COVID-19 is more than
during the COVID-19 showing an N168,330.00 significant (p<0.001) difference indicating that
COVID-19 had great consequences on the income. The regression result revealed that sex
(p<0.001), marital status (p<0.010), household size (p<0.001), education (p<0.001) and
experience (p<0.005) were feed mill profitability determining factors in the study area.
Constraints faced during COVID-19 are that lockdown due to COVID-19 hindered operational
activities of feed mill (65.26%), COVID-19 causes a total increase in the price of inputs (66.32),
reduction in the sales of feeds (69.29%), reduction in work force (65.26%), and loss of raw
materials through spoilage (66.32%). The study recommended that feed millers should
collaborate with local farmers for the supply of materials at lesser price, rather than buying
highcost foreign materials.

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Published

2024-05-18