JOURNAL OF ECONOMICS, BUSINESS MANAGEMENT AND ADMINISTRATION


Full Length Research Paper


Impact of Fuel Subsidy Removal on Agricultural Production among Smallholder Farmers in Niger State, Nigeria

Samson Olayemi Sennuga, Ezekiel Oluwaseun Isola, Joseph Bamidele, Daniel Anone Ameh and Mudashir Adeola Olaitan

Article Number - 662BD198E54B6  | Vol. 5(2), pp. 7-17, May 2024  | 
 Received: 9 February 2024 |  Accepted: 16 April 2024  |   Published: 1 May 2024

Copyright © 2024 Author(s) retain the copyright of this article.
This article is published under the terms of the Creative Commons Attribution License 4.0.

Abstract

The study examined the impact of fuel subsidy removal on agricultural production among smallholder farmers in Niger state, Nigeria. Four objectives guided the study. Data were collected with structured questionnaires distributed to 120 smallholder farmers. The study used a multistage stage random sampling procedure to select farming household from each village. Descriptive statistics, regression and Likert type scales were used to analyze the data. The results of logistic regression results revealed that the removal of fuel subsidy has negatively impacted agricultural activities in the study area with challenges such as increased in transportation cost, inadequate vehicles to transport produce to the market due to high cost of fuel, poor sales and lastly increase in prices of agricultural commodities in the country presently. The results also revealed that youths between the ages of 20-29 (64.2%) dominated in the field of agriculture, this prompted the researcher to draw conclusions on the fact that agriculture is a lucrative industry for youths to venture into. The findings revealed that high cost of transportation affects the price of agricultural produce while the distance that exists between the market and the farms is a major reason why the cost of transportation is high. Therefore, the government should support rural farmers through subsidized transportation, improved market access, incentives and road networks. The study therefore suggested that emphasis should be made on thorough research before implementing policies like fuel subsidy removal, advocating for a gradual transition to mitigate hardships for citizens, particularly among smallholder farmers, in Niger State.

 

Keywords: Fuel subsidy, Smallholders’ farmers, Agricultural production, Niger, Transportation.

 

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Authors

Samson Olayemi Sennuga1*, Ezekiel Oluwaseun Isola1, Joseph Bamidele2, Daniel Anone Ameh1 and Mudashir Adeola Olaitan1

1Department of Agricultural Extension and Rural Sociology, Faculty of Agriculture, University of Abuja, FCT, P.M.B. 117, Abuja, Nigeria.

2Waterside Campus, University Drive, Northampton NN1 5PH, United Kingdom.

*Corresponding author. Email: [email protected]

 

How to Cite this Article

Sennuga, S. O., Isola, E. O., Bamidele, J., Ameh, D. A. & Olaitan, M. A. (2024). Impact of Fuel Subsidy Removal on Agricultural Production among Smallholder Farmers in Niger State, Nigeria. Journal of Economics, Business Management and Administration, 5(2), 7-17.

 

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Abbreviation: J. Econ. Bus. Manage. Admin.
ISSN: 2971-7736 (Online)
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