Profit Function of Wet and Dry Season Smallholder Fluted Pumpkin Production in Southeast, Nigeria

Abstract

The study analyzed profit function of wet and dry season smallholder fluted pumpkin production in Southeast, Nigeria using 360 smallholder fluted pumpkin farmers selected through multistage and purposive sampling techniques with the aid of structured questionnaire. Data collected were analyzed using descriptive statistics and profit function model.  Results in wet season indicated that the value of the coefficient of multiple determination was 0.890546 which showed that 89% of the changes in profit of fluted pumpkin was accounted for by the explanatory variables included in the model. The F-ratio 342.7724 which was significant at 1% level showed that the coefficients of the explanatory variables included in the model were statistically different from zero. The Durbin Watson value of 1.8999 showed the absence of Autocorrelation. The output price (0.23864) and output quantity (93.1021) were positive and significantly related to profit at 1% probability level. The mean of the average production costs (-27.0568) was negatively significant to profit at 1% level, which implied that a 10% increase in the cost of production of fluted pumpkin would lead to 270% reduction in the profit level. Results in dry season showed that the value of the coefficient of multiple determination (R²) was 0.855158 which showed that 86% of the changes in profit of fluted pumpkin were accounted for by the explanatory variables included in the model.The f-ratio (123.61630) which was significant at 1% level revealed that the coefficients of the explanatory variables included in the model were statistically different from zero. The Durbin Watson value of 1.984264 showed the absence of Autocorrelation. The output price (0.2266) and output quantity (40.3517) were positive and significantly related to profit at 1% significant level. The mean of the average production costs (-23.1937) was negatively significant to profit at 1% level, which implied that a 10% increase in the cost of production of fluted pumpkin would lead to 231% reduction in the profit level. It would be concluded that fluted pumpkin production in Southeast Nigeria is profitable. There is need for farmers and youths who are yet to engage in agriculture especially fluted pumpkin production to tenaciously embrace its cultivation due to its economic viability, profitability, productivity and sustainability in Southeast Nigeria.