A Microlevel Analysis of the Adoption and Efficiency of Modern Farm Inputs Use in Rural Areas of Kano State, Nigeria

Abstract

This study conducted a dual microanalysis of modern agricultural inputs use behaviour in rural areas of Kano State, Nigeria. Probit regression model was estimated to analyse the factors that influence modern inputs adoption. On the other hand, OLS, Poisson and instrumental variable regression models were used to estimate the efficiency of modern inputs adoption and consumption at farm level. The estimated OLS model indicates that additional use of 1 bag of fertiliser, increases the level of productivity by about 5.4%. Similarly, the estimated Poisson model indicates that an additional 1 bag of fertiliser use on a farm increases the productivity per hectare by about 4.5%. Meanwhile, the estimated 2SLS model shows that a 1% increase in the amount of fertiliser use increases the level of output productivity by about 0.34%. Furthermore, the method adopted by farmers on how to use modern agricultural inputs has a significant influence on the level of output production. Modern method of fertiliser application improves the level of output production. Government can use this medium to improve the rate of input use by rural farmers via agricultural schemes that will introduce the farmers to and maintain the modern techniques of farming. Additionally, farmers need to be exposed to skills and training on some off-farm jobs to raise their income to be able to afford the recommended amount of fertiliser. Lastly, the adoption of policies that will encourage the rate of farmers’ contact with extension agents will improve the manner of fertiliser utilisation which in turn increases the level of efficiency.