ANALYSIS OF CAPITAL STRUCTURE AND EFFICIENCY OF CAPITAL EMPLOYEDIN AGRO-ALLIED FIRMS IN NIGERIA

The study examines and compares the capital structure and efficiency of capital employed between listed and unlisted agro-based firms in Nigeria. Data collected from 88 agro-based firms using random sampling technique for the period 2005-2010 were analysed using Z-test, Capital Structure Ratio (CSR) and Return on Capital Employed Ratio (ROCE) analysis as well as descriptive statistics. The result revealed significant differences between the capital structure of listed and listed agro-based firms. Listed agro-based firms recorded the highest debt to equity ratio than their unlisted counterpart. Short term debts also constituted a greater percentage of the total debt ratios of both sample groups. Unlisted agro firms were more efficient than listed firms in terms of return on capital employed. Accordingly, series of recommendations have also been offered

ANALYSIS OF CAPITAL STRUCTURE AND EFFICIENCY OF CAPITAL EMPLOYED IN AGRO-ALLIED FIRMS IN NIGERIA

The study examines and compares the capital structure and efficiency of capital employed between listed and unlisted agro-based firms in Nigeria. Data collected from 88 agro-based firms using random sampling technique for the period 2005-2010 were analysed using Z-test, Capital Structure Ratio (CSR) and Return on Capital Employed Ratio (ROCE) analysis as well as descriptive statistics. The result revealed significant differences between the capital structure of listed and listed agro-based firms. Listed agro-based firms recorded the highest debt to equity ratio than their unlisted counterpart. Short term debts also constituted a greater percentage of the total debt ratios of both sample groups. Unlisted agro firms were more efficient than listed firms in terms of return on capital employed. Accordingly, series of recommendations have also been offered

Technical efficiency and its determinants in garden egg (Solanum spp) production in Uyo Metropolis, Akwa Ibom State

The study analyzed the technical efficiency and its determinants in garden egg production in Uyo metropolis using stochastic frontier analysis. A cost route approach was adopted in eliciting information from 90 garden egg farmers selected through simple random sampling technique. The results show that all the production variables analyzed were positive and statistically significant except capital. The implication is that the production function was an increasing function. The major determinants of efficiency were identified to be farm size and gender. Smaller farms were found to be more efficient than larger ones. This further supports Schultz’s (1964) hypothesis that small farms in developing countries are poor but efficient, and Mkhabela’s (2005) observation that small farmers are more efficient than large ones. In addition, men were found to be less technically efficient than women, perhaps also because women generally control smaller farm size than men. The results further revealed that the farmers were not fully technically efficient with a mean efficiency of 0.86. The mean efficiency could therefore be improved by 14% through better use of available resources. These observations suggest that providing an enabling environment for urban smallholder farmers and perhaps resource rationalization between men and women could enhance their productivity and hence help in reducing urban poverty.<br>Cette étude analyse l’efficience technique et ses déterminants dans la production d’aubergines dans la métropole d’Uyo au moyen de l’analyse de frontière stochastique. C’est la méthode de l’enquête à visites multiples (cost-route) qui a été choisie pour recueillir les informations auprès de 90 producteurs d’aubergines sélectionnés grâce à une technique d'échantillonnage aléatoire simple. Les résultats montrent que toutes les variables de production analysées sont positives et statistiquement significatives, sauf le capital. Cela signifie que la fonction de la production est une fonction croissante. La taille de l’exploitation et le sexe de l’exploitant ont été identifiés comme les principaux déterminants de l’efficience. Les petites exploitations se sont révélées être plus efficientes que les grandes. Cela corrobore l’hypothèse de Schultz (1964) selon laquelle les petites exploitations des pays en voie de développement sont pauvres mais efficientes, et l’observation de Mkhabela (2005) selon laquelle les petites exploitations sont plus efficientes que les grandes. En outre, les résultats montrent que l’efficience technique est plus élevée chez les femmes que chez les hommes, peut-être aussi parce que les femmes sont en général à la tête d’exploitations plus petites que les hommes. Les résultats ont également révélé que l’efficience technique des exploitants n’est pas maximale, avec une moyenne de 0,86. Une meilleure utilisation des ressources disponibles pourrait donc améliorer l’efficience moyenne de 14 %. Ces observations suggèrent qu'un environnement favorable aux petits exploitants et peut-être la rationalisation des ressources entre les hommes et les femmes pourrait augmenter leur productivité et donc aider à réduire la pauvreté urbaine.<br>El estudio analizó la eficacia técnica y los determinantes en la producción de nakati etíope en la metrópolis de Uyo utilizando un análisis de fronteras estocásticas. Se adoptó un enfoque de itinerarios de coste para obtener información de 90 productores de nakati etíope seleccionados mediante una técnica sencilla de muestreo al azar. Los resultados indican que todas las variables de producción analizadas son significativas de manera positiva y estadística, salvo el capital. La inferencia es que la función de producción es una función en crecimiento. El tamaño de la producción y el género fueron identificados como los principales determinantes de la eficacia. Se observó que las plantaciones más pequeñas son más eficaces que las grandes. Esto también apoya el postulado de Schultz (1964) de que las pequeñas plantaciones en los países en vías de desarrollo son pobres pero eficaces, y la observación de Mkhabela (2005) de que los pequeños productores son más eficaces que los grandes. También se comprobó que los hombres son menos técnicamente eficaces que las mujeres, lo que quizás también se deba a que las mujeres generalmente controlan plantaciones más pequeñas que los hombres. Los resultados también permitieron constatar que los productores no son plenamente técnicamente eficaces, con una eficacia media de 0,86. La eficacia media podría así ser mejorada en 14 % mediante una mejor utilización de los recursos disponibles. Estas observaciones sugieren que brindar un entorno favorecedor a los minifundistas urbanos y quizás racionalizar los recursos entre hombres y mujeres podría mejorar su productividad, ayudando así a reducir la pobreza urbana

Boosting agricultural productivity through financing and marketing of green economy in Nigeria

A Green Economy can be considered as an alternative vision for growth and development; one that can generate growth and improvement in people’s lives in ways consistent with sustainable development. To drive this vision, the role of finance cannot be over-emphasized since no tangible investment can be done without funds. This paper therefore assesses the impact of financing and marketing on agricultural productivity through the development of green economy in Nigeria. Using secondary data from Central Bank of Nigeria; food and agricultural organization covering 1970-2010 and employing co-integration, error correction and Granger Causality test techniques, the study found a positive and significant long run relationship between agricultural productivity (ARGDP), commercial bank credit to agriculture (CAG), total government expenditure on agriculture (TEA), consumer price index (CPI) and agriculture population (APOP) as well as a uni-Granger causality from TEA to ARGDP, CAG to TEA, CPI to APOP and TEA to APOP. It is recommended that concerted effort by all stakeholders are required to steer green agriculture on a sustainable production and productivity pathway through mobilization of funds and provision of an environmentally friendly alternative for Nigeria’s transition from a mono economy to a diversified green economy for effective and efficient use of resources by present and future generation for sustainable development