Rice profitability analysis of farmers along the value chain, a case study of Doho rice scheme, Butaleja district.

Abstract

Rice is a cereal and cereals are important food and cash crops in Uganda and other developing countries. In a country like Uganda more than 44,000 grow rice and other related cereals like maize, wheat, sorghum, barley and millet the overall, productivity of the cereals particularly rice is very law and this has had a great impact of the profitability. The aim of this research study was to contribute towards rice improved profitability in order for farmers to generate income for their livelihood. The specific objectives were: to establish the socioeconomic characteristics of rice producers or farmers, to determine the pr0fítability of the rice farmers and to determine the factors affecting the profitability of rice. Stratified random sampling procedure was used by divided farmers into groups and selecting them according to their characteristics of importance to the research, and also purposive random sampling was employed in this study with the guide of the scheme extension worker. Primary data was collected from the field using a structured interview. Secondary data was obtained from different online published materials and published library books and journals were also used. Data was analyzed; objective one was analyzed using Descriptive analysis. Moreover, objective two was analyzed using Gross margin analysis Approach and lastly objective three was analyzed using both Descriptive and multilinear regression analysis approach. The research results showed that, at farm level the net income for rice fanners on average was USHS 308,000 per acre. Furthermore, age of respondents; gender; income levels, education level and above all access to market information had a great effect on the net profit income of the farmers; With the above, it's a clear indicator that this research study if positively recognized by national bodies responsible for improving rice growth would contribute as a great fountain of important rice literature.