ABSTRACT

Nigeria as the world leader in cassava production, is yet to tap the full potential embedded in cassava. This study was conducted to determine the profitability analysis of processing cassava into fufu in Aguata Local Government Area, Anambra State. The specific objectives were to describe the socio-economic characteristics of cassava “fufu” processors in the study area, determine the profitability of processing cassava into fufu, ascertain the determinants of profit among respondents in the study area, and determine the constraints to cassava “fufu” processing.

Simple random sampling technique was used to select 60 respondents from the study area. Data was collected using a structured questionnaire and interview schedule. Data was analyzed using descriptive statistics, gross margin analysis and regression analysis.

Findings show that fufu processing is female dominated. The study indicated that fufu processing is profitable in the study area with an average gross margin of ₦48 786.74 per processor. The major determinants of profits were age of the respondents, packaging cost, starting capital, cost of cassava bought, price per unit sold and quantity sold per week. Fufu processing is faced with a major constraints, such as inadequate capital (3.87), price fluctuation (4.37), cassava variety (3.40), and weather problem (4.07). The study recommends that the processors pool their resources together so they can jointly boost their business.