Socio-Economic Determinants of Sugarcane Production Among Small Scale Farmers in Nyando Sugarbelt, Kenya

Abstract

ABSTRACT Sugar industry in Kenya supports livelihood of 25% of the population both directly and indirectly. The industry accounts for about 15% of Agricultural Gross Domestic Product and is a major employer for most households in Western Kenya. Sugarcane outputs in Kenya have been on the decline from a modest 73 tons to 55 tons per hectare between the years 2009 and 2014. This decline has attracted researchers to this area of study; however, most studies have mainly focused on agricultural determinants without regard to the socio and economic determinants of cane production. This study therefore sought to establish the socio-economic determinants of sugarcane production among small scale farmers within the Nyando Sugar Belt. Specifically, the study sought to examine the effect of cost of variable inputs, farmer educational level, land ownership and gender on cane output. The study was anchored on Production Theory and was guided by correlation design. The target population was 12,057 small scale cane farmers within the Nyando Sugar Belt, 384 cane farmers were randomly sampled out of which 375 responded to the questionnaire. The data for this study was both primary and secondary. Questionnaires were used to collect primary data and secondary data obtained from farmers records. Reliability of the research instruments was ascertained and Cronbach alpha coefficient of 0.868 obtained confirming the reliability of the research instrument. Data analysis was done through descriptive and inferential statistics, measures of central tendencies was used to summarize responses in numerical forms, multiple regression to ascertain the direction and magnitude of influences of the study variables on cane output and Pearson correlation to ascertain the bi-variate association between the study variables and significance of the variables. Coefficient of determination R2 was 0.758 which indicated that 75.8% variation in cane output was explained by all explanatory variables. The F value was 164.641 and was significant indicating that the regression model was well fitted. The study revealed that variable input costs (land preparation cost β=0.455 at p-value=0.000, fertilizer application cost β =0.168 at p-value=0.000, weeding and weed control cost β=0.398 at p-value=0.000 and seed cane and planting cost β=0.479 at p-value=0.000) had significant positive effect on cane output. Land ownership and Gender was also found to have a significant effect on cane output at β= -0.064 and p-value=0.049 and at β=0.093 and p-value=0.010 respectively. It is recommended that more investments be made on land preparation, fertilizer application, weeding and weed control and seed cane and planting to improve cane output. The study also recommends for interventions targeting landowners and female headed households to enhance cane output.