Comparative Economic Analysis of Rice Processing Methods in Benue State, Nigeria

The study examined the comparative economic analysis of rice processing methods in Benue state, Nigeria. Random sampling technique was used to select 63 respondents made up of modern and traditional rice processing methods. The study also identified the major inputs used in rice processing, estimate the cost and returns in processing rice; identify the major factors militating against the modern rice processing methods .primary data were collected using structured questionnaire. The data were analyzed using descriptive statistics, gross margin and cobb-Douglas production model. The result of the analysis showed that the modern rice processors were dominated (74.6%) by male while the traditional were dominated (75.4%) by female. The gross margin for the modern rice processing methods was N16,770.00 per 100kg of rice higher than the traditional with N4,143.00 per 100kg of rice. The milling capacity of the modern was 200 kg/min. as against 50 kg/min. in the traditional methods. The study identified lack of awareness, low capital, poor infrastructure, and lack of skilled technical workers as factors militating on the adoption of the modern methods. The study recommended that the government should subsidized the cost of modern technology equipment's for the processors. The processors should form cooperative groups to help train their members to acquire technical skills and also to access inputs and other resources that will boost their business.