An economic analysis and factors affecting output and income of yellow pepper (<i>Capsicum chinense var. Nsukka drillus</i>) producers in Enugu State, Nigeria

This study examined the economic analysis of yellow pepper production in Enugu State. Three LGAs were purposively selected based on level of yellow pepper production. Multi-stage sampling technique was adopted for this research with 108 respondents interviewed. Descriptive statistics, budgetary and regression analysis were employed in the data analysis. Results revealed that age range of 21-30 years had highest percentage (31.5%) of yellow pepper farmers and were dominated by females (62.0%). Majority of the respondents were married (51.0%). Furthermore, 42.6% of the respondents had been engaged in yellow pepper farming for 1 to 5 years. Total Cost for output of yellow pepper was ₦269,100 per hectare, while the total revenue generated was ₦6,345,000 per annum, with a net revenue of ₦6,075,000 per annum, gross margin was ₦6,133,000, and return on investment of 28.9%. Regression result revealed that R2 value was 0.704, implying that the variables included in the model explained 70.4% of the total variation in the model. Cost of planting materials, quantity of seeds, were all positive and statistically significant because more investment in planting materials (like high-quality seeds, fertilizers, or improved soil amendments) generally led to better crop establishment and growth. Major constraints faced were high level of insecurity, high cost of transportation, difficulty in accessing capital, pests and diseases and lack of government support in the study area. Government should provide the support needed in terms of security, credit, and other agricultural inputs so that farmers can produce greater number of plants, which increases profits.