2026 Vol-6 Issue-1 | DETERMINANTS OF TRACTOR UTILIZATION EFFICIENCY AND PROFITABILITY AMONG SMALLHOLDER FARMERS IN NORTH- WEST NIGERIA

In Northern Nigeria, limited access to mechanization continues to constrain farmproductivity despite increasing demand for tractor services. This study examined thedeterminants of tractor utilization efficiency and profitability among smallholder farmersin Kaduna, Kano, and Katsina States. Data were collected from 250 farmers using amultistage sampling technique and structured questionnaires. Data collected wereanalyzed using descriptive statistics, an expanded multiple regression model, andprofitability indicators including Gross Margin (GM) and Benefit-Cost Ratio (BCR).Tractor utilization efficiency was measured as the ratio of actual operational hours to totalworkable tractor hours per season (assumed 8 hours per day over the effective farmingperiod). Results showed that fuel consumption ( = –0.312, p < 0.05) and maintenanceββcosts ( = –0.217, p < 0.05) negatively influenced efficiency, while operational hours ( =ββ0.428, p < 0.01), access to hiring services ( = 0.291, p < 0.01), farm size, education level,and access to credit positively influenced efficiency. Mechanized farmers achieved higherprofitability, with a 32% increase in gross margin and a favourable benefit-cost ratiocompared to non-mechanized farmers. However, potential endogeneity betweenoperational hours and efficiency is acknowledged but not addressed. The findings suggestthat improving access to affordable tractor hiring services, strengthening maintenancepractices, and enhancing farmers' access to credit can significantly improve mechanizationoutcomes within the study area.