Abstract

The study examined the determinants of Value Addition in Cassava Processing in Lagelu Local Government Area, Oyo State, Nigeria. A total of one hundred and twenty (120) respondents were randomly selected for the study and interviewed through the use of structured questionnaires. Specifically, the study described the socio-economic characteristics of the cassava processors in the study area, assessed the profitability of cassava processing in the study area, estimated the determinants of value addition among cassava processors in the study area and  identified the constraints to the cassava processing in Lagelu Local Government Area, Oyo State. The statistical tools used for this study were descriptive statistical tools such as frequency distribution and percentages and the regression models. From the findings, a substantial percentage (50.8%) of the respondents had their age lying within 31-40 years age bracket, and hence were in their prime working age. Gender analysis of the respondents showed that majorities (87.5%) of the respondents were female, and also majorities (78.3%) of the respondents were married. Besides, about 43 % of the sampled cassava processors had between 5 and10 years’ experience in cassava processing. Majority (44.2%) of the respondents had between 7 and 9 persons as household size and about 68% of the respondents predominantly engaged in cassava processing as their main occupation. The study further revealed that a substantial percentage (63.3%) of the cassava processors in the study area possessed formal education. Measures of performance indicated that the cassava processing business in the study area was viable and profitable. Moreover, the regression result indicated that sex, years of formal education, the quantity of cassava processed were statistically significant in determining the profitability level of the respondents in the study area. Major among the constraints faced by the respondents in cassava processing was the high cost of transportation and the labour intensive nature of the business which each accounted for 40.8% responses by the respondents. Based on the findings from the study, the following recommendations are suggested: Government should promote investment in local cottage processing industries through the provision of appropriate credit facilities and infrastructural facilities. The government should enhance access to raw materials by imposing a ban on the exportation of unprocessed cassava produce which can be processed locally and subsequently exported as more finished products so that Nigeria can gain in terms of value addition and foreign exchange earnings.