Authors: Olalekan Jacob Olaoye; Dorcas Adetokunbo Adegbite; Olumuyiwa F. Ashaolu; Godwin Alafia Kayode Omoyinmi; Oluwaseun Christianah Odebiyi; Funmilayo Modupe Ajayi
Journal of Sustainable Development in Africa (Volume 14, No.2, 2012) ISSN: 1520-5509 Clarion University of Pennsylvania, Clarion, Pennsylvania
Abstract
Inadequacy and frequent dearth of credit for financing aquaculture have been a major constraint to this sub-sector of Agriculture in most developing countries. Recognizing credit as a critical factor in agricultural development, governments in these developing countries keep implementing various projects and programme one of which is OSAMCA. The study was carried out to know the socio-economic determinant of the demand for OSAMCA loan among fish farmers in Remo zone of Ogun State, Nigeria. Eighty fish farmers were selected using simple random sampling techniques and
structure interview schedule and direct interview was used to collect information from OSAMCA loan beneficiaries and non beneficiaries in four local government area of the zone. Collected data was subjected to descriptive and budgetary analysis. Statistical analysis revealed that 80% of the respondents were males, 52.5% and 50% of the beneficiaries and non-beneficiaries were within the age range of 25 and 40years, 97.5% and 95% were married, 77.5% and 67.5% practiced Christianity respectively. Many (47.5% and 45%) of the respondents had secondary education, 70%
and 77.5% had household sizes between 4 and 6 persons. The annual income of beneficiaries was N3,324,,750 while the non-beneficiaries was N2,196,450. Constraints to procurement of OSAMCA loan among fish farmers are: sourcing of guarantor from government institute/agency (70.5%), distance of agency and beneficiaries (29.5%), late approval and release of loan (27.5%) and inadequacy of credits (22.5%). Beneficiaries generated net farm income of N2,183,300.00 while non-beneficiaries generated N1,969,209.00. There is a significant difference between the profit level (T = 2.068 and 0.042 (p < 0.05)) of both beneficiaries and non –beneficiaries as well as between loan demand and socio-economic characteristics of the OSAMCA loan beneficiaries.