Enterprise Shift Decision among Natural Rubber Plantation Owners In The Rain Forest Zone Of Delta State, Nigeria

Abstract

The rapid disappearance of natural rubber plantations in the rain forest zone of Nigeria has worrisome ecological, economic and social implications. It is important to evaluate enterprise shift decision among natural rubber plantation owners in the rain forest zone of Delta State,Nigeria.  A total of 84 respondents were randomly selected from the six rubber plantation settlements in Delta state. Primary data were collected with structured questionnaire.  Descriptive statistics and logit regression model were used to analyse data. The result indicates that rubber farmers are old and majority of the improved rubber management practices were not utilized. About 76.7% of rubber plantation majority of natural rubber plantation owners express decision to shift from rubber production while 23.3% indicated decision not to shift. Logit model analysis revealed that cost, risk, education and family size had significant effect on enterprise shift decision (P<0.05). Resources are likely to flow out of natural rubber industry. It was recommended that rubber plantation owners should be encouraged to make use of all the improved rubber practices, and the Government should attract youth to rubber farming. There should be attractive market price and extension activities should be encouraged through better funding.

KEYWORDS:  Shift factors, Decision,Natural rubber,Plantation owners, Rain forest