Abstract
This research was conducted with the aim of pointing out the that prevent farmers from having access to credit in Yola .
The research also gives an analysis of the socio-economic of farmers in the study area and their access to credit.
Furthermore, the research also identifies the main sources of credit to in the study area and the derived from the credit obtained.
During this research, three communities were purposively selected in Yola south; Wuro-chekke, Bole and Mbamba.
These communities house the majority of farmers in the study area and 20 farmers were randomly selected from each of the community thereby making a total of 60 farmers.
Questionnaires were administered to the 60 farmers selected and the data obtained was analyzed using statistics such as mean, frequency and percentages in Microsoft excel.
The results in the study showed that factors such as lack of collateral, religious beliefs and long application procedures are the main factors that prevent farmers from having access to credit.
The results also showed that farming in the study area is dominated by male farmers of who are small scale farmers as well.
The results of the study showed that farmers in the study area have access to credit but at a very low level and the main source of credit in the study area is the microfinance bank.
Introduction
Background Of Study
For many years, different studies have been conducted on the problems of agricultural credit in Nigeria. The studies were conducted both in the Northern and Southern parts of the country and the results were almost similar to one another.
From the results, it is observed that most farmers who apply for credit to finance their agriculture experience problems such as lack of collateral, high interest rate.
lack of awareness by extension farmers, long procedures and insufficient funds to give all farmers that requested loans; Are the main factors that lead to having problems with agricultural credit (N. 2012).
Other studies conducted have also shown that educational level and locations of banks where the loans are applied for are also among the factors that contribute to farmers not having accesses to loans in the rural areas of Nigeria (Foin 2007).
Agriculture can be defined as the science, art and occupation of cultivating soil, rearing animals and producing crops.
It is also known that agriculture is the basis of civilization; it is through agriculture that human population settled and increased in number, instead of moving from one place to another.
There are different types of agriculture which includes the subsistence and industrial agriculture. The subsistence agriculture is a type of agriculture which is practiced by farmers for the survival of their families.
In this type of agriculture, farmers cultivate small agricultural produce in small land that is just enough for the families to eat and small cash crops.
This type of agriculture is practiced by families and all the labors are done using human and animal power with hand and simple machine.
References
Agriculture. (2014, October 28). Retrieved from National Bareu of Statistic: http://www.nigerianstat.gov.ng/sectorstat/sectors/Agriculture
C., A. B., O, A., & G, E. O. (2014). Analysis of Peasant Farmers’ Access to Agricultural Credit in Benue State, Nigeria. British Journal of Economics, Management & Trade, 1526-1548.
C., A. B., O, A., & G, E. O. (2014). Analysis of Peasant Farmers’ Access to Agricultural Credit in Benue State, Nigeria. British Journal of Economics, Management & Trade, 1526-1548.
Charity, O., Chinyere, Aiwekhoe, & Ikponwosa. (2012). Facto rHhindering the accessibility of Agricultural credit by farmers in Edo state, Nigeria. Journal of Agriculture and Social Research (JASR), 142-148.
Foin, D. N. (2007). Sources and Accessibility of Credit to Farmers For Agricultural Financing In Makarfi Local. Samaru Journal of Information Studies, 34-38.
Gana, F. S., H, T. J., S, K., & R, O. (2009). Agricultural Credit Utilization among Small Scale Women Farmers in Selected Wards Of Bida Local Government Area Of Niger State, Nigeria. Journal of Agricultural Extension, 55-62.
StudentsandScholarship Team
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