Profitability analysis of soybean production among small scale farmers in Aremo sub county, Omoro district.
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Date
2026-09-14
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Busitema University
Abstract
This study assessed the profitability of soybean among small-scale farmers in Aremo sub-county Omoro district. Specifically, the study aimed to assessed the costs incurred by small scale farmers in soybean production, to calculate the gross margin earned by small scale farmers in the production and to examine the factors that affect the profitability of soybean production. Although soybean is recognized as an important food security and income generating crop in Uganda, there is limited empirical evidence on its profitability, production costs and the factors influencing profitability among small-scale farmers in the study area. A cross-sectional research design was employed and data collected from 156 small-scale soybean farmers using structured questionnaires. Data was analyzed using descriptive statistics gross margin analysis and Ordinary Least Squares regression. The findings showed that the largest cost category was land preparation (36.8%) followed by post-harvest handling (21.4%). The mean land allocated to soybean production was 1.68 acres. The study further identified input costs, labor, access to market, extension services and farmer socio-economic characteristics as key determinants of profitability. The study concludes that soybean production is profitable though constrained by high labor costs and weak market linkages. It recommends strengthening agricultural extension services, establishment of cooperative to improve collective bargaining, improving roads and facilities and encouraging farmers to expand soybean acreage where feasible to improve the profitability of soybean production among small-scale farmers in Aremo sub-county, Omoro district
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Undergraduate research report
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Citation
Ajolorwot, I. (2026). Profitability analysis of soybean production among small scale farmers in Aremo sub county, Omoro district. [Unpublished undergraduate research report]. Busitema University.