Economic viability of Hass avocado (Persea Americana) production by small-scale farmers in Wakiso district, Central Uganda

Abstract

This paper evaluates, using descriptive and profit margin analyses, the economic viability and the socio-economic factors that influence farmers’ decisions to adopt hass avocado (Persea Americana) growing. Primary data were obtained through household survey conducted in Namayumba, Masuliita and Kakiri sub-county of Wakiso district, central Uganda between June to December, 2022. A sample of 55 farmers was selected and interviewed during the month of July – December 2022. The data obtained was analyzed used descriptive statistics, gross margin analysis and log linear regression analysis. The The analyses demonstrate that the average gross margin earned by the farmers was UGx. 8,775,000 per acre per season. Hass avocados mature after 2 years and a single mature tree can produce more than 3000 (500kgs) fruits under good agronomic management practices. An Acre requires 166 trees at maximum, on planting spacing of 6x4m of which production estimate is over 450,000 fruits (75,000kgs). From one avocado tree that’s about five years old, a farmer can harvest 3,000 fruits in a year, that’s about 500 kilograms. And, as direct export, a kilogram is sold at $2. The household size, market type, farm size and distance to the nearest market significantly affected the profitability of the enterprises. To promote greater adoption of hass avocado growing, particular attention should be placed on the use of appropriate socioeconomic characterization, to better target the enterprise to areas with greater adoption potential. Given the study findings, it is recommended that since the farm size had a positive and significant coefficient, the farmers should increase on the land under cultivation of hass avocado so as enjoy the economies of scale associated with large production. The ministry of Agriculture and other farming organizations should provide subsidized or free inputs so as to encourage production on a commercial scale.