A study of the profitability of oyster mushroom Cultivation in Kampala metropolitan area, Uganda


Mayanja I., TİPİ T.

CUSTOS E AGRONEGOCIO ON LINE, vol.14, no.4, pp.80-97, 2018 (Journal Indexed in SCI) identifier identifier

  • Publication Type: Article / Article
  • Volume: 14 Issue: 4
  • Publication Date: 2018
  • Title of Journal : CUSTOS E AGRONEGOCIO ON LINE
  • Page Numbers: pp.80-97

Abstract

The study was conducted in Kampala Metropolitan area Uganda, during October 2016. It focused on analyzing costs involved in mushroom production, estimating profits, conducting a Benefit Cost Ratio (BCR) and Break Even Point (BEP), identifying the constraints of mushroom farming from the perspective of farmers as well as the possible solutions to the constraints as a basis of boosting mushroom production in Uganda. 52 respondents were interviewed face to face through use of questionnaires. The study revealed average net profit of 2,385.31 US dollars per farm in a period of three months, BCR of 4.08 and BEP of 106.41 Kgs. The study revealed that mushroom production is a profitable enterprise. The problems faced by farmers were ranked from the most pressing problem to the least pressing problem in this order; Low market prices per kilogram of mushroom, scarcity of cotton during some seasons, poor quality mushroom spawn supplied to farmers by breeders, inadequate extension and advisory services, unfavorable (high) temperatures, less capital to expand their businesses, termites, snails, fungus and infections, perishability nature of mushroom and difficulty in obtaining water were the most observed problems. The suggested solutions were organizing farmers into groups or cooperatives in order to negotiate for better markets locally and abroad together with the help of government, promoting input producers like cotton farmers and spawn breeders to produce high quality mushroom spawn in adequate quantity and on time, re-equipping local extension workers with knowledge regarding mushroom production, providing water all over the country to ensure adequate production of mushroom during hot seasons and researchers to carry out more research to find out other suitable inputs other than relying on only cotton.