Economic Analysis of Palm Wine Production in ILA Local Government Area of Osun State, Nigeria

The study was carried out to evaluate the analysis of palm wine production in Ila Orangun local government area of Osun State. Structured questionnaire and interview schedules were designed to obtain information on socio economic characteristics of palm wine tappers, factors influencing palm wine tapping, determinants of palm wine production and challenges encountered by palm wine tappers in the study area. Sixty palm wine tappers were randomly selected from six villages which includes Ila Orangun, Isinmi Olootu, Gaa Fulani, Oyi ayegunle, Ajaba, and Ejigbo Orangun. Data collected were analyzed using descriptive analysis (frequency and percentage) and inferential statistics. The result revealed that majorities (80.0%) of the tappers were male, 41.7% had no formal education, 80% of them were married and majorities (53.4%) were between the age ranges of 41-50 years. Most (73.7%) engage in tapping and production of palm wine for commercial purposes, 73.4% had production years of tapping experience range from 5-10 years, 91.7% of the palm tree tapped in this area are matured at 7 years of growing maturity, majority (71.7%) of the tappers do not mix additives with their palm wine. The multiple regressions revealed that number of palm trees tapped (p =0.001), age of tappers (p =0.005) and gender (p =0.001) were the significant and major determinants of palm wine production in the study. Major challenges encountered by tappers in the study area include poor extension service (78.3%), inadequate capital (65.0%), poor marketing service (60.0%), inadequate credit facilities (55.0%), and poor storage facilities (55.0%). Palm wine tapping had contributed to the cultural and economic growth of the study area. It is however recommended that palm wine tapping should be encouraged and standardize so as to restructure the effective production of palm wine in the study area