Journal of Basic and Applied Research International

In Delta State, Nigeria, tomato production is a large agricultural sector with substantial potential for food security and revenue generation. However, producers continue to encounter efficiency and profitability difficulties that call for empirical economic appraisal. This research, therefore, evaluated the economic performance and technical efficiency of tomato farmers in Delta State, Nigeria. A multistage sampling method was used to select 240 tomato farmers. The structured questionnaires were used to gather data and analysed through descriptive statistics, cost and return analysis, and stochastic frontier production functions. The findings showed that the average age of farmers was 41 years with 67.5% female and 66.3% married. Tomato production was found to be profitable, with a total revenue of ₦5,600,000 per hectare, gross margin of ₦3,193,969.17 and net farm income of ₦3,139,641.88. The benefit-cost ratio was 2.27, indicating that for every ₦1 invested, ₦2.27 was returned. The mean technical efficiency was 83%, showing that farmers were operating close to the frontier, but with room for efficiency improvement. Technical inefficiency was considerably decreased by education, visits to the extension, membership in associations and access to credit, but was amplified by age and household size. Some of the major constraints that were identified were pest and disease pressure, lack of proper storage facilities, climate-related issues and middleman interference. The research arrived at the conclusion that the tomato business is cost-effective in the region and the government and financial institutions were advised to ease accessibility to cheap credit by tomato growers in order to increase production and efficiency.