Financial Cost Benefit Analysis of Maize Storage Techniques: A Case Study of Njoro Sub-County

Abstract

This study analyzes the cost benefit implication of maize storage techniques used by farmers and traders, and further identifies challenges in the uptake of new and improved technology and innovations. Using a case study area in Njoro sub-County from Kenya, we identified and evaluated the economic feasibility of the various technologies that farmers and traders used to store their maize against being attacked by insects and rodents. Analysis showed that most feasible storage innovation amongst farmers was the metal silo with a benefit-cost ratio (BCR) and net present value (NPV) of 4.4 and Kshs.44 respectively. Furthermore, amongst traders storage of threshed maize in a hired premise was identified as the most feasible storage option with BCR of 1.3 and NPV of Kshs.2443. These findings have implications on maize storage technologies, and they indicate that policies which enhance appropriate on-farm storage structures and effective storage techniques along the maize value chain should be adopted. Key words: storage techniques, cost–benefit analysis, maize, Kenya, Njoro