Analysis of Input Use and Cost of Groundnut Production in Kano State

Groundnut production remains a significant source of income and dietary protein for farming households in Kano State, situated in Nigeria's North West geopolitical zone. However, rising input costs and inconsistent productivity have challenged the economic viability of production for smallholder operators. This study analyses the nature and costs of production inputs used by groundnut farmers in Kano State, with a focus on fertilisers, pesticides, seeds, and labour. A random sample of 150 groundnut farmers was drawn from three rural local government areas, and data were collected using a pre-tested questionnaire. Gross margin analysis and cost-benefit ratio computation were used to assess profitability levels. Findings reveal that the average cost of production per hectare stands at approximately N78,000, with fertiliser accounting for the largest share at 38 percent of total variable costs. The average benefit-cost ratio recorded was 1.62, indicating profitable but modest returns. Majority of farmers relied on retained seed varieties rather than certified improved seeds, citing affordability and accessibility constraints. Only 24 percent of sampled farmers received input subsidy support through the government's e-wallet scheme. The study recommends strengthening input distribution channels and expanding subsidy coverage to include groundnut-specific inputs. Farmer group formation is also encouraged to enable bulk purchasing and reduce per-unit input costs. These findings provide a practical baseline for evaluating input use patterns in groundnut farming systems across northern Nigeria. Keywords: groundnut, input cost, gross margin, Kano State, production economics