(Mukasa, D 2023). Assessment of profitability of sugarcane growing among contract and non-contract farming systems in Butemba Kyankwaqnzi district. (unpublished undergraduate dissertation). Makerere University, Kampala Uganda.

Abstract

The study was conducted in Butemba county Kyankwanzi district, with the key objective of assessing the profitability of sugarcane growing among contract and non-contract systems. Specifically, the study determined the profitability of the sugarcane growing systems. The primary data collected were from field surveys through PAPI questionnaires answered by 81 respondents. The study employed descriptive statistics methods to analyse the socio-economic and demographic characteristics using means and percentages. Gross profit margin analysis was employed to assess the profitability of the two systems of growing sugarcane in the area of study and the findings showed that contract sugarcane growing system was more profitable than non-contract system of sugarcane growing with profit ratios of 0.62 and 0.60 respectively. The study recommends that contract sugarcane farmers should be provided with legal support on deficit payments made by some sugarcane companies which caused their profit ratios to be lower than expected. The study also recommends that non-contract farmers should be helped in creation of awareness about prevailing sugarcane produce prices in order to increase their profit ratios, formation of strong farming groups to ease access to extension services which will also improve on their sugarcane produce qualitatively and quantitatively.