Farm-Level Profitability and Determinants of Maize Production in Northern Bangladesh

Abstract

This study examines the farm-level profitability of maize production and identifies the key determinants of gross revenue among maize producers in Northern Bangladesh. Using primary data collected from 100 farmers through a multistage sampling technique during the 2024–2025 production season, the analysis integrates descriptive statistics, cost–return analysis, and a Cobb–Douglas production function estimated by the ordinary least squares (OLS) method. The results indicate that maize cultivation is economically viable, with an average profit of Tk. 14,462.6 per bigha, reflecting strong income potential for smallholder farmers. The regression findings represent that hired labor, machinery, seed, and pesticide costs exert statistically significant positive effects on gross revenue, highlighting the importance of modern inputs and efficient farm management practices. In contrast, plowing cost shows a negative association with revenue, suggesting inefficiencies in land preparation, while irrigation, fertilizer, and harvest–transport costs are found to be statistically insignificant, possibly due to uniform usage patterns or suboptimal application. The model demonstrates strong explanatory power, accounting for a substantial proportion of variation in farm revenue. Despite profitability, farmers face several constraints, including limited access to credit, inadequate extension services, and high input costs, which hinder optimal resource utilization. Therefore, this study recommends strengthening institutional support, improving access to quality inputs and affordable credit, and enhancing extension services to promote sustainable and efficient maize production in Bangladesh.