CONDUCT A COST-BENEFIT ANALYSIS OF SUSTAINABLE AGRICULTURAL PRACTICES, INCLUDING ORGANIC FARMING, CONSERVATION AGRICULTURE, AND AGROFORESTRY

Abstract

In the wake of the rising trend in climate variability, food insecurity, and environmental degradation, sustainable agricultural practices (SAPs) are an assuring approach towards food-resilient systems. This research carries out a thorough cost-benefit analysis (CBA) on three of the most prevalent SAPs organic farming, conservation agriculture, and agroforestry to determine their economic profitability and ecological sustainability in Lagos, Nigeria. A mixed-methods method was utilized, with quantitative CBA with a 10-year planning horizon alongside qualitative social and environmental impact assessments. Data were gathered from 90 smallholder farmers from Ikeja, Badagry, Epe, and Ikorodu using structured questionnaires, field observation, and interviews. Supplemental data on yield performance, market prices, and input prices were gathered from the Lagos State Ministry of Agriculture, FAO, and NBS reports. All the three practices had a positive Benefit-Cost Ratio (BCR > 1) and Net Present Value (NPV) and thus are economically feasible. The most profitable was agroforestry with NPV of ₦4,038,000 and BCR of 1.83 because of multiple income streams and long-term environmental protection. Conservation agriculture was combined with low input costs and increased water holding capacity in soil, and organic agriculture experienced great biodiversity benefits and market premiums sacrificed to the transition expenses. Aside from increased economic figures, SAPs enhanced the fertility of soil (15–25% increase in organic matter), carbon sequestration (2.5 tons CO₂e/ha/year), and social resilience, particularly in youth- and women-led farmer groups. The research emphasises the diversified advantages of peri-urban and rural Lagos's sustainable agriculture and calls for policy incentives, building capacity, and market infrastructure to promote increased uptake. The research provides action insights to the stakeholders such as policymakers, NGOs, and farmers, in constructing climate-smart, economically viable agricultural systems for Nigeria's urbanising context.