Abstract

**Accepted 3 ^{rd} January, 2015**

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**The study employed Cobb-Douglas stochastic profit frontier function to measure profit efficiency among maize farmers’ in Niger State, Nigeria. A multistage sampling technique was used to select 120 respondents. The results showed that profit efficiencies of the farmers varied widely between 12% and 95% with a mean of 71%. ****The mean level of efficiency indicates that there exists room to increase profit by improving the technical and allocative efficiency. Least profit efficient farmer needs an efficiency gain of 87% to attain the profit efficiency of the best farmer in the region, an average efficient farmer need an efficiency gain of 25% to attain the level of the most profit efficient farmer, while the most profit efficient farmer needs about 5% gains in profit efficiency to be on the frontier. ****All the parameters included in the inefficiency model have significant impacts on profit efficiency.**** ****This implies that profit inefficiency in maize production can be**** ****reduced significantly with improvement in the level of education of sampled farmers.**

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**Keywords: **Profit efficiency, factors explaining inefficiency, profit loss, Maize farmers, Small-scale, Nigeria