7. The concern of the government about the little success recorded in improving the traditional systems of livestock production of the numerous pastoralists probably prompted the government to divert attention to other non-pastoral producing groups. Thus, in the second half of the 1970s (under an arrangement with the World Bank) the Nigerian government embarked upon a livestock development project, (the First Livestock Development Project - FLDP), with the World Bank providing about 50% of the funds required. The main objective of the project was to enhance the production of beef and the provision of animal-source protein to the Nigerian public. This was within the framework of the national objective of increasing the low offtake rates. The project was to engage in designing effective but non-sophisticated methods of beef cattle production that included fattening as well as development and management of commercial ranches (Federal Government of Nigeria, 1984).
8. The thrust of the FLDP derived from a strong desire to commercialize livestock production throughout the country. This is being done by gradually de-emphasizing projects and programmes aimed directly at the traditional pastoralists who own and manage about 90% of Nigeria's cattle population and shifting government livestock development efforts towards involving non-conventional livestock producers (anyone interested in fattening cattle and is able to provide some amount of seed capital).
9. Among some of the specific projects embarked upon were the Smallholder Fattening Scheme (SHFS), ranching and livestock enterprises (corporate and private), mixed farming, grazing reserve development and settlement schemes. Of all these projects under the First Livestock Development Project, the Smallholder Fattening Scheme was considered by the project executors to be the most successful. Success was measured by the level of enthusiasm shown by project beneficiaries, the volume of loan disbursed as well as the loan recovery record (which was considered to be over 85%), requests from commercial banks to participate in the scheme, the number of animals fattened and the weight gain of animals fattened 2. The FLDP and in particular the SHFS was considered such a huge success that a decision was reached by the Nigerian government to replicate it under the Second Livestock Development Project (SLDP). This was despite the observations made to the effect that the SHFS made no more than a tiny dent in correcting the meat deficits in the country (Awogbade, 1985 and Craig, 1982).
10. The purpose of this paper is to re-evaluate the performance of the Smallholder Fattening Scheme under the Second Livestock Development Project in the light of the set objectives of the scheme. The ultimate goal is to determine the impact of the scheme on aggregate meat supply and its profitability from the point of view of the participants. This is done by using available project data generated by the coordinating agency.