Abstract:
Optimal agricultural land use is vital for improved productivity, maximized profitability, and efficient utilization of resources. The
study aimed to determine the optimal combination that maximizes profit from the production of food crops and trees. A multiperiod profit maximization programming model was used. The study used both primary and secondary data. Primary data involved
the collection of information on average crop/tree prices and production costs through the focus group discussion and key
informants such as VEO and other village leaders. Secondary data was collected from the National sample census of agriculture
2007/08, Iringa region report. From the study findings, it can be concluded that the initial allocation done by farmers was not
optimal. Moreover, the study found capital and land were binding. Therefore, the government should promote low-interest credit
to farmers to enable them to increase their capital base and also rent more land to increase profit