The study was conducted to determine the profitabillty of traditional. method of processing palm fruits in Ogbadibo local government area of Banue State. Data on socio-economic characteristics, -costs and returns -were obtained from · sixty (60) processors-in the study area selected i.ising simple random sampling-technique. The data were analysed using_descriptive statistics artdJa.tm budgeting techniques. The results· of the study indicated thaf majority of the respondents were young with mean age of 26 years and average years of processing expe1ience of 8.7 years. The results-also showed that labour contributed the major (60.23%) cost component and sales of palm oiVis the major ( 65 .5 % ) revenue · component. According -to the results, the venture; is ·profitable . with returns per naira invested of 0.6. However, high cost of labour and lack of modem processing equipments were found to be the major constraints of the activity as reported by 75% and 58.75% of the respondents respectively. Based on the 'findirigs, it can be concluded that while the, venture is profitable, more can be desired· fo improve performance. Thus,: the study recommends that processors should form· c:'ooperativ~ groups to pool their res0urces _and have. easy access to lban -so a.s to obtain modern . '.- - ' - processing equipments.