Abstract: This study examined the distribution management pattern adopted by the OYSADEP that pay off and has helped in reducing the loopholes of diversion of agricultural inputs, as well as analyzing the effectiveness and impact of agricultural input distribution on farmers� productivity. Data analyses involved the use of both descriptive and F statistic to examine the significance of input distribution on the performance of agricultural sector and the effect of OYSADEP�s extension service on agricultural development in Oyo State. Major findings revealed that the farmers� financial status improved as a result of the activities of the agency and this led to expansion in farm�s output.