DETERMINANTS OF RURAL LIVELIHOOD STRATEGIES AND INCOME DIVERSIFICATION AMONG PASTORAL AND AGROPASTORAL HOUSEHOLDS IN SOUTHERN ETHIOPIA

Abstract

Apart from farming, engaging on non-farm and/or off-farm income activities and diversifying income earning means lie at the heart of livelihood strategies to improve the level of food security and poverty status of pastoralist and agro-pastoral households in southern Ethiopia. This study analyses the determinants of the level of income diversification and livelihood strategies of pastoral and agro-pastoral households in Malle District of South Omo zone, southern Ethiopia. A multi-stage sampling technique involving stratification and random sampling techniques were used to select 196 representative household heads. Descriptive statistics, Simpson Index of diversity, Multivariate Probit and Two-limit Tobit models were employed. The results of the study show that farmers participated in farming, non-farm income, petty trade and off-farm income livelihood strategies. The factors influencing livelihood strategies are age, sex, family size, educational level, farm size, main market distance, size of livestock holding, cooperative membership, use of credit, and transport access. Moreover, the factors influencing the level of income diversification are sex, family size, educational level, livestock holding size, crop failure, distance of nearest main market, income from farm, and share of non & off farm income. Based on the finding, the government should emphasize on strengthening agricultural production system with due attention parallelly given to strengthening all non-farm and off-farm income earning activities by expanding the provision of rural finance, gender mainstreaming program, formal education, farmer cooperative formation, livestock production system, and rural road construction among pastoralists and agro-pastoralists of the study area.

Keywords: Livelihood Strategies, Income Diversification, Multivariate Probit and Twolimit Tobit models and Southern Ethiopia.