Impact of Livelihood Diversification on Food Security of Rural Households in Boloso Sore District of Wolaita Zone, South Ethiopia

Abstract

Livelihood diversification strategy has adopted by rural households to diversify their income sources. The livelihood strategies of the rural households have been categorized in to on-farm alone, on-farm plus non-farm, on-farm plus off-farm, and the combination of on-farm plus non-farm plus off-farm strategy. Using a multinomial logistic model, the research examines the effect of socio-economic, institutional, and demographic factors on households' choices of livelihood strategies, categorized as on-farm alone, on-farm plus non-farm, on-farm plus off-farm, and a combination of all three. Key determinants include the age, education level, and gender of household heads, access to credit and training, land size, livestock holding, income, and membership in cooperatives. The on-farm plus non-farm strategy is positively associated with age, education, credit, training, and income, but negatively influenced by land size and livestock holding. The on-farm plus off-farm strategy is negatively affected by secondary education, family size, and land size, while positively influenced by primary education, training, and cooperative membership. The combined strategy (on-farm, non-farm, and off-farm) is negatively associated with age, gender, land size, and income, but positively influenced by education, experience, and training. The study finds that engagement livelihood in livelihood diversification activities has an impact on food security. Therefore, the impact of participation of the households in livelihood diversification activities on their income level has been examined using impact assessment method. The ATT was 1360.51 reinforcing the significant positive impact. The research recommends promoting diversified livelihood strategies, enhancing access to credit, and providing education and training to improve household resilience and food security.