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Title Page
Table of contents

1.1       Background of the study
1.2       Problem Statement
1.3       Objectives of the study
1.4       Justification of the Study
1.5       Hypotheses of the Study

2.1       Socio-Economic characteristics of farmers
2.2       Rural household income
2.3       Rural livelihoods and their natures
2.4       The concept of livelihood
2.4.1    Strategies of livelihood
2.4.2    Determinants of livelihood
2.4.3    Sustainable livelihood
2.5       Empirical study on livelihood diversification
2.6       Empirical study on Logit Regression Model

3.1       Description of the Study Area
3.2       Sampling Procedure and sample size
3.3       Method of Data Collection
3.4       Analytical techniques
3.5       Measurement of Dependent and independent variables

4.1.1    Age distribution of the respondents
4.1.2    Household size of the respondents
4.1.3    Educational level of the farmers
4.1.4    Farming experience of the respondents
4.1.5    Distribution of respondents according to farm size
4.1.6    Credit obtain by the respondent
4.1.7    Distribution of respondent based on membership of cooperative society
4.1.8    Distribution of respondent according to their income
4.2       Livelihood Activities Engage in by Farmers
4.3       Socioeconomic factors influencing farming household livelihood diversification
4.4       Impact of diversification on household output, income and level of living
4.4.1    Impact of diversification on household output
4.4.2    Impact of diversification on household income
4.4.3    Impact of diversification on household level of living Hypotheses of the study
4.5       Constraints mitigating the farming household

5.1       Summary
5.2       Conclusion
5.3       Contribution to knowledge
5.4       Recommendations


Thisstudy focused on analyse of livelihood diversification by farming households in Kachia, Kagarko and Jaba Local Government areas of Kaduna State, Nigeria. Primary data were collected from 220 respondents using structured questionnaire. The statistical tools used to analyse the data were descriptive statistics, logit regression and t-statistics. The result of the analysis shows that the average age of the farming households were 44 years with an average household size of 7 persons. Majority (64%) of the respondents were not literate. The respondent had an average farming experience of 18 years. About 90% of the respondents do not have access to credit; the respondents had an average farm size of 1 hectare. However, 85% of the farmers do not belong to any cooperative association while about half 50% of the respondents had no other source of income. The result of this study also shows that all the households derived income from farming which in average account for 60.6% of the total household income. Crop production provides about 51.3% of total income. More than half of the household derived income livestock enterprises which however account for only 9.3% of total income. The estimated coefficients of the Logit model, along with the standard error, t-values and marginal effect are presented. The likelihood ratio test was 63.259 with 6 degree of freedom is significant at (p≤0.01). The t-test indicated that there was significant difference between output, income and level of living of household that are involved in livelihood diversification and non-diversifying household. The result shows that the output, income and level of living had significance on the household that are involved in livelihood diversification at p< 0.05 level of probability.Lastly, among the major constraints to livelihood diversification in the study area were: lack of credit facilities, poor asset base, lack of awareness and training facilities, fear of taking risk and lack of opportunities in non-farm sector. It could be concluded that engagement in off-farmincome generation activities decreases with farming experience while it increases with male-headed household, education, credit and market. It is recommended that the monetary authority in collaboration with the government should promote non-farm employment by ensuring farmers access to credit.



1.1              Background to the Study

Agriculture has been an important sector in the Nigerian economy in the past decades and is still a major sector despite the oil boom. Basically it provides employment opportunities for the teeming population, eradicates poverty and contributes to the growth of the economy. Despite these however, the sector is thus characterized by low yields, low level of inputs and limited areas under cultivation (Izuchukwu, 2011). It involves small scale farmers scattered over wide expanse of land area, with small holding ranging from 0.5 to 3.0 hectare per farm land. It is characterized by rudimentary farm systems, low capitalization and low yield per hectare (Kolawale and Ojo, 2007). The roles of agriculture remain significant in the Nigeria economy despite the strategic importance of the oil sector. Agriculture provides primary means of employment for Nigeria and accounts for more than one third of total Gross Domestic Product (GDP) and labour force (Ismaila et al., 2010). 

The Contribution of agriculture to Nigeria‟s Gross Domestic Product (GDP), which stood at an average of 56% in 1960-1964 decline to 47% in 1965-1969 and further declined to 35% in 2002-2004 and with crop production accounting for an estimated 85% of this total, the agricultural sector provides a livelihood for the bulk of the rural population (Amaza and Maurice, 2005); Provides up to 70% active labour force (Bello, 2004; Ayinde, 2008), supplies raw materials required by the industrial sector and generate foreign exchange through export. In spite of this, agricultural production has failed to meet the food needs of the country‟s rapid growing population (Ayinde, 2008)......

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