PATTERNS AND DETERMINANTS OF LIVELIHOOD DIVERSIFICATION AMONG FARM HOUSEHOLDS IN ODEDA LOCAL GOVERNMENT AREA, OGUN STATE, NIGERIA.
Keywords:Livelihood diversification, Herfindahl Index, Farm Households, Farm Income
The study examined the patterns and determinants of livelihood diversification among farm house-
holds in Odeda Local Government Area, Ogun state, Nigeria. The study data was primary data ob-
tained in a cross section survey of 70 randomly selected households drawn by a three stage sampling
technique from 14 randomly selected farming villages in the study area. The data were obtained by
personally administered questionnaire and was focused on the socio-economic characteristics of the
farm households, the various income generating activities and income from all sources. The level of
livelihood diversification was determined using Herfindahl index. The study data were analysed for
each households by descriptive and regression (logit) techniques. Evidence from regression analysis
shows that income from non-farm sources accounted for 37.1 percent of the farm households income.
Only few (22.9 percent) farm households depended solely on only one source of income which was
farming. Households of Divorcee tends to be significantly much diversified than the average of the
sample while increase in education as well as farm income tends to lower the extent of livelihood di-
versification. Islamic adherent are less likely to have diversified income portfolios than their Christian
counterpart. The results shows that low farm income is a critical factor encouraging livelihood diversifi-
cation in the study area. Thus, policy aim at keeping farm households in Agriculture will need to focus
on measure to raise their farm income.