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. The study used primary and secondary data. Primary
data collected by quantitative and qualitative of pertaining at demographic, socio-economic
and institutional aspect of the households in the study area, two descriptive and inferential
statistical methods used, The Sample household determined by Yemane formula. This study
analyzes the impact of livelihood diversification strategies on the food security among rural
households in Kucha District, Gamo Zone Southern Ethiopia. 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 findings
reveal that the choice of on-farm alone is negatively influenced by factors such as household
head age, education, access to credit, training, and cooperative membership, while it is
positively affected by land size and livestock holding. 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