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POVERTY STATUS AND FACTORS INFLUENCING NON-FARM ACTIVITIES AMONG RURAL FARMING HOUSEHOLDS IN OYO STATE, NIGERIA
Abstract
Poverty has been seen as a global menace that threatens the standard of living of rural farming households across various countries of the world. Poverty incidence is more pronounced in SubSaharan Africa, and Nigeria has recorded a high incidence of poverty among the rural farming households in the country, thus making the diversification into non-farm activities an important area to explore. This paper therefore, investigated the poverty status and determinants of nonfarm activities among rural farming households in Oyo State, Nigeria.A well-designed questionnaire was used to elicit data from 170 respondents that were selected using multi-Stage sampling procedure. Descriptive statistics, Foster, Greer and Thorbecke (FGT) poverty indices and logit regression model were used for data analysis. The findings revealed that 65.3%of the respondents were male, 78.2% were married,21.8% had tertiary education and 62.4% had between 5 and 9 household size. Majority (79.4%) had farm size of more than 1.5 hectares and 75.3% had more than 10 years of farming experience, while 60.6% and 62.9% had no access to credit and remittance, respectively. Government work, trading and private business among others, were the common non-farm activities among the respondents. Poverty incidence (P0), depth/gap (P1) and severity (P2)were40.6%, 16.1% and 8.8%, respectively. The result of logit regression model indicated that gender (β=-0.7957), educational attainment (β=0.6034), farm size (β=-0.9930), access to remittance (β=-0.7417) and total expenditure (β=0.0000) were the major determinants of non-farm activities among rural farming households in the study area. Therefore,education, access to credit facility and social intervention programmes should be given priority among the rural farming household in the study area.
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Keywords: Foster Greer and Thorbecke Model, non-farm activities, poverty status, logit regression, rural farming households