EFFECTS OF NON-FARM INCOME ACTIVITIES ON POVERTY STATUS OF SMALLHOLDER MAIZE (ZEA MAYS) FARMERS IN KADUNA STATE, NIGERIA

Abstract

A study was conducted to investigate the effect of livelihood diversification on poverty reduction among smallholder maize farmers in Kaduna State, Nigeria. Descriptive statistics, FGT poverty indices, Livelihood Diversification Index (LDI) and logistic regression were applied to analyse data collected from 200 households. Results showed that 80.5% of farmers were male, mean age 44 years, average household size 7 and 97% were formally educated. Average farm size was 4.06 ha. Poverty incidence was 37% at a poverty line of 20,556/month with poverty depth and severity of 0.135 and 0.068, respectively. The mean LDI was 0.47, with 80% of households recording moderate to very high diversification, indicating engagement in a combination of on-farm, off-farm, and non-farm activities. Logistic regression showed that non-farm participation, higher diversification, education, larger farm size, and access to extension services significantly reduced the likelihood of being poor. Specifically, non-farm participation and higher livelihood diversification were associated with 56% and 68% lower odds of poverty, respectively. Farmers perceived diversification as increasing income (WMS = 4.00), reducing poverty (WMS = 3.90), providing off-season opportunities (WMS = 3.85), and serving as a survival strategy (WMS = 3.80). The study concludes that diversification, supported by education and institutional services, improves welfare. The study recommends promoting non-farm opportunities, strengthening extension services, improving access to credit, and cooperative membership to contribute to poverty reduction among smallholder maize farmers.