Market Participation and Food Security of Farm Households in Eastern Zone of Tigray, Northern Ethiopia

Abstract:

The agricultural sector greatly influences the economic performance and is the longstanding sector in contributing to food security in Ethiopia. This research attempts to contribute to the understanding of farm households’ crop commercialization and food security conditions in Eastern zone of Tigray, Ethiopia. Specifically, it was designed to estimate the level of crop commercialization and calorie consumption, investigate the common determinants of intensity of crop commercialization and calorie consumption and identify the common determinants of crop commercialization and food security statuses of farm households. The study was mainly based on cross-sectional data collected from 500 sample farm households which were proportionately and randomly selected from two strata, dry dega and dry woina dega covering a total of 46 Kebelles. Data collected using semi structured questionnaire was subjected to descriptive, inferential and econometric analysis to answer the research objectives. The results revealed that the mean level of crop market participation of farm households was significantly and strongly lower than 31%.The level of crop market participation was found to lie between 9% and 12% and less commercialized. On average, the sample households consumed about 1756 kilo calories per day per adult equivalent. The mean level of calorie consumption of sample households was significantly and strongly lower than the recommended daily calorie consumption per adult equivalent, 2200 kcal, for a healthy life. The linear cross-equation correlation of residuals for the SURE model of intensity of crop market participation and calorie consumption was found to be significantly and positively correlated. This positive correlation suggested that improving the intensity of crop market participation simultaneously enhances the intensity of calorie consumption of farm households. Age of household head, sex of household heads, cultivable land holding, frequency of extension contact and distance to the nearest market were found to have commonly influenced intensity of crop market participation and daily calorie consumption per day per adult equivalent, all with their expected signs. The results generally suggest the need to aggressively work on enhancing smallholders’ crop market participation for simultaneously enhancing food security situation of farm households.