Analysis of the Impact of Income Diversification Strategies on Food Security Status of Rural Households in Bangladesh: A Case Study of Rajshahi District
The strategy of income diversification has significant implication on the food security status of the rural farming households in Bangladesh. Income diversification has been identified as essential strategy for raising income and reducing rural poverty. The level and type of income diversification depends on the accessibility and availability of different income sources. Similarly the status of food security depends on average Kcal per day consumed by all members of a household. This paper examines the impact of income diversification on food security status of the rural farming households in Rajshahi district. For this purpose a survey was conducted in district Rajshahi of Northern Bangladesh covering three Upazilas with 138 households. The Simpson Index of Diversity (SID), Food Security Index and Binary Logistic Regression model are employed to analyze the data. To estimate the model data has been collected from sample households from three upazilas – Puthia, Paba and Mohonpur. The Simpson Index of Diversity (SID) is used to measure the extent of income diversification and the Food Security Index is used to measure the household food security status. The results of SID revealed that diversification of income sources (SID = 0.25) is very low and the value of the food security index is 0 to 1. It is also found that the mean value of FSI is 0.91 for the food insecure households whereas 1.06 is the mean value of FSI of food secure households. Three factors are found to be statistically significant which are age of household head, educational status of household and household size. The analysis found that income diversification has positive but insignificant impact on household food security status in the study area. Finally, the obtained results have important policy implications which imply that programs targeted to engage people in other income generating activities would augment their income sources which are made to increase the food security status of household level in Bangladesh.
Md. Elias Hossain,
Analysis of the Impact of Income Diversification Strategies on Food Security Status of Rural Households in Bangladesh: A Case Study of Rajshahi District, American Journal of Theoretical and Applied Business.
Vol. 2, No. 4,
2016, pp. 46-56.
Acharya, S. P., Basavaraja, H., Kunnal, L. B., Mahajanashetti, S. B. and Bhat, A. R. S. (2011). Crop diversification in Karnataka: An economic analysis. Agricultural Economics Research Review, Vol. 24, 351-357.
Adugana, L. (2006). The dynamics of Income diversification in Ethiopia, www.ideas.repec.org/mab/wpapers/3.html.
Agbola P. O., Awotide D. O., IKPI A. E., Kormawa P., Okoruwa V. O. and Babalola D. A. (2008). Effect of income diversification strategies on food insecurity status of farming households in Africa: Result of analysis from Nigeria. Paper prepared for 12th EAAE Congress People, Food and Environments: Global Trends and European Strategies, Gent (Belgium), 26-29 August, 2008.
Ahmed and Fausat, F. (2012). Income diversification determinants among farming households in Konduga, Borno State, Nigeria, Academic Research International, Vol. 2 (2).
Akanda, A. I. (2008). Process of agricultural development in Bangladesh. Academic Press and Publishers Library, Dhaka.
Alderman, H. and Paxson, C. H. (1992). Do the poor insure? A synthesis of the literature on risk and consumption in developing countries. World Bank policy research, working paper, WPS 1008.
Arun, K. and Keshav, L. M. (2006), Food insecurity and coping strategies in rural areas of Nepal: A case study of Dailekh district in Mid Western development region. Journal of International Development and Cooperation, Vol. 12 (2), 25–45.
Babatunde, R. O., Omotesho, O. A. and Sholotan, O. S. (2007). Factors influencing food security status of rural farming households in north central Nigeria. Medwell Journals, Vol. 2 (3), 351-357.
Bangladesh Institute of Development Studies (1997). Human Development Report of Bangladesh, 1997. BIDS, Dhaka, Bangladesh.
BBS (2004). Statistical Year Book of Bangladesh, Bangladesh Bureau of Statistics, Ministry of Planning, Government of People’s Republic of Bangladesh, Dhaka.
BBS (2013). Statistical Year Book of Bangladesh, Bangladesh Bureau of Statistics, Ministry of Planning, Government of People’s Republic of Bangladesh, Dhaka.
BBS (2010). Labour Force Survey. Bangladesh Bureau of Statistics, Ministry of Planning, Government of the People’s Republic of Bangladesh, Dhaka, Bangladesh.
BBS (2013). Yearbook of Agricultural Statistical of Bangladesh. Bangladesh Bureau of Statistics, Ministry of Planning, Government of the People’s Republic of Bangladesh, Dhaka, Bangladesh.
BBS (2010). Household Income and Expenditure Survey (HIES, 2010), Report of Bangladesh Bureau of Statistics (BBS). Bangladesh: Dhaka.
Chowdhury, M. I. (2009). Impact of increasing landlessness on access to food: Experience of small and marginal farmers in rural Bangladesh, Unnayan Onneshan-The Innovators, Dhaka, Bangladesh, Web: www.unnayan.org.
Coates, J., Swindale, A. and Bilinsky, P. (2006). Household food insecurity access scale (HFIAS) for measurement of food access: Indicator guide, URL: http:www.fantaproject.org/downloads/pdfHFIAS%20Guide.pdf, Accessed 15th April, 2011.
De Janvry, A. and Sadoulet, E. (2001). Income strategies among rural households in Mexico: The role of off-farm activities. World Development. Vol. 29 (3), 467 480.
Duc, P. T. and Waibel, H. (2009). Diversification, risk management and risk coping strategies: Evidence from rural households in three provinces in Vietnam, proceedings of the German Development Economics conference, Frankfurt a, No. 25.
Ersado, L. (2006). Income diversification in Zimbabwe: Welfare implications from urban and rural areas. World Bank Policy Research Working Paper No. 3964, July. The World Bank, Washington, D. C. USA.
Escobal, J. (2001). The determinants of non-farm income diversification in rural Peru. World Development, Vol. 29 (30), 497-508.
Fakiyesi, O. M. (2001). Encouraging growth to reduce poverty in Nigeria, CBN Economic and Financial Review. Vol. 39 (2), 132-137.
FAO. (2005), The State of Food Insecurity in the World. Food and Agriculture Organization of the United Nations, Rome, Italy.
GoB. (2005). Government of Bangladesh, Unlocking the potential: National strategy for accelerated poverty reduction. A Technical Report. General Economic Division, Dhaka.
GreenFacts. (2000). Facts on Health and the Environment: In Greenfacts based on the Millennium Ecosystem Assessment, http://www.greenfacts.org/glossary/mno/MDGs-millennium-development- goals-html. Accessed 28 August, 2013.
Gujarati, D. N. (1995). Basic Econometrics, Mc-Graw-Hill, New York.
Hanson, K. L. and Connor, L. M. (2014). Food insecurity and dietary quality in us adults and children: A systematic review. The American Journal of Clinical Nutrition, Vol. 100, 684-692.
Hossain, M. and Rashid, M. H. (2009). Yield disparity and food security of marginal farmers in Basail upazila of Tangail district. Bangladesh Journal of Political Economy, Vol. 25 (1), 243-258.
Hossain, M., Naher, F. and Shahabuddin, Q. (2005), Food security and nutrition in Bangladesh: progress and determinants. Electronic Journal of Agricultural and Development Economics, Agricultural and Development Economics Division (ESA) FAO, available online at www.fao.org/es/esa/eJADEVol. 2 (2), 103-132.
Ibrahim, H., Rahman, S. A., Envulus, E. E. and Oyewole, S. O. (2009). Income and crop diversification among farming households in a rural area of north central Nigeria. Journal of Tropical Agriculture, Food, Environment and Extension, Vol. 8 (2), 84 -89.
Ijaiya, G. T. (2009). Income diversification and household well-being in Ilorin Metropolis, Nigeria. International Journal of Business Management Economics and Information Technology, Vol. 1 (1), 1-12.
Iorlamen, T. R., Abu, G. A. and Lawal, W. A. (2013). Comparative analysis on socio-economic factors between food secure and food insecure households among urban households in Benue State, Nigeria. Journal of Agricultural Science, Vol. 4 (2), 63-68.
Israr M. (2010). Determinants of rural household income for livelihood in Northern-Pakistan.. A dissertation submitted to the Khyber Pukhtunkhwa Agricultural University, Peshawar in Partial fulfillment of the requirements for the degree of Doctor of Philosophy in Agriculture.
Jabo, M. S., Ismail, M. M., Shamsuddin, M.. N. and Abdullah, A. M. (2014). The Impact of nonfarm income generating activities on the food security status of rural households in Nigeria. International Journal of Agricultural Science and Veterinary Medicine, ISSN 2320-3730, www.ijasvm.com, Vol. 2 (4).
James, L., Garrett and Ruel, M. T. (1999). Are determinants of rural and urban food security and nutritional status different? Some insights from Mozambique. FCND Discussion Paper, No. 65, Food Consumption and Nutrition Division, International Food Policy Research Institute, Washington, DC, USA.
Joshi, P. K., Gulati, A. A., Birthal, P. S. and Twari, L. (2003). Agriculture diversification in South Asia: Pattern, determinants and policy implications. Discussion paper no. 57. Market structure studies division. International food policy Research Institute. Washington D. C, USA.
Keenan, D. P., Olson, C., Hersey, J. C. and Parmer, S. M. (2001). Measures of food insecurity/security. Journal of Nutrition Education, Vol. 3, No. 1, Pp.: 49-58.
Khan, R. E. A. and Gill, A. R. (2009). Determinants of Food Security in Rural Areas of Pakistan. The paper was presented in National Conference on Socio-Economic Stability in Pakistan. February 16-17, 2009 at Sarhad University of Science and Technology Peshawer. Pakistan.
Kinsley, B., Burger, K. and Gunning, J. W. (1998). Coping with drought in Zimbabwe: survey evidence on responses of rural households to risks. In: World Development, Vol. 26 (1), 89-110.
Kuwornu, J. K. M., Suleyman, D. M. and Amegashie, D. P. K. (2013). Analysis of food security status of farming households in the forest belt of the Central Region of Ghana. Russian Journal of Agricultural and Socio-Economic Sciences, Vol. 1 (13), 26-39.
Legesse, B. and Demissie, A. (2013). Determinants of income diversification among rural households: The case of smallholders farmers in Fedis districts Eastern Hararghe Zone, Ethiopia. Journal of Development and Agricultural Economics, Vol. 5 (3), 120-128.
Maxwell, S. (1996). Food Security: A Post-Modern Perspective. Food Policy, Vol. 21, 150-170.
May, J. (1996). Assets, income and livelihoods in rural KwaZulu-Natal. In: Lipton, M., Ellis, F. and Lipton, M. (eds) “Land, Labour and Livelihoods in rural South Africa. Vol. 2, KwaZulu- Natal and Northern Province, Indicators Press, Durban, 1996, 1-30.
Meade, B. and Rosen, S. (2002). Measuring access to food in developing countries: the case of Latin America. Economic Research Service (ERS) of the U.S. Department of Agriculture, Market and Trade Economics Division (MTED), Washington, DC, USA. http://ageconsearch.umn.edu/bitstream/19716/1/sp02me01.pdf, Accessed, 21. September, 2014.
Minot, N., Epprecht, M., Anh, T. T. T. and Trung, L. Q. (2006). Income diversification in the northern uplands of Vietnam,. Research report No. 145, International food policy research institute, Washington DC.
MoEF, (2008). Bangladesh climate change strategy and action plan 2008. Ministry of Environment and Forests of Bangladesh. Government of the People’s Republic of Bangladesh, Dhaka, Bangladesh, 68.
Okwudilio, O. O and Wheelock, G. C. (2006). An analysis of the determinants of food insecurity with severe hunger in selected Southern States. Journal of Southern Rural Sociology, Vol. 21 (2), 80-96.
Olayemi J. K. (1998). The Nigerian food equation towards a dynamic equilibrium. University of Ibadan Inaugural Lecture, No. 167.
Omonona B. T. and Agoi, G. A. (2007). Analysis of food security situation among Nigerian urban households: Evidence from Lagos State, Nigeria. Journal of Central European Agriculture, Vol. 8 (3), 397-406.
Osei, A., Pandey, P., Spiro, D., Nielson, J., Shrestha, R., Talukder, Z., Quinn, V. and Haselow, N. (2010). Household food insecurity and nutritional status of children aged 6 to 23 months in Kailali district of Nepal, Food and Nutrition Bulletin, Vol. 31 (4), 483-494.
Rahman, K. M. M. and Islam, M. S. (2012). Nutritional status and food security of farm households under different land use patterns in Bangladesh, Bangladesh Journal of Nutrition. Vol. 24-25, 49-64.
Rahman, M. (2012). Enhancement of resilience of coastal community in Bangladesh through crop diversification in adaption to climate change impacts. Post graduate programs in Disaster Management, BRAC University, Dhaka.
Ramanthan, V. and Inamdan, A. K. (998). Tropical and global scale interactions among water vapor, atmospheric green house and surface temperature. Journal of Geophysical Research, Vol. 103 (D24) (32177-32194).
Reardon, T., Stamouis, K. A., Balisacan, M. E. C., Berdegue, J. and Banks, B. (1998). Rural non-farm income in developing countries. In: FAO (ed.). The state of food and Agriculture. 281-35.
Schwarze, S. and Zeller, M. (2005). Income diversification of rural households in Central Sulawesi, Indonesia. Quarterly Journal of International Agriculture, Vol. 44 (1), 61-73.
Shen, T. T. (2004). Diversification of household income in the Ethiopian Highland. A thesis submitted to the Faculty of the Graduate School of Arts and Sciences of Georgetown University, Washington DC.
Swindale, A. and Ohri-vichaspati, P. (2005). Measuring household food consumption: A technical guide. URL: http://www.fantaproject.org/downloads/pdfs/foodcons.pdf.
World Food Summit (1996). Food and Agricultural Organization. www.fao.org
Yusuf, S. A., Ayantoye, K., Omonona, B. T. and Amao, J. O. (2011). Food insecurity and its correlates among rural households in South-Western Nigeria. International Journal of Agricultural Economics and Rural Development, Vol. 4 (1), 43-55.