A study case on coffee (Coffea arabica): Limu Coffe - IRD

4.4) Smallholders’ typology
The household is seen as a single decision maker (Ellis, 2000 and Upton, 1996). The
bulk of households are male headed, but, as it appears in various data, few female headed
households exist 35 . The term “smallholders” tends to be abusive pointing out a single
producer’s category whereas some are actually smaller and others bigger. One of the different
factors revealing farmers poverty level is the farmers’ dependency and focus on coffee
production, as a sign of strategies’ diversification of income generation. Sources of income 36
could be differentiated in three categories (Urich, 2005):
- Farm activities and incomes: crop, livestock and chat production;
- Off-farm activities and incomes: coffee and honey production;
- Non-farm activities and incomes.
According to the distribution of these activities and the disposable income 37 , studies
agree to differentiate small-scale farmers into poor, middle and better-off farmers in order to
remind the multiplicity of farmers’ types rather than to give objective concepts. Anyway,
coffee production remains of highest importance even for better-off households and the great
majority of the farmers concentrate on the production of crops, livestock and coffee. It has to
be considered that incomes differently generated are differently contributing to the household
economy. For example, livestock is the farmers’ bank account and a security as animals can
be capitalized very fast at any time of the year in <strong>case</strong> of urgent need for cash. Whereas all
other agricultural productions accrue at one time of the year only. The single event of income
generation doesn’t go in line with the all year demand for cash. And coffee or chat is income
oriented. A great deal of cash earned through coffee production is invested in livestock
enlargement (Urich, 2005). So, accumulation of livestock is bank account oriented whereas
crop intensification is mainly subsistence oriented. Coffee, not subsistence oriented, is the
typical surplus production. Some households are much diversified, as model farmers 38
, facing
coffee crisis through the development of their other activities while coffee prices decrease
35
Refer 6.2.1) Woreda’s coffee rules: Limu Kosa woreda.
36
Refer Annex Sources of income.
37
Remaining income after the household has met its food needs.
38
Pointed out as model farmers by the woreda agricultural extension services because they take the innovation
applying Ministry policies of diversification and extension and spread it to their farmers’ environment.
54