Economic Analysis of the Effect of Integrated Farming Systems on the Livelihood Strategies of Farmers in North-West Nigeria

Abstract

Integrated crop-livestock farming systems (ICLFS) have emerged as a sustainable strategy to boost agricultural productivity, diversify income sources, and enhance rural livelihoods in Nigeria. This study examined the effects of ICLFS on farmers’ livelihood strategies in North West Nigeria, where agriculture remains the primary economic activity. A total of 405 integrated crop-livestock farmers were sampled across Kaduna, Kano, and Katsina States using multistage sampling techniques. Data were analyzed using descriptive statistics and a double-logarithmic regression model estimated via EViews version 9. The results revealed that seven major ICLFS combinations were practiced, with the crop–small ruminant–poultry system being the most common. Regression analysis showed that integrated farming significantly influenced farmers’ livelihoods, with an R-squared of 0.7722 and adjusted R-squared of 0.7414, indicating that approximately 74% of the variation in livelihood outcomes was explained by the model. The F-statistic of 212.4812 (p < 0.000) confirmed the joint significance of the explanatory variables. Residual normality was confirmed via the Jarque-Bera test (p = 0.8425), affirming the model's robustness for inference. Key determinants of livelihood outcomes included household size (β = -0.1283, p = 0.0007), which had a negative and significant effect and educational level (β = 0.4687, p = 0.0000), which showed a strong positive impact. Other significant predictors were farming experience (β = 0.0503, p = 0.0329), farm size (β = 0.1573, p = 0.0188), farm produce (β = 0.8940, p = 0.0000), livestock size (β = 0.2572, p = 0.0000) and net income (β = 0.3988, p = 0.0000). These findings highlight the critical roles of education, productive capacity and diversified farming components in improving rural livelihoods. The study concludes that integrated crop-livestock systems offer significant economic benefits and recommends targeted support for improved access to education, input resources, and extension services to optimize livelihood outcomes for smallholder farmers in North-West Nigeria.