Tebkew Mekuanent, Asfaw Zebene, Worku Adefires, Jacobson Michael, Atinkut Haimanot B
Departement of Forestry, University of Gondar, Gondar, Ethiopia.
Wondo Genet College of Forestry and Natural Resources, Hawassa University, Hawassa, Ethiopia.
Sci Total Environ. 2025 Sep 20;996:180164. doi: 10.1016/j.scitotenv.2025.180164. Epub 2025 Aug 1.
Agroforestry practices enhance food production, manage natural resources, mitigate climate change, and improve farmers' financial well-being. Despite existing literature on agroforestry and cereal crop production in Northwestern Ethiopia, empirical evidence on the financial aspects of agroforestry is lacking. This study in the Lay Armachiho district of the Upper Blue Nile Basin aimed to: (1) assess the financial viability of three agroforestry practices (37 homegardens, 23 dogwood trees (Rhamnus prinoides), and 21 coffee-shade systems), (2) evaluate and compare their financial attractiveness with three cereal crops (27 teff, 28 maize, and 28 millet fields), and (3) identify profitability constraints and potential solutions for farmers involved in agroforestry. Data were collected through interviews with 54 households and analyzed using Net Present Value (NPV), Equivalent Annualized Income (EAI), Benefit-Cost Ratio (BCR), ANOVA, and sensitivity analysis. Coffee-based practices showed the highest profitability, with an NPV per hectare that was 34.65 % and 26.45 % greater than dogwood and homegarden practices, respectively, despite irregular cash flow. The findings indicated that agroforestry practices were more financially profitable (in terms of NPV, EAI, and BCR) than cereal monocropping. At a 10 % discount rate, the NPV per hectare of agroforestry ranged from ETB 193,932 to 296,739 (USD 6641.51 to 10,162.29), compared to ETB 58,642.33 to 167,105.57 (USD 2008.29 to 5722.79) for cereal crops over 15 years. Various plant parts, including fruits, leaves, seeds, and wood, enhance the financial viability of agroforestry. Expanding agroforestry innovations can significantly improve rural household income. Factors such as education level, wealth status, limited access to improved varieties and markets, inadequate credit options, and disease impact agroforestry returns. Enhancing extension services, subsidizing improved fruit species, developing market networks and affordable credit systems, and improving disease protection schemes could promote agroforestry practices like home gardens and coffee cultivation, supporting farmers' livelihoods.
