Factors affecting the income level of coffee growers in Butambala district: case study of Bujjumba Village

Abstract

The study was carried out with the main intention of ascertaining the major factors that contribute to the incomes of coffee farmers in Butambala district, a case study of Bujjumba District. It was based on a sample size of 96 respondents which was determined based on Cochran’s formula at 0.05 level of precision. Responses were obtained from the sampling units using electronic software (Kobo Collect) and later analyzed using STATA. The study revealed that, incomes of coffee farmers in Bujjumba is significantly affected by three factors i.e. Quantity of coffee, Grade of coffee sold and price at which coffee is sold. In particular the results show that quantity of coffee sold has the greatest impact on incomes of the farmer 1,862.236/= (coefficient =1862.236/=, p=0.000). Secondly, on average, farmers who sell wet coffee earn 159,023.6/= less than those who sell dry coffee (coefficient= 159,023.6/=, p=0.002) and lastly, price at which coffee is sold also significantly increases income of the farmer by 281.7175/= (coefficient =281.7175, p=0.000) Recommendations were also made based on these results. It was recommended that farmers in the area should adopt new scientific measures on their coffee farms to increase the quantity of coffee produced. Farmers were also advised to put in place coffee drying area in their homes to shift from selling wet coffee to dry coffee. Lastly, it was also recommended that farmers should form and/or join trade unions to raise their bargaining power of the coffee market prices.