Economic Contribution of Eucalyptus globulus to the Livelihoods of Local Communities in Chelia District, Oromia, Ethiopia

Dese Yadeta Edesa
2021 European Business & Management  
Eucalyptus globulus is the most economically important and the most commonly cultivated exotic tree species in the Chelia District. However, we have limited knowledge on quantitative estimation of Eucalyptus contribution to the communities' livelihoods, and perception of factors currently drives its expansion. The main objectives of the present research were to measure the quantitative economic contribution of Eucalyptus to the communities' livelihoods and to investigate factors that currently
more » ... ontribute to its expansion. We used a mixed-method approach, combining both quantitative and qualitative techniques. Data were collected using semi-structured survey questionnaires. A multiple linear regression model was used. The weighted mean score was used to analyze the perceptions of factors that currently contribute to Eucalyptus expansion. We surveyed the contribution of E.globulus to local communities; perception of factors that contributes to its expansion; the reason why respondents preferred Eucalyptus to other tree species, and respondents' points of view on the current and future potential Eucalyptus expansion. Our results show that Eucalyptus income makes up 87% of the total households' income, while agricultural income makes up 13%. The results also reveal that income source is the most factor that currently contributes to Eucalyptus expansion. Our analysis explained that the reason why respondents preferred Eucalyptus to other tree species are high-income return, suitable for building and firewood, short-rotation, and requires less management. We have confirmed that most of the livelihood's income was generated from Eucalyptus income, and local communities are highly dependent on Eucalyptus activity. The findings of our research have important implications for managers and policymakers.
doi:10.11648/j.ebm.20210706.11 fatcat:gbwf4p3qvbftjpmokpmbf7aoqi