Crop diversification and its impact on income diversification and crop income in Bangladesh

This study investigates the determinants and extent of crop diversification and its impact on farm households' income and income diversification in rural Bangladesh, utilizing data from 450 households across the districts of Manikganj, Tangail, and Gaibandha. The findings reveal moderate to high levels of crop and income diversification across these sites. Using a Tobit model, the study identifies significant socio-economic factors influencing crop diversification, including literacy, farm size, and market distance. Additionally, it shows that crop diversification intensity, the household head's age and education, and on- and off-farm income significantly affect income diversification. These factors, along with farm size, also significantly impact crop income. This research addresses a significant gap in the literature by exploring the underexamined interaction between crop diversification and income diversification in Bangladesh. It contributes to a broader understanding of how diversification strategies can enhance agricultural productivity and income stability and offers valuable policy implications.