Assessing the effect of livestock ownership on household incomes in the central region of Uganda

Abstract

Livestock ownership remains a critical livelihood asset for households in Uganda's Central Region, contributing to income generation, resilience, and economic diversification. Yet, despite its importance, limited empirical evidence exists on how specific types of livestock and broader household characteristics shape income outcomes in the region. This study examined the effect of livestock ownership on household incomes using data from the Uganda National Household Survey (UNHS) 2019/20, with specific objectives to profile ownership patterns and evaluate the effects of access to services. A quantitative cross-sectional research design was employed. Descriptive statistics, univariate analysis, and Ordinary Least Squares (OLS) regression models were used to assess relationships. Diagnostic tests for the key models showed no evidence of heteroskedasticity, multicollinearity, or misspecification, supporting the robustness of the estimates. The results show that household heads that own livestock are on average 46 years old, households comprise about five members, and education attainment is modest, averaging seven years of schooling. Income distribution is highly unequal, with a mean annual income of UGX 9.4 million and a median of UGX 2.6 million. Livestock ownership is dominated by poultry (31.7%), goats (23.2%), and pigs (23.2%), while cattle (18.9%) and sheep (2.9%) are less common. Econometric findings reveal that ownership of cattle, goats, and pigs significantly increases household income, while rural residence and engagement in agriculture reduce earnings. Education, household size, and marital status are additional significant positive determinants of income. Distance from national roads negatively affects income. Households without formal extension services or livestock markets were associated with higher incomes, a finding which may indicate greater reliance on private or more profitable advisory and marketing channels among commercially successful households. Based on these findings, the study recommends promoting smallholder livestock commercialization through improved breeding programs, disease control, and communitybased livestock markets. Addressing gender disparities through enhanced access to credit, training, and productive assets for women is critical. Investments in rural transport and digital infrastructure are essential to reduce rural–urban income gaps. Strengthening education, vocational training, and reforming extension and veterinary service delivery models will further enhance productivity and support income growth among livestock-keeping households in the region.

Keywords: Household incomes