The Expansion of Floriculture Industry and its Livelihood Impacts on Local People: the case of Holeta Town and its Surrounding Areas, Oromia Regional State

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2012-05

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Addis Ababa University

Abstract

More often, many developing countries are in need of heighted investment activities for the associoted benefit in employment and income generation. Nevertheless, despite its positive impact pertaining to employment, there hardly been sustained effects on the livelihood of local communities. To this end, the study principally examined the impact of floriculture industry on the livelihood of local people at Holeta town surrounding areas. To achieve this objective, the study employed Cernea 's IRR model. In doing so, the study used, interview, key informant discussion, observation and focus group discussion. The result of the study revealed that due to the floriculture investment 253-farm households were displaced in four kebeles of Holeta town administration. The dislocation program negatively affected the livelihood of the displaced households. In this case, economic dependency, loss of diverse income sources, and changes in livelihood system resulted from the displacement. Furthermore, the study denoted that elders, women, youths and children are major victims of the altered livelihood system. The compensation schemes implemented in response to loss of asset are insignificant to changed livelihoods system. Consequently, the expansion of flower farms investment and associated displacements exposed households to landlessness, health problem, joblessness, loss of access to common property resources, marginalization, social disarticulation and food insecurity. The coping mechanisms or strategies adopted by the majority of the displaced households are unable to either maintain or foster diverse sources of income to adapt the new situation of life. The displacement of local people for the purpose of floriculture investment needs participation of all stakeholders in planning, monitoring and implementation. This will bring mutual benefit to all concerned and make viable sustainable livelihoods alternatives for displaced household, and thereby create better socia-economic development at grass root level. Keywords: The Impact of Floriculture Industry, Displacement, Livelihood Resources, Local households

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Keywords

The Impact of Floriculture Industry, Displacement, Livelihood Resources, Local households

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