Eucalyptus Succession on Croplands in the Highlands of Northwestern Ethiopia: Economic Impact Analysis Using Farm Household Model

The northwestern highlands of Ethiopia are characterized by severe land degradation and apparently low agricultural productivity. This situation is continuously threatening the livelihoods smallholder farmers who mainly sustain their living from cultivation annual crops. In recent years, however, have started converting croplands to plantations Eucalyptus, a non-native tree species Africa, for its rewarding economic contributions. this study, we aggregated data 388 Eucalyptus growers located in three agroecology zones (onwards called farm typologies). We measured impact succession on using household model which provided GAMS (General Algebraic Modeling System) platform. results varied between typologies showed that households’ gross margins increased with corresponding increase conversion croplands. Results also were higher than food Furthermore, evaluation portfolios indicated benefit-cost ratio (BCR) plantation Eucalyptus. concluded study area an incentive-driven process dynamic farming system, strongly demands bringing policy-emanated livelihood alternatives. With arena, expansion recommended lands terrain features, high marginality suitability crops setting aside fertile arable lands. generalized pays off given implementation proper resource management apparent impacts biodiversity cultural landscape managed sustainability perspectives. However, it collaborative policy efforts can especially meet socioeconomic, environmental public interests.