dc.description.abstract | Cage fish farming has been considered as an important approach in increasing productivity and
improving livelihoods and has grown rapidly along the Lake Victoria shores and is projected to
increase productivity significantly in order to address the diminishing fish supply. Efficient
utilization of limited resources is paramount to increasing productivity as well as the impacts of
cage farming on livelihoods. However, despite its potential to increase productivity, there still
exist a supply gap between the actual achieved yields and the potential yields. Moreover, there is
dearth information on effect of cage fish farming on livelihood capitals as well as perception of
stakeholders. The overall study objective was to evaluate the economic performance and effects
of cage-fish farming on the livelihoods of the communities in Siaya County. Specifically, the
study assessed technical efficiency, determined factors influencing technical efficiency of cage-
fish farming, evaluated the effects of cage-fish farming on livelihoods of communities and
assessed the perceptions of fish stakeholders on cage-fish farming in Siaya County. The study
adopted Cobb-Douglas production theory and Sustainable livelihood approach. Descriptive
research design was used and multistage sampling technique employed to select the two datasets.
Data was collected from cage-fish farmers (n= 292) and from fish stakeholders (n= 217).
Primary data was collected using structured questionnaires. Descriptive statistics, Stochastic
Frontier Approach and censored to bit regression were used to determine technical efficiency and
factors influencing technical efficiency. Sustainable Livelihood index was used to evaluate the
effect of cage-fish farming on livelihoods, whereas Principle Component analysis was used to
assess the perceptions of fish stakeholders on effects of cage-fish farming. Mean technical
efficiency was estimated to be 65%, indicating a possible enhancement of production at the
present state of technology and input level to achieve in the short run increased technical
efficiency by 35% through adoption of best practices. The combined effect of operational and
farm-specific factors that influences technical efficiency significantly were labour, feed, cage
size, age, education level, source of capital and cage location (beach and geographical).
Sustainable livelihood index of 57% was derived from the study. This demonstrates that the
livelihoods in the region had improved from cage-fish farming. Physical capitals were most
improved at 73.3%, followed by financial capitals (59.1%) and social capital was least at 44.9%.
The study revealed that economic, health, social and environmental perceptions on cage-fish
farming were the key considerations and had a total explained variance of 61%. From this study,
it is evident that cage-fish farming is important to the livelihoods of both cage farmers and other
fish stakeholders due to its positive effect on livelihood changes thus cage-fish farming is a
critical strategy for investment. It is therefore important to address the efficient utilization of
inputs and factors that influence technical efficiency for increased productivity. Cage-fish
farming should be encouraged by providing the necessary production skills for improved cage
performance. Furthermore, farmers should diversify their sources of capital to facilitate the
adoption of larger cages and enhance marketing for enhanced bargaining power. There is a need
for government ministries, departments and agencies, stakeholders, and financial institutions to
come up with initiatives or formulate financial products for cage-fish farming investment to
provide easy access to farming capital. | en_US |