A study was conducted to evaluate and compare households’ income from apple based agroforestry system and identify factors that influence its adoption by smallholder farmers in Dendi Woreda, Oromia region. Two kebeles’ were purposefully selected and from which 250 households were randomly taken, where 33 were adopters of the technology and the remaining 217 were non-adopters. To obtain the necessary information, both primary and secondary data were collected and focus group discussion was conducted. The result revealed that farmers predominantly carry out various livelihood activities such as production of grain crops, livestock, vegetables, and apple fruit. In agri-horticulture agroforestry approach apple trees were integrated with vegetables at homesteads by adopters. The mean gross income of adopters from apple fruit was 58,234.85ETB ha-1 yr-1. Adopters’ mean annual gross income from vegetable + apple fruit was 344,602.3ETB ha-1 yr-1 and mean annual gross income of non-adopters from vegetable was 219,932.9ETB ha-1 yr-1. The income obtained from apple contributed 17 per cent to the income of the agri-horticulture system. Non-adopters annual net income from vegetables was 191,645.13ETB ha-1yr-1 and adopters’ annual net income from vegetable + apple was 312,378.79ETB ha-1 yr-1. The agri-horticulture
system contributed 1.63 times higher net revenue for adopters in addition to its nutritional value. However, adoption of apple based agroforestry system was significantly influenced by different factor such as age (+), formal education levels (+), livestock holding (+), distance from market to home (+), sex (-) and total land holding (-). In order to maximize the benefits from the system land users are advised to follow integration of apple fruit trees in their food production activities incorporating their own farm resources to minimize input costs. Policy makers are also expected to advocate the systems performance in the study area and beyond.
