Inoni O.E., Omotor D.G.
Abstract
Using household agricultural production and income data from 288 rural dwellers, the paper examined the effect of
road infrastructural development on agricultural output and income of rural households in Delta State, Nigeria. The
results indicate that rural roads have a significant positive effect on agricultural output, reduce transportation cost,
stimulate demand for rural labour and improve rural income. Road quality instigated a strong positive response on
output and income as a 10% improvement in road quality caused a 12% and 2.2% increase in agricultural output
and total household income respectively. Furthermore, road infrastructure promotes inter-sectoral linkages between
the agricultural and non-farm sector that enhances income diversification strategies among rural households. Since
increase in the distance variable and poor road quality reduce household income, a policy thrust that will cut down
distance to markets through investment in transport infrastructure should be pursued vigorously, by both the State
and local government authorities in collaboration with the private sector, in order to reduce rural poverty and
accelerate the process of rural transformation.
Key words:
road infrastructure, agricultural output, rural households, agricultural and non-farm income, Delta State, Nigeria