ISSN 2664-4010 (Print) & ISSN 2664-6730 (Online) South Asian Research Journal of Agriculture and Fisheries Abbreviated Key Title: South Asian Res J Agri Fish | Volume-3 | Issue-2 | Mar-Apr -2021 | DOI: 10.36346/sarjaf.2021.v03i02.003 Copyright © 2021 The Author(s): This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY-NC 4.0) which permits unrestricted use, distribution, and reproduction in any medium for non- commercial use provided the original author and source are credited. © South Asian Research Publication, Bangladesh Journal Homepage: www.sarpublication.com 26 Original Research Article Influence of Farm Inputs Subsidy on Agricultural Yields by Small Scale Farmers in Alego Usonga Sub-County, Siaya County, Kenya E. Ambajo 1* , C. Olweny 1 , W. Akuno 1 1 School of Agricultural and food Sciences, Jaramogi Oginga Odinga University of Science and Technology, P.O. Box 210-40601, Bondo, Kenya *Corresponding Author E. Ambajo Article History Received: 07.03.2021 Accepted: 10.04.2021 Published: 17.04.2021 Abstract: Agricultural subsidies have been provided by the Kenyan government to farmers since 2004 in order to increase their outputs thereby improving the economic viability of small-scale farmers and improving food security Access and use of farm inputs in Alego Usonga is wanting as certified seeds and fertilizers are very expensive and out of reach for most farmers in the study area. This study examines the influence of farm inputs subsidy on yields of small holder farmers in Alego Usonga sub-county in Siaya County. The aim of this study is determining how inputs subsidies influence yields of small holder farmers in the study area. The study targeted 317 beneficiary farmers under the government’s subsidy programme in Alego Usonga Sub County. Simple Random Sampling was then used to pick the final samples from the population strata. The instruments for data collection were observation, interview schedule, key informant guide and a structured questionnaire. Data were analyzed using the Statistical Package for Social Science (SPSS) computer program. Quantitative data was analyzed using simple statistics like frequency distribution tables and percentages, while narrative analysis was done using chi-square test for independence, spearman rank correlation to test the nature of the correlation between two variables and logistic regression model. The key findings showed that 55.5% of participants were female while 44.5% were male. Majority 62.1% of the participants agreed to have benefited from input subsidy. 61.5% of the participants agreed that fertilizers subsidy improve crop production. Finally, the study concluded that indeed input subsidy increase yields of small holder farmers. Keywords: Agricultural subsidies, economic viability, farmers, food. INTRODUCTION Agricultural sector provides a strong and vibrant socio-economic pillar in development. Most governments subsidize agricultural sector inputs in order to improve the socio-economic viability of farming and ensure national food security [1]. Agricultural input subsidies were common in poor rural economies in the 1960s and 70s, but conventional wisdom deemed them ineffective by the 1980s and 90s [2]. However, in recent years, there has been a resurgence of interest and investment, mainly in Africa, in so-called ‘smart subsidies’, which seek to maximize the multiple benefits of subsidies to different stakeholders while minimizing their distortionary effects on inter alia efficient commercial market operation and development [3]. Over 80 percent of the population, especially living in rural areas derives their livelihoods mainly from agricultural related activities Kenya Agricultural Research Institute, 2012. While the Sustainable Development Goal (SDG) on hunger target is within reach in other parts of the world, there is however insufficient progress in sub-Saharan Africa (SSA) which carries the majority of world’s most hungry people [4]. A study done by Crawford et al., [5], revealed that Sub-Saharan Africa applied the least rates of fertilizer (9 kg/ha) among the other regions of the world’s average of 102 kg/ha in 2003. This is no surprise given that farmers on their own in sub -Saharan Africa use less fertilizer as compared to farmers of other regions leading to low food output Minde et al., 2008 [6]; Tiba, 2009 [7]. Due to poorly developed infrastructure, the costs of transporting inputs to remote areas, particularly in land- locked countries, are very high. Banful [8] suggests that around 50% of market fertilizer prices across Sub Saharan Africa (SSA) can be attributed to transaction costs compared with e.g. 20% in Thailand. Subsidies could only be effective under certain conditions such as complementing them and offering implementation support [9]. China, Malawi and some green revolution member countries are a few that have used subsidies effectively [10]. A major global concern