Watersheds and livestock: The biophysical robustness or natural resource endowment of the watersheds as defined provides a good understanding of the potential for crop/livestock production. The way resources were managed, access to markets had a large impact on watershed robustness. 82% of the households in the study watersheds hold livestock, with livestock densities higher in more arid areas.

Determinants of livestock livelihood strategy: Watershed robustness and market access were related to more intensive livestock production, including dairy enterprises. Irrigation development was associated with less livelihood reliance on livestock production. Watersheds in which neither biophysical robustness nor market access were favorable small ruminants were an important livelihood activity. Dependence on bullocks for draught power and manure was high in all watersheds, except when mechanized irrigated agriculture predominated.

Determinants of livestock holding: The correlation between biophysical robustness and intensity of livestock rearing is positive, and stronger with the density of large ruminants than the density of small ruminants. Aridity was not a limiting factor towards livestock rearing, and increases the dependence of the communities on livestock production. Land ownership and total income was an important determinant of livestock holding, while proportion of non-farm income was negatively related to livestock holding. While non-livestock owners earned 81% of their income from non-farm sources, for livestock owners only 43% to total income came from off-farm labor and migration. Households dependent solely on small ruminants tened to be worse off: 80% of these households earn an income below the average for their watershed. Mortality of animals was important and positively correlated with numbers of animals being held. Lower incomes were associated with greater small ruminant holdings. Distribution of large ruminants is correlated to land holding size, and is more unequal, than that of small ruminants. Interestingly, the implementation of watershed development and involvement of an NGO are negative determinant for small ruminant holding.

Inputs for livestock production: High value market oriented livestock production is highly market dependent and purchase of external inputs, while subsistence farmers tend to spend much less on their livestock and feed comes primarily from within the watershed. The importance of crop residues for feed is increasing due to reduction in forest cover and availability of grazing. In about 30% of the villages some farmers report an improvement in crop residue availability due to increased crop production as a result of yield improvements.

Management of common lands: The differences in natural resource management between watersheds are large. Common lands are managed in only 5 of the 26 study villages. Encroachment is a serious problem. Only 9 villages have any grazing restrictions, and they are only enforced in about half of these villages. Grazing lands are primarily used as an open access resource, with no control on intensity of use.

Local institutions: In all villages with NGO participation, local institutions for NMR were established, whereas non-NGO villages there appeared to be few functioning NRM organizations. Institution building however, was not found to necessarily result in sustainable resource management. Community perception was that local NMR was poor in 50% of cases, and a clear problem in this area was the insecurity of user rights over newly created assets (biomass) of positive interventions.

Watershed development programs and livestock: In one study site, livestock production had been given explicit attention in the form of breed improvement, vaccination and fodder cultivation. In other watersheds, livestock production had benefited through investments in biomass enhancement.

Recommendations: Specific recommendations and improvements that would be useful for optimizing positive benefits and minimize negative impact of watershed development on livestock were developed form these findings and disseminated in a variety of local and international forum.