Hewavitharana, M.K.Dharmadasa, R.A.P.I.S.2022-02-172022-02-1720159789550481088http://www.erepo.lib.uwu.ac.lk/bitstream/handle/123456789/8384/63-TEA-Determinants%20of%20income%20diversification%20in%20Tea%20estates%20households%20.pdf?sequence=1&isAllowed=yTea is the main foreign exchange owner in Sri Lanka. It shows that Tea industry is playing major role in national economy. Estate laborers are one of the major players in tea industry. Tea industry economically depends on sweat and blood of estate workers (Muthulingam, 2010). In initial stage of tea industry, laborers who were working in tea industry had estate income as sole income source. If it was sole way of income, the labor wage was very low. They had not enough facilities to engage with other agricultural and non-agricultural like income activities. Also management of tea estates was provided facilities to estate households to work only in estates. To improve the estate workers living condition, there is an alternative way called as an income diversification. Income diversification has talked world widely with various sectors. But, no any research has carried out on income diversification in tea estate households. Therefore, study of this matter is most important to the tea estate sector. In this study the income diversification and pattern of income diversification of tea estates households are considered in Badulla district. Materials and Methodology The Survey was conducted in Badulla district by using 298 tea estates households. Censored Tobit regression analysis method was used to examine the determinants of income diversification. In many research on income diversification have used censored Tobit model to find out determinants of the income diversification. In this research dependent variables are including value zero to high amount of value. Therefore for Tobit model is used for data analying. (Schwarz and Zeller, 2005). In this study three dependent variables are taken as estate income, other agricultural income and non- agricultural Income. Nine variables are used as explanatory variable. Those are age of household head, gender of household head, number of dependents in a family, number of male, number of female, monthly expenditure, distance to the city, years of schooling household head and loan receipt.enAgricultureExport AgricultureIncomeTea IndustrialsTea TechnologyOther