- Limited land and therefore such areas face a problem of land fragmentation like in Kabale, Kisoro, Mbale, and Kapchorwa.
- There is a problem of high population growth rate which creates population explosion on land like in Kabale.
- Environmental degradation in form of severe soil erosion, deforestation and land degradation.
- The peasant farmers practice poor farming methods, such methods facilitates low crop yields, low agricultural output and stagnation in agriculture.
- The low productivity in agricultural sector make farmers to be un employed and have low standards of living.
- Limited market for the produce from the small holder farms, and this demoralizes such peasant farmers in relation to expanding their farming units.
- Shortage of capital/funds to purchase farm implements such as hoes which are becoming costly to such peasant farmers to buy.
- Peasant farmers lack technical advice from agricultural extension workers, they therefore end up practicing poor farming methods which lead to agricultural stagnation.
- Inefficient transport network of impassable roads during rainy seasons and this limit the produce to reach market centers in time and yet agricultural products are perishable.
- Un predictable climatic changes causing drought and floods which destroy crops. For instance in 1994 eastern Uganda experienced a long period of drought and in 2007 the same region was hit by floods which led to crop failure.
- Since peasant farming is characterized by small plots, such plots are repeatedly cultivated causing soil exhaustion thus low crop yields.
- Heavy taxes imposed on farmers’ produce while being taken to market centers.
- Small holder farming is practiced in densely populated areas of Uganda of Buganda, Kigezi, Mbale, and others. Due to the dense population, the population has led to land fragmentation.
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