This study was conducted to characterize most important areas of the Wadi Siham’s upper watershed, which covered parts of Dhamar and Hodeidah governorates. Variation of topographic features that reflects crop pattern and type of crops in each region were taken into consideration. The questionnaire was used for data collection. Results of Anes district sub-sample showed that about 50% of income is attributable to farms size. Education and number of family workers have contributed about 16% of the change in income. Crops characterized by high production were potatoes and squash. For Hajaillah district, cultivated area has no significant influence on factors affecting farmer’s income, which was too small. This has prevented natural conditions from effecting agriculture in this region except production quantities of maize and banana crop income by 53% while the remainder was contributed by other variables, and the level of education was low. Farm Income was found higher in Anes as compared to Al Hajaillah, while the opposite hold true for non-farm income. A negative relationship between education and income was noted in Al hajaillah, while it was found positive in Anes.

Key Words :Farm income, economic factors, Siham Valley, social relations, Yemen