Food insecurity of farm households in Dodota-Sire has been a continuing public problem. Thisrnpaper addresses the issue with the aim of identifying the factors and exploring some policyrnoptions for its reduction. Especially, it examines factors influencing food insecurity withrnemphasis on the impact of European Union food security project. To this effect, data have beenrncollected from a sample of 380 households (non-beneficiary and beneficiary of the project)rnusing stratified random sampling. food poverty line at a cost of recommended minimumrncaloric intake (i.e. food energy intake method) has been set and then To bit model wasrnemployed for each group. The model was fitted with 15 and 14 explanatory variables forrnbeneficiaries and non-beneficiaries respectively.rnThe study shows that sever food insecurity (in which the majority of household) was prevalentrnamong farm household in Dodota-Sire. There have been frequent climatic shocks andrnidiosyncratic shocks related demographic and socio-economic factors. As a result of suchrnshock farmers have been adopted different coping mechanisms depending on common andrnidiosyncratic shocks happens to the household at their respective level. The empirical analysisrnreveal that household size, dependency ratio, total value of production , total expenditure, andrnshare of food in total expenditure, participation in off-farm activities, seed usage, and netrnwealth, found to be significant and have expected sign. Further more, contribution of EuropeanrnUnion food security project for beneficiary. Oil the contrary, education of head, age of bead,rndiversification extent, fertilizer usage where found to be insignificant.rnThe srudy conclude narural factors, demographic and socio-economic factors such as largernfamily size, high dependency ratio, low level of total value of production, low level ofrnlivestock wealth , low panicipation in off-form activities, lack of productive asset, and so on ofrnfamling are among the factors that increase the odds of food insecurity. Hence, replenishingrnthe re sources base, developing irrigation schemes, focusing of livestock related off-farmrnactivities such as cattle fattening and dairy farming, enhancing the productivity potentially, 3ndrnawareness creation strengthens and broadening project interventions are some of the policyrnoptions to be considered.