Analysis of food value chains in smallholder crop and livestock enterprises in Eastern Cape Province of South Africa
- Authors: Muchara, Binganidzo
- Date: 2011
- Subjects: Agricultural industries -- South Africa -- Eastern Cape , Food industry and trade -- South Africa -- Eastern Cape , Food supply -- South Africa -- Eastern Cape , Farms, Small -- South Africa -- Eastern Cape , Stochastic processes , Agriculture -- South Africa -- Eastern Cape , Business enterprises -- South Africa -- Eastern Cape , Livestock -- South Africa -- Eastern Cape , Crops -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MSc Agric (Agricultural Economics)
- Identifier: vital:11158 , http://hdl.handle.net/10353/d1000983 , Agricultural industries -- South Africa -- Eastern Cape , Food industry and trade -- South Africa -- Eastern Cape , Food supply -- South Africa -- Eastern Cape , Farms, Small -- South Africa -- Eastern Cape , Stochastic processes , Agriculture -- South Africa -- Eastern Cape , Business enterprises -- South Africa -- Eastern Cape , Livestock -- South Africa -- Eastern Cape , Crops -- South Africa -- Eastern Cape
- Description: The study was conducted in Mbozi and Ciko villages in Mbhashe Local Municipality of the Eastern Cape Province of South Africa. Two irrigation projects in the area were studied. Consumers and agricultural commodity traders in Willowvale Town, Dutywa, Butterworth and East London were also interviewed. The major objective of the study is to profile and map cabbage, maize and cattle food value chains broadly, and to understand their nature, constraints and opportunities in smallholder agriculture. A multi-stage random sampling procedure was used in which the first stage involved selecting the local government areas. This was followed by the selection of the district and then the respondents. A total of 168 participants were sampled in the proportion of 82 smallholder farmers, 41 consumers, 26 hawkers and 20 agricultural commodity traders. Focus group discussions and key informant interviews were also used during the data collection process. Value Chain mapping was done using the commodity based approach. All value chains under study indicated that they are short and commodities were transacted in unprocessed form. As cabbages and maize move from the farm to retail outlets, value addition start to take place through transportation to the market and processing in supermarkets. The cattle value chain however does not have a forward linkage beyond the two administrative boundaries of the two communities. Less than 3% of the farmers traded livestock, and this was mostly through private sales to neighbours. The farmers‘ major goal in agricultural production is assumed to be an important aspect in lengthening the value chain. As such, results of a Pearson‘s correlation exercise indicated that there is a significant relationship at 0.05% level between goals of the farmers and the village of origin. Some factors that showed significance (p=0.05) in influencing farmers‘ goals are membership of an irrigation project and household sources of income. An analysis of determinants of technical efficiency at farm level was performed using the stochastic frontier model for cabbage, maize and cattle enterprises. The results showed that rainfall adequacy, input costs, market channels and quantity sold are important determinants of cabbage production efficiency. On the other hand, maize production efficiency is positively determined by market price, area under production and rainfall adequacy. Market related variables are major drivers of the cattle value chain efficiency and these include cattle prices, market satisfaction, market channel and farm labour.
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Technical constraints to smallholder agriculture: case study of Nkonkobe Municipality, Eastern Cape, South Africa
- Authors: Pote, Peter Paul Takawira
- Date: 2008
- Subjects: Farms, Small -- South Africa -- Eastern Cape , Farms -- South Africa -- Technology , Agricultural productivity -- South Africa -- Eastern Cape , Agriculture -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MSc Agric (Agricultural Economics)
- Identifier: vital:11193 , http://hdl.handle.net/10353/84 , Farms, Small -- South Africa -- Eastern Cape , Farms -- South Africa -- Technology , Agricultural productivity -- South Africa -- Eastern Cape , Agriculture -- South Africa -- Eastern Cape
- Description: Using data drawn from a sample of 80 farmers in the Kat River valley, this thesis presents the results of an assessment of the technical constraints affecting smallholder development and their implications for market access. A review of the relevant literature on the smallholder farm sector, technical change and technical constraints affecting smallholder farmers along with an overview of the agricultural marketing environment in South Africa has been presented. A critical review of the theoretical framework for consideration of technical change in agricultural development, with particular attention to the induced innovation model was undertaken. General information on the institutional set up was obtained by open-ended interviews of community leaders and focus groups. These interviews supplemented information obtained through literature study and document analysis. The other method of data collection employed was the single-visit household survey using structured questionnaires. The demographic and socio-economic characteristics of the surveyed farmers are described in this study. The selection process of the variables influencing market access was done by employing correlation and logistic regression analyses. Correlation analysis was conducted to ascertain the relationship among variables to find out the extent to which they mirror theory or intuition regarding their causation to constraints influencing market access. The logistic model was employed in the step-wise manner using each of key production inputs as response variables sequentially. On the basis of a binary logistic model, it can be concluded that the farmers still operate under a number of technical constraints. The most influential constraints are information, asset ownership, value of agricultural production and extension assistance. The study reflects the previous findings in South Africa that the legacy of apartheid continues to negatively impact on its agricultural economy. Key words: Technical Constraints, Technical Change,Market Access, Smallholder Farmers, Agricultural Development, Induced Innovation Model, Kat River Valley, Correlation analysis, Theoretical framework and Binary Logistic Model
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