The Trumpet Newsletter – Issue 3 – 24 July 2018

Trumpeting: Smallholder participation in agro-processing industries.

Foreword

The Trumpet is an economic research newsletter established as an alternative option for stakeholders to gain access to research outputs of the NAMC. This is the third issue of the economic research newsletter. The newsletter seeks to summarise latest research, along with communicating information on recent and upcoming events of interest to our stakeholders.

We also profile some of the researchers at NAMC with a view to promoting an interactive culture between the NAMC and the readers of this newsletter. Lastly, snippets of important information and statistics on the agricultural sector, locally, regionally and globally, are presented. The information sharing will not only be valuable to stakeholders – it will also assist in keeping NAMC employees in the loop about MERC Division’s activities. This newsletter is available through multiple channels, including email, hard copy, website and social media.

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Focus

To Eat Kota or Not? That’s the question?

By: Bongani Radebe

When news report beamed around the country that there were 967 confirmed cases and 183 deaths from listeriosis, I just sat wondering what would happen to my favourite township burger. According to the World Health Organization (WHO), listeriosis is a treatable disease caused by bacteria which can be found in soil, water, vegetables, and the faeces of some animals. It was indicated that the current outbreak of listeriosis could be deadly. I ventured into my hometown, Mamelodi, to assuage my worry. For some of us, the township burger is a not up for discussion– it is a type of food that we feel obliged to see, hear, smell, and sense no wrong in it.

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Working Papers

Geographical Indication (GI) in the wine industry. 

By: M.H Lubinga, S. Ngqangweni, B. Nyhodo, X.Y Potelwa,S. van der Walt & L. Phaleng

The export performance of South Africa’s wine industry has improved over the years, with over 50 percent of the wine produced having been supplied to export markets since the mid-2000s. The competitiveness of South Africa’s wine industry has been generally assessed, and findings suggest that a number of factors influence the industry’s good performance. The identified factors (good and bad) include macroeconomic factors, market size, crime and theft, inefficient governance systems, inadequately educated workforce, and infrastructure limitations. Despite the increasing competitiveness of South Africa’s wine industry, globally, and the industry’s outstanding number of geographical indications (GIs), the impact of these GIs on wine exports has not been assessed, and if it has been assessed, such work is not publicly available. Understanding the impact of the GIs is critical in enhancing informed policy decisions towards securing greater numbers of geographical indicators for wines and other products. In
addition, the evidence that is unearthed might be the basis for further government interventions in support of the initiative, while protecting the good reputation in communities where production occurs. This study analyses the effect of GI on South Africa’s wine exports to the European Union (EU). The results suggest that GI fosters South Africa’s wine exports to the EU. It also plays a fundamental role in fostering the export performance of the wine Industry.

For the full article go to:   https://ageconsearch.umn.edu/record/262912/files/Geographical%20indication%20and%20the%20wine%20industry.pdf

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Assessing selected countries that receive food aid with specific reference to top imported agricultural products.

By: L. Phaleng, T. Ntshangase & B. Nyhodo

Food aid is known to comprise sources of internationally funded food that is provided to tackle hunger, either in emergency situations, or to assist with deeper, long-term hunger alleviation and to achieve food security. It is based on the three different categories that are meant to contribute towards food security, being programme food aid, project food aid, and emergency food aid. Despite the role that has been played by global food aid, there are still many countries that require humanitarian assistance from donors.

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Journal Articles

Factors Influencing Communal Livestock Farmers’ Participation into the National Red Meat Development Programme (NRMDP) in South Africa: The Case of the Eastern Cape Province. 

By: K. Sotsha, B. Fakudze, T. Khoza, V. Mmbengwa, S. Ngqangweni, M.H. Lubinga, N. Mazibuko, T. Ntshangase, B. Nyhodo, L. Myeki, and X. Ngetu.

The various categories of livestock in South Africa, as in other developing countries, comprise one of the important sources of livelihoods for the poor, commodity for providing a steady and growing income to the rural poor. For households affected by poverty, the supply of livestock products remains one of the few rapidly growing market opportunities within the agricultural sector. Communal livestock farmers are characterised by having to cope with a lack of marketing infrastructure, such as regulated grazing (camps), auctioneering facilities and rural feedlots, as well as having to endure other challenges. These challenges potentially prohibit these farmers from fully participating in the formal marketing of livestock. Non-participation in these markets by livestock farmers in communal areas represents a lost opportunity for them to increase household food security, reduce poverty, and gain export earnings. Therefore, the properly organised marketing of livestock is important for the development of the communal sector.

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Assessment of the participation of smallholder farmers in agro-processing industries of Gauteng Province

By: V.M Mmbengwa, T.M Khoza, K. Rambau and J. Rakuambo

Smallholder farmers in South Africa have been known to have a limited scope for participating in the agro-processing sector. Hence, part of the transformational agenda of the country is to ensure that smallholder farmers are empowered to meaningfully participate in the agro-processing industries.

The existing global and South African theoretical agro-processing framework does not clearly attract smallholder farmers to participate in agro-processing industries. Consequently, government policies and educational programmes lack their much-needed impact in ensuring
the participation of this important stakeholder sector in the agricultural industries of South Africa. The lack of a theoretical framework for the participation of this part of agricultural sector might explain their lack of significant contributions in job creation for the advancement of the socio-economic sphere of South Africa.

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Conference Papers

Value chain analysis for poultry and piggery in Gauteng Province; A case of smallholder farmers

By: V.M. Mmbengwa, T.M Khoza, K. Rambau, K. Sotsha and T. Molebo

Value chain approach in Gauteng Province is applied mainly by commercial agriculture, while few or no value chain processes are used by smallholder farmers in their businesses. The latter do not have their own tailor-made value chain, and thus they appear to be struggling to become incorporated within the existing commercial value chain. This shortcoming greatly hinders the smallholder farming sector in creating jobs and reducing poverty, which the linkages of a value chain processes would normally enable them to do.

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The current market trends of Horticulture Products

By: VM.H Lubinga & L. Phaleng

The horticulture industry produces a range of products for both local and export markets. Export oriented horticultural commodities are, to a great extent, produced by commercial farmers. This paper focuses on the domestic market across 19 Fresh Produce Markets (FPMs), looking at 5 commodities (oranges, lemon, peaches, nectarines and avocado).

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Feature

Fezeka Matebeni’s journey as an Agro-food chain Researcher

By” Fezeka Matebeni

Fezeka matriculated in 2005 at the age of 16. It took time for her to figure out what she wanted to do as a career. Hence, she took a 2-year break before registering for a Bachelor of Science Degree in Agricultural Economics at the University of Fort Hare. She grew up in an agriculturally adapted rural family and community, which influenced her career choice.

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Media

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Developing climate-smart Agriculture

 

Fruit Trade Flow July 2018

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