EFFECTS OF THE FARMER SUPPORT PROGRAMME AND CHANGES IN MARKETING POLICIES ON MAIZE PRODUCTION IN SOUTH AFRICA

This article analyses the effects of action aimed at narrowing the gap between South Africa's ‘two agricultures’, specifically the effects of the Farmer Support Programme (FSP) on structural aspects of maize production under different marketing policies. This is done by assembling a sectoral linear programming model of the South African summer-rainfall grain-producing area. The emphasis is on the inclusion of supply, demand and production risk. Results show that the effects of a successful FSP on specific interest groups, e.g. consumers of a specific product, or producers in a specific region, depend on the marketing policy followed, as well as on the effectiveness of the FSP. The analysis accentuates the interrelationships in South African crop production and illustrates how past policies ignored regional comparative advantages, distorted regional development and affected social welfare.     

Lifting physical and institutional barriers to development on a small‐scale irrigation scheme

If it is accepted that both the system and the individual can act as barriers to development at the micro‐level, development policy could be aimed at identifying the major causes and sources of inefficiency and removing the existing barriers to the achievement of efficiency.

In this article the major barriers to system efficiency are identified as being physical and institutional, and they include the physical structure of irrigation schemes, the land tenure system and the marketing structure. A theoretical discussion of each of these factors is used to propose more specific strategies for micro‐level rural development.     

Labour trends in agriculture: The case of the summer rainfall grain‐producing area

The impact of changes in the labour force on commercial agriculture has received little systematic research attention. In this study the major trends in the post‐war years are described and analysed. It is shown that there has been an increasing substitution of labour for capital over the past fifteen years. The causes of this substitution trend are identified, and it is shown that these should be taken into account in the formulation of farm policy. Labour trends in commercial agriculture also have implications for the broader Southern African economy, and some tentative remarks in this regard serve as motivation for further research.     

FOOD SECURITY IN KWAZULU: RESULTS OF A HOUSEHOLD-BASED PROGRAMMING MODEL

A mathematical programming model of rural KwaZulu, excluding three northern districts, was developed to simulate agricultural production in regions of high and low cropping potential. This model aggregates enterprise levels predicted for four representative households of which two are in the high-potential region and two in the low-potential region. Several economic scenarios are simulated with the model to predict, inter alia, responses to changes in cereal prices, input subsidies, changes in off-farm employment and a rental market for crop land. Long-run food supply response is estimated to be inelastic with respect to changes in product and input prices. Higher food prices harm the majority of rural households. Lower input prices have little impact on household welfare. Conversely, it is predicted that a rental market for arable land could have a large positive impact on crop production and would improve household welfare.     

The mini farmer approach: A case study of the South African tea industry

This article analyses the concept of mini farming on tea estates in South Africa from the point of view of the farmer and the estate. Although mint farmers who participate in these schemes are subjected to strict controls, they enjoy more freedom than labourers. The article shows the relative merit of the mini farming concept in the tea industry, and thereby contributes to the current debate on agricultural restructuring in South Africa.