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Impact of village bank membership on households’ welfare in Ngaka Modiri Molema District Municipality, South Africa

100%
Mbiakop W. D., Oyekale A. S.
Journal of Agribusiness and Rural Development
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2017
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vol. 46
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issue 4
731-738
EN
Access to credit is one of the key elements in raising agricultural productivity, and it is a powerful channel for poverty alleviation among smallholding farmers. This study examines the effect of village bank membership on the welfare of smallholder farmers in Ngaka Modiri Molema District Municipality (NMMDM). Using cross sectional data from three villages where village banks was established in the study area, a representative sample of two hundred (200) farmers was obtained using structured questionnaires. Descriptive statistics and simultaneous equation model (SEM) were used for data analysis. The results show that membership in village banking increased per capita expenditure by 83.85% and variables such as income per capita (p < 0.01) and technology applied (p < 0.05) positively influenced per capita expenditure. It was concluded that village bank members had better socioeconomic characteristic which can help them to enhance their welfare. Therefore, creation of more community based village banks holds significant welfare implications in South Africa.
2
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Effect of Real Exchange Rates on Fruit Exports in South Africa: a Vector Error Correction Model (VECM) Approach

100%
Maphalle M. I., Oyekale A. S.
Journal of Agribusiness and Rural Development
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2023
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vol. 68
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issue 2
205-215
EN
The magnitude of a country’s exports positions it for international competitiveness. This study examined the effect of real exchange rates (RER) on fruit exports in South Africa and determined the direction of causality between fruit exports and exchange rate changes. The dataset covered for the period 1971–2019. The variables were tested for stationarity and the Vector Error Correction Model (VECM) was used for data analysis. The results showed that the unit root and cointegration tests indicated that the data were integrated of order one [I(1)]. The long-run OLS regression revealed that a weakening exchange rate has a positive effect on both export values and quantities. The study discovered that government spending in the form of Gross Fixed Capital Formation (GFCF) has a small but positive effect on fruit exports, thereby boosting exports by allowing the fruits to be sold at affordable prices in foreign markets. Also, government spending in the form of GFCF had a small but positive effect on fruit exports. It was concluded that the real exchange rate influences fruit exports in South Africa, and that the government and other stakeholders should work to enhance transportation and related infrastructure through increased public investment for streamlining requisite logistics for boosting agricultural export performance.
3
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Determinants of Consumers’ Preferences for the Sources of Spices in Gauteng Province, South Africa

81%
Mphafi K., Oyekale A. S., Ndou P.
Journal of Agribusiness and Rural Development
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2023
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vol. 69
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issue 3
243-252
EN
Spices are condiments for adding flavors to food and are traditionally utilized for some medicinal purposes. Their therapeutic, aromatic, and culinary characteristics have been widely explored by cosmetic, pharmaceutical, and food industries. However, very little is known about the factors that influence consumers’ choice of spices based on their origins. Therefore, this study analyzed the determinants of consumers’ preferences for the sources of spices in Gauteng province. Data was collected from 385 respondents using a structured questionnaire. Multinomial logit regression was employed for data analysis. The results of the study indicated that preferences for local and imported spices were significantly influenced (p < 0.05) by socio-economic factors such as marital status, household size, and gender. In addition, products’ attributes such as attractiveness, packaging, and availability in the market also significantly influenced (p < 0.05) preference for local and imported spices. Based on these findings, it was recommended that promotion of spices’ marketability must consider some important attributes along with consumers’ socio-economic characteristics.
4
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Effect of the Southern Africa Development Community (Excluding Southern African Customs Union) Agreement on South African Exports and Imports of Wood and Wood Products

81%
Magomani J., Oyekale A. S., Antwi M. A.
Journal of Agribusiness and Rural Development
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2023
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vol. 69
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issue 3
315-322
EN
The aim of the study was to analyse the effect of the Southern Africa Development Community agreement (SADC) (excluding Southern African Customs Union (SACU)) on South African wood and the wood products trade, using the gravity model. The study used panel data from 1996 to 2016. The results showed that the SADC (excluding SACU) agreement positively impacts the exports of wood and wood products. However, on imports, there is insufficient evidence to indicate that the SADC (excluding SACU) agreement has a statistically significant positive effect on South African wood and wood products. The SADC (excluding SACU) is an important market for South African wood exports and wood products exports. Therefore, maintaining or improving trade facilitation measures could further benefit South Africa’s exports of wood and wood products.
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