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Estimating the economic rate of return to research in the South African deciduous fruit industry

Thesis (MScAgric)--Stellenbosch University, 1999. / ENGLISH ABSTRACT: Historically, commercial agricultural research in South Africa has been state supported,
but due to recent political changes in South Africa this is changing. The political
transition has been accompanied by changing economic policies, causing a tightening of
public funds allocated to agricultural research. In 1992 the Agricultural Research
Council was formed, primarily to enable greater industry involvement in research as a
result of the expected long term budget cuts in publicly funded research. As a result there
has been an increased recognition of the need to evaluate research in terms of the
economic returns to investment so that decision makers have hard evidence on which to
prioritize their investments.
This study employs the well known production function approach to evaluate the
economic benefits of publicly funded research in the South African deciduous fruit
industry. In reporting the results of the research the study proceeds from an overview of
the deciduous fruit industry, as well as an analysis of the structure of deciduous fruit
research in South Africa. This is followed by a description of the economics of research
expenditure, a description of ex post methods of evaluating the economic benefits of
research, and the manner in which the data for the analysis was collected. The analysis
suggests there is a statistically significant relationship between research and development
and industry output as well as industry prices and output. However the results should be
interpreted with care, and more effort should be made to ensure that required data are gathered. Nevertheless, the results show that increased research expenditure m the
industry is justified. / AFRIKAANSE OPSOMMING: Histories gesien is kommersiele landbou-navorsing in Suid Afrika deur die owerheid
ondersteun, maar as gevolg van die onlangse politieke veranderinge in Suid Afrika is
hierdie toedrag van sake besig om te verander. Die politieke oorgang in die land het
gepaard gegaan met 'n verandering in ekonomiese beleid, wat 'n inkorting van
owerheidsbefondsing aan die Landbounavorsingsraad meegebring het. Hierdie Raad is in
1992 gestig, met die primere doe! om grater privaatsektor betrokkenheid in navorsing
vanuit die betrokke sektor te verseker, as gevolg van die verwagte onttrekking van
owerheidsteun. As gevolg hiervan, is daar nou 'n toenemende erkenning aan die
behoefte om navorsingsprojekte te evalueer in terme van die ekonomiese opbrengs op
sulke investering, sodat besluitnemers geldige bewyse het waarvolgens
bestedingsprioriteite gemaak kan word.
Hierdie studie gebruik die bekende produksie-funksie benadering om die ekonomiese
voordele van navorsing in die Suid-Afrikaanse sagtevrugte bedryf te evalueer. Die studie
begin met 'n oorsig oor die sagtevrugtebedryf, insluitend 'n analise van die
navorsingstruktuur wat tans heers. Bogenoemde word gevolg deur 'n beskrywing van die
bestaande ex post metodes om ekonomiese voordele van navorsing te evalueer, sowel as
die wyse waarop die data vir die analiese ingesamel is.
Die resultate wys dat daar 'n beduidende statiese verhouding is tussen besteding op
navorsing en pryse en die opbrengs behaal deur produsente in die bedryf Hierdie
resultate moet egter met sorg gelnterpreteer word, en meer moeite moet gedoen word om
te verseker dat die nodige data ingesamel word. Nietemin toon die resultate dat
verhoogde navorsingsbesteding in die bedryf geregverdig is

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:sun/oai:scholar.sun.ac.za:10019.1/70205
Date03 1900
CreatorsCarter, Jonathan Edward David
ContributorsVink, N., Stellenbosch University. Faculty of AgricSciences. Dept. of Agricultural Economics.
PublisherStellenbosch : Stellenbosch University
Source SetsSouth African National ETD Portal
Languageen_ZA
Detected LanguageEnglish
TypeThesis
Format106 p. : ill.
RightsStellenbosch University

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