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Economic efficiency of table grape production in Waterberg and Sekhukhune Districts, Limpopo Province, South Africa

Thesis (M.Sc. (Agricultural Economics)) -- University of Limpopo, 2020 / Table grape production plays an important role in the economy of many countries in
Africa. It serves as a source of income for people who are engaged in its production
and being one of the fields that is labour-intensive, thereby providing employment for
many people.
The aim of this study was to analyse economic efficiency of table grape production in
Waterberg and Sekhukhune districts of Limpopo Province, South Africa. The study used
primary data collected from semi-structured questionnaires. A sampling technique
called snowball, was used in the study as this method assisted in getting those farmers
that were not easily accessible. The analytical tools employed to analyse data included
descriptive statistics and Stochastic Frontier Model.
Findings from the study revealed that the average age of table grape farmers was 47
years. On average, household size for table grape farmers was found to be 5 members.
Also, findings revealed that table grape farmers on average had a farming experience
of 16 years. Average household income was found to be R47 600, 00. Furthermore, the
study revealed that the average years of schooling for the table grape farmers was 15
years and only 67% of these farmers have acquired a tertiary educational level, while
33% have acquired secondary educational level.
In terms of efficiency, farming experience (P<0,00), educational level (P<0,05)
household size (P<0,10) and age of farmer (P<0,10) were associated with increased
efficiency as they were found to be significant at 1%, 5% and 10% confidence level. The
findings also revealed that quantity of grapes produced was positively influenced by
Farm size (P<0,00), labour (P<0,00), pesticides used (P<0,05) , extension services
(P<0,05) and fertilisers (P<0,05).
Technical efficiency among farmers was found to range from 0.8 to 1, with a mean of
0.89, thus this indicated possibility of improvement in production. However, the
allocative efficiency was found to range from 0.47 to 1, with a mean of 0.68, this clearly
indicated that some farmers were finding it difficult to allocate their resources efficiently.
On the other hand, it was found that economic efficiency ranged from 0.56 to 1, with a
mean of 0.73, this indicated that most of the farmers were economically efficient. Meanwhile, some of the constraints faced by the table grape farmers included high
electricity bills and labour costs, as such the introduction of prepaid electricity in the
farms could reduce the strain they go through.
Based on the findings from the study, it was recommended that, since the production of
grapes is a male-dominated enterprise, women and youth should also participate.
Participation could be encouraged through provision of learnership skills on the farms.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:ul/oai:ulspace.ul.ac.za:10386/3485
Date January 2020
CreatorsMaponya, Naume Mapaseka
ContributorsOluwatayo, I. B.
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis
Formatix, 59 leaves
RelationPDF

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