This study looked at the opportunities and challenges faced in promoting smallholder farming as an element in rural economic development. The main objective is to highlight the key factors affecting smallholder production; and how those factors affect smallholder farmers in rural areas of Buffalo City Municipality, and hence identify the ones likely to predict success for future use in intervention programs. The content and scope of this study is limited to the socio-economic constraints (economic activities, household assets e.g. natural assets, physical assets, financial assets etc.) faced by rural households and therefore prescribe the necessary interventions to enhance rural livelihoods. Data was collected through review of secondary sources, direct observation through field visits and interviews with households. Questionnaires were used as the main tool of inquiry to gather data from households in selected villages within Buffalo City Municipality. The collected survey data was coded and analyzed using Statistical Package for Social Sciences (SPSS) Version 19.0. The study used Descriptive, Gini Coefficient and Binary Logistics model to analyze the collected survey data. For the descriptive model, the main pointers that were employed for this study were frequencies and mean values. The Gini Coefficient model was used to measure the contribution of different sources of income to overall inequality. The binary logistic regression model was used to uncover the correlates of the household income for different rural groups (famers and non-farmers). The results reveal that farm income has a strong association to overall household income per capita. Unearned income sources also have a substantial contribution to household income. Remittances and child grants were significant to non-farming household income per capita. Given the diminishing farm size of smallholder-led agriculture; these results suggest that a diversified household income portfolio is vital in addressing poverty in rural areas. Based on the results this study concluded that agricultural activities cannot solely enhance food security.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:ufh/vital:11203 |
| Date | January 2013 |
| Creators | Siyabonga Makhathini |
| Publisher | University of Fort Hare, Faculty of Science & Agriculture |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Masters, MSc Agric (Agricultural Economics) |
| Format | 138 leaves, pdf |
| Rights | University of Fort Hare |
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